Breaking News
Get Actionable Insights with InvestingPro+: Start 7 Day FREE Trial Register here
Investing Pro 0
Ad-Free Version. Upgrade your Investing.com experience. Save up to 40% More details

Why Ternium is a Top High-Yield Stock to Buy for 2022

Stock MarketsDec 21, 2021 09:31AM ET
Saved. See Saved Items.
This article has already been saved in your Saved Items
 
© Reuters. Why Ternium is a Top High-Yield Stock to Buy for 2022

Luxembourg-based steel producer Ternium (TX) delivers a more than a 7% dividend yield and possesses solid growth attributes. So, let’s find out why it is wise to bet on the stock now, even though its EBITDA could decline in the fourth quarter. Read on.Based in Luxembourg, Ternium S.A. (TX) is Latin America’s leading flat steel producer, operating facilities in Mexico, Brazil, the Southern United States, and Central America. The company expects its fourth-quarter EBITDA to decline slightly. However, its volumes sold in the USMCA region are expected to increase in the quarter. Also, its shipments are expected to remain steady in Argentina.

TX has been paying dividends consistently every year since 2007. Its dividend payout has grown at a 38.1% CAGR over the past three years and 26.4% over the past five years. While the four-year average dividend yield for TX is 3.62%, the current dividend translates to a 7.11% yield. On on November 19, it paid a $0.08 per share ($0.80 per ADS) interim dividend, totaling roughly $157 million in aggregate. The stock has gained 7.2% in price over the past month and 24% over the past six months to close yesterday’s trading session at $40.77.

TX signed a memorandum of understanding with Vale S.A. (VALE) on August 19 to pursue opportunities to develop steelmaking solutions focused on reducing carbon dioxide emissions. And according to a Research and Markets report, the steel market is expected to grow by 614.20 million tons over the next five years, benefitting TX. So, its near-term prospects look promising.

Continue reading on StockNews

Why Ternium is a Top High-Yield Stock to Buy for 2022
 

Related Articles

WeWork appoints Andre Fernandez as CFO
WeWork appoints Andre Fernandez as CFO By Reuters - May 26, 2022

(Reuters) - Flexible workspace provider WeWork Inc on Thursday appointed Andre Fernandez as its chief financial officer (CFO), replacing Benjamin Dunham. Fernandez, who most...

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with other users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind:  

  •            Enrich the conversation, don’t trash it.

  •           Stay focused and on track. Only post material that’s relevant to the topic being discussed. 

  •           Be respectful. Even negative opinions can be framed positively and diplomatically. Avoid profanity, slander or personal attacks directed at an author or another user. Racism, sexism and other forms of discrimination will not be tolerated.

  • Use standard writing style. Include punctuation and upper and lower cases. Comments that are written in all caps and contain excessive use of symbols will be removed.
  • NOTE: Spam and/or promotional messages and comments containing links will be removed. Phone numbers, email addresses, links to personal or business websites, Skype/Telegram/WhatsApp etc. addresses (including links to groups) will also be removed; self-promotional material or business-related solicitations or PR (ie, contact me for signals/advice etc.), and/or any other comment that contains personal contact specifcs or advertising will be removed as well. In addition, any of the above-mentioned violations may result in suspension of your account.
  • Doxxing. We do not allow any sharing of private or personal contact or other information about any individual or organization. This will result in immediate suspension of the commentor and his or her account.
  • Don’t monopolize the conversation. We appreciate passion and conviction, but we also strongly believe in giving everyone a chance to air their point of view. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Write your thoughts here
 
Are you sure you want to delete this chart?
 
Post
Post also to:
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
 
Are you sure you want to delete this chart?
 
Post
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Continue with Google
or
Sign up with Email