Latest Ratios: P/E Ratio 152.3x · EV/EBITDA 7.6x · ROE 1.1%. (1998–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $18.3B | $68.9B | $15.5B | $28.9B | $17.2B | $17.9B | $19.7B | $16.2B | $17.6B | $25.0B | $16.8B |
| Enterprise Value | $34.2B | $21.55T | $18.83T | $19.26T | $14.79T | $16.77T | $15.76T | $16.13T | $17.68T | $18.57T | $20.39T |
| P/E Ratio → | 152.29 | 0.10 | 0.01 | 0.02 | 0.01 | 0.00 | 0.01 | 0.01 | 0.01 | 0.01 | 0.01 |
| P/S Ratio | 0.36 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| P/B Ratio | 1.61 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| P/FCF | — | — | — | — | 0.02 | 0.01 | 0.00 | 0.01 | 0.01 | 0.01 | 0.01 |
| P/OCF | 5.36 | 0.02 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 0.31 | 0.26 | 0.25 | 0.17 | 0.22 | 0.27 | 0.25 | 0.27 | 0.31 | 0.38 |
| EV / EBITDA | 7.63 | 3.58 | 2.90 | 2.59 | 1.67 | 1.28 | 2.50 | 2.13 | 1.96 | 2.35 | 3.40 |
| EV / EBIT | 24.65 | 9.66 | 8.87 | 5.93 | 3.06 | 1.81 | 6.71 | 4.26 | 3.23 | 4.07 | 7.18 |
| EV / FCF | — | — | — | — | 19.30 | 6.10 | 3.04 | 5.06 | 5.38 | 6.24 | 7.26 |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 7.4% | 7.4% | 7.4% | 8.3% | 9.0% | 15.5% | 8.1% | 9.7% | 12.2% | 13.7% | 12.6% |
| Operating Margin | 2.7% | 2.7% | 3.4% | 4.7% | 6.1% | 12.5% | 4.6% | 6.4% | 8.9% | 7.6% | 5.4% |
| Net Profit Margin | 1.0% | 1.0% | 1.5% | 2.2% | 3.7% | 8.7% | 2.8% | 2.9% | 2.6% | 4.6% | 2.6% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 1.1% | 1.1% | 1.8% | 2.9% | 5.6% | 12.9% | 3.4% | 3.9% | 3.6% | 6.0% | 3.0% |
| ROA | 0.7% | 0.7% | 1.1% | 1.7% | 3.3% | 7.7% | 2.0% | 2.3% | 2.1% | 3.5% | 1.7% |
| ROIC | 1.7% | 1.7% | 2.4% | 3.6% | 5.4% | 10.7% | 3.2% | 4.8% | 6.6% | 5.2% | 3.2% |
| ROCE | 2.3% | 2.3% | 3.1% | 4.7% | 7.1% | 14.4% | 4.3% | 6.7% | 9.7% | 7.6% | 4.7% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 0.46 | 0.46 | 0.42 | 0.43 | 0.39 | 0.39 | 0.42 | 0.41 | 0.43 | 0.45 | 0.50 |
| Debt / EBITDA | 4.73 | 4.73 | 3.94 | 3.48 | 2.57 | 1.64 | 3.21 | 2.59 | 2.25 | 2.68 | 3.80 |
| Net Debt / Equity | — | 0.34 | 0.31 | 0.32 | 0.25 | 0.31 | 0.33 | 0.34 | 0.38 | 0.39 | 0.44 |
| Net Debt / EBITDA | 3.56 | 3.56 | 2.90 | 2.58 | 1.67 | 1.27 | 2.50 | 2.13 | 1.96 | 2.34 | 3.40 |
| Debt / FCF | — | — | — | — | 19.28 | 6.09 | 3.03 | 5.06 | 5.37 | 6.23 | 7.26 |
| Interest Coverage | 2.04 | 2.04 | 1.86 | 3.29 | 8.21 | 20.27 | 3.80 | 4.92 | 6.70 | 6.59 | 4.14 |
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 1.89 | 1.89 | 1.94 | 2.08 | 2.05 | 2.23 | 2.13 | 2.13 | 1.78 | 1.64 | 1.55 |
| Quick Ratio | 1.29 | 1.29 | 1.31 | 1.43 | 1.39 | 1.47 | 1.59 | 1.47 | 1.17 | 1.12 | 1.07 |
| Cash Ratio | 0.68 | 0.68 | 0.65 | 0.80 | 0.81 | 0.85 | 0.97 | 0.76 | 0.56 | 0.51 | 0.40 |
| Asset Turnover | — | 0.66 | 0.70 | 0.76 | 0.86 | 0.83 | 0.73 | 0.81 | 0.83 | 0.77 | 0.67 |
| Inventory Turnover | 4.65 | 4.65 | 4.75 | 4.86 | 4.98 | 4.01 | 5.86 | 5.32 | 4.96 | 5.26 | 5.13 |
| Days Sales Outstanding | — | 69.19 | 66.00 | 52.24 | 52.17 | 57.27 | 61.07 | 60.63 | 60.13 | 63.82 | 77.46 |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 0.9% | 100.0% | 100.0% | 100.0% | 100.0% | 100.0% | 100.0% | 100.0% | 100.0% | 100.0% | 100.0% |
| Payout Ratio | 132.5% | 132.5% | 77.1% | 48.0% | 38.8% | 19.8% | 41.1% | 51.6% | 42.8% | 30.9% | 52.0% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 0.7% | 954.5% | 7063.0% | 5882.9% | 17957.1% | 36616.9% | 8090.2% | 11271.2% | 9615.9% | 10892.1% | 7910.1% |
| FCF Yield | — | — | — | — | 4457.3% | 15371.6% | 26308.9% | 19639.7% | 18693.9% | 11904.7% | 16693.9% |
| Buyback Yield | 0.0% | 0.0% | 100.0% | 0.0% | 0.0% | 100.0% | 100.0% | 0.0% | 0.0% | 0.0% | 0.0% |
| Total Shareholder Yield | 0.9% | 100.0% | 100.0% | 100.0% | 100.0% | 100.0% | 100.0% | 100.0% | 100.0% | 100.0% | 100.0% |
| Shares Outstanding | — | $1.3B | $358M | $303M | $316M | $307M | $316M | $320M | $320M | $320M | $320M |
Includes 30+ ratios · 28 years · Updated daily
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Quick answers to the most common questions about buying PKX stock.
POSCO Holdings Inc.'s current P/E ratio is 152.3x. The historical average is 0.0x. This places it at the 100th percentile of its historical range.
POSCO Holdings Inc.'s current EV/EBITDA is 7.6x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 2.1x.
POSCO Holdings Inc.'s return on equity (ROE) is 1.1%. The historical average is 9.4%.
Based on historical data, POSCO Holdings Inc. is trading at a P/E of 152.3x. This is at the 100th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
POSCO Holdings Inc.'s current dividend yield is 0.91% with a payout ratio of 132.5%.
POSCO Holdings Inc. has 7.4% gross margin and 2.7% operating margin.
POSCO Holdings Inc.'s Debt/EBITDA ratio is 4.7x, indicating high leverage. A ratio above 4x may signal elevated financial risk.
Key Metrics
Top Statement Risk
Cyclical margin compression from raw material costs
Valuation Reflects Legacy, Not Transition
The current P/E TTM of 166.27x appears to be a distorted metric, as it reflects a cyclical earnings trough rather than sustainable profitability, while the EV/EBITDA of 8.01x suggests the market is pricing the company more like a traditional industrial than a growth-oriented materials transition play.
The extreme P/E multiple is a mathematical artifact of the near-zero net income in recent quarters, making it an unreliable indicator of value. The more meaningful EV/EBITDA of 8.01x is at a significant discount to U.S. peers like Nucor (15.54x) and Steel Dynamics (18.92x), which may indicate the market is not fully pricing in POSCO's potential pivot to higher-margin battery materials. This discount could represent a value opportunity if the transition succeeds, or a justified risk premium if the market believes the legacy steel business will continue to dominate earnings.
Structural Margin Disadvantage Persists
POSCO's gross margin of 8.6% in 2026Q2 remains significantly below the double-digit margins of its U.S. peers, suggesting a structural cost disadvantage that is not being overcome by its proprietary FINEX technology in the current pricing environment.
The persistent gap between POSCO's gross margin and that of Nucor (11.9%) and Steel Dynamics (13.0%) indicates that the company's cost structure or pricing power is fundamentally different, likely due to its exposure to volatile Asian steel markets and different raw material sourcing. The net margin of 3.2% is an improvement from the 2025Q4 loss but remains thin, leaving the company highly vulnerable to any adverse movement in the 'steel spread' between input costs and selling prices. This margin profile suggests the company's true earning power is currently constrained by its legacy operations.
Returns on Capital Remain Subdued
The ROIC of 0.7% in 2026Q2, while positive, is far below the cost of capital and indicates that the company is not currently generating sufficient returns to justify its asset base, a trend that has persisted for most of the last ten quarters.
The consistently low ROIC, which has only briefly touched 0.8% in 2024Q3, suggests that the company's significant investments in property, plant, and equipment are not yet translating into adequate profitability. This is likely driven by the combination of low asset turnover (0.18) and compressed net margins. For a company investing heavily in a strategic pivot, this trend is concerning as it implies the new growth avenues are not yet contributing meaningfully to returns, and the legacy business is not generating excess capital to fund the transition.
Working Capital Cycle Lengthens
The cash conversion cycle has expanded to 112 days in 2026Q2, driven by a notable increase in days inventory outstanding to 73 days, which may indicate slowing demand or a strategic build-up of raw materials ahead of anticipated price increases.
The lengthening CCC, up from a low of 94 days in 2024Q2, suggests a deterioration in working capital efficiency. The increase in DIO is particularly noteworthy for a steelmaker, as it could signal either a mismatch between production and demand or an attempt to lock in inventory costs. This trend ties up cash that could otherwise be used for debt service or strategic investments, and it may be a contributing factor to the negative free cash flow observed in recent quarters.
Conservative Leverage Amidst Heavy Investment
Despite a massive capital expenditure program, the debt-to-equity ratio has remained stable around 0.50, indicating that the company is funding its expansion primarily through internal cash generation and equity, which preserves financial flexibility.
The stable and relatively low D/E ratio of 0.50 is a key strength, especially given the elevated capital intensity of the business. The interest coverage ratio of 2.92x in 2026Q2 is adequate but has shown volatility, dipping as low as 0.25x in 2024Q4, which highlights the sensitivity of debt service capacity to earnings swings. This conservative balance sheet provides a crucial buffer during cyclical downturns and allows the company to pursue its strategic investments without the immediate pressure of debt covenants.
The Misleading P/E Multiple
The P/E TTM of 166.27x is the ratio most commonly misapplied to POSCO, as it is distorted by a cyclical earnings trough and fails to capture the company's asset-heavy, capital-intensive business model where EV/EBITDA is a far more relevant valuation metric.
Investors focusing on the astronomical P/E ratio may incorrectly conclude the stock is prohibitively expensive. However, this metric is meaningless for a company with near-zero net income. The EV/EBITDA multiple of 8.01x provides a clearer picture of valuation relative to cash flow generation and is more comparable to peers. Furthermore, for a company in a heavy investment cycle, price-to-book (P/B) at 1.75x is also a critical metric, as it reflects the market's assessment of the value of its tangible asset base and future growth options, which the P/E completely obscures.