Companhia Siderúrgica Nacional ( SID ), or simply CSN, does not look like a stock I want to be long right now. Not because the company is bad or lacks relevant assets, but because the level ofEnglish and Brazilian Portuguese translator, proofreader, editor, and content writer specializing in Finance, Economics, and Investments. My strategy is focused on wealth preservation, income, and long-term appreciation. My national portfolio is made of Brazilian hand-picked stocks and real estate funds, and my interna ...

PresentationOperator Good morning, and thank you for holding. Welcome to the CSN conference call to present Strategic Update for the year 2026. Joining us today are the company's executive officers. We would like to inform you that this event is being recorded [Operator Instructions]. This event can be accessed at the site for CSN where the presentation is also available. The replay will be available soon after closing. Before proceeding, we would like to state that some of the forward-looking statements ...

Summary of Companhia Siderúrgica Nacional (CSN) Strategic Update Call Company Overview - **Company**: Companhia Siderúrgica Nacional (CSN) - **Industry**: Steel and Mining - **Date of Call**: January 15, 2026 Key Points Strategic Plan and Deleveraging - CSN aims to reduce leverage by approximately **$16 billion to $18 billion** through divestment of certain assets in 2026, targeting a leverage ratio of around **1.8** [3][4][10] - The company has already initiated the sale of **BRL 3.35 billion** in shares to MRS as part of this deleveraging strategy [15][32] - The goal is to enter a new growth cycle of **eight years** while maintaining a sustainable leverage level [4] Mining Segment - CSN is the **seventh-largest iron ore exporter** globally, with a strong EBITDA generation and high profitability [4] - The mining segment is expected to achieve an EBITDA uplift of approximately **$4 billion per year** [4] - The company has **$3 billion** in reserves supporting an extended mine life [4] Infrastructure Segment - CSN Infrastructure includes **seven railway, port, and multimodal assets**, with a projected EBITDA of over **BRL 60 billion** in the near future [5][6] - The company plans to sell a relevant share of infrastructure assets by 2026 to enhance cash flow [6][9] Cement Segment - CSN Cement is a leading player in Brazil's cement production, with EBITDA margins reaching **30%**, the highest in the sector [7] - The short-term strategy includes seeking the sale of control of CSN Cement by 2026 [7][10] Steel Segment - CSN Steel is recovering profitability and is one of Brazil's largest integrated flat steel producers [8] - The company is assessing strategic alternatives and partnerships to maximize cash generation in the steel segment [8][9] Energy Segment - CSN Energy is one of Brazil's largest renewable energy platforms, achieving self-sufficiency since 2023 [9] - The segment has EBITDA margins between **30% and 40%**, with a focus on energy transition [9] Market Conditions and Challenges - The company faces challenges from high interest rates and competition from imported products, which impact growth and investment [12][13] - CSN emphasizes the need for commitment to investment and growth despite the current economic environment [12][19] Future Outlook - CSN is optimistic about the improvement in profitability and market conditions in 2026, driven by strategic actions taken in 2025 [15] - The company is focused on enhancing its capital structure and reducing leverage to facilitate future investments [19][40] Investor Engagement - The management is actively engaging with investors and exploring strategic partnerships to enhance capital generation [44] - The company is open to future IPOs or sales of stakes in its segments, depending on market conditions and valuations [37][45] Regulatory Considerations - The sale of assets will require regulatory approvals, including from antitrust agencies [50] - The company is prepared to navigate these procedural requirements as part of its strategic initiatives [50] Conclusion CSN is strategically positioning itself for growth through a comprehensive deleveraging plan, focusing on its core segments of mining, infrastructure, cement, steel, and energy. The company aims to enhance profitability while navigating market challenges and engaging with investors for future opportunities.

Core Viewpoint - Siderurgica Nacional (SID) has received a Zacks Rank 2 (Buy) upgrade due to an upward trend in earnings estimates, indicating a positive outlook for the company's stock price [1][3]. Earnings Estimates and Stock Price Movement - The Zacks rating system is based on changes in a company's earnings picture, which significantly influences stock prices [2][4]. - Rising earnings estimates for Siderurgica Nacional suggest an improvement in its underlying business, likely leading to increased stock prices as investors respond positively [5][10]. Zacks Rank System - The Zacks Rank system classifies stocks into five groups based on earnings estimates, with a strong historical performance, particularly for Zacks Rank 1 stocks, which have averaged a +25% annual return since 1988 [7]. - Siderurgica Nacional's upgrade to Zacks Rank 2 places it in the top 20% of Zacks-covered stocks, indicating strong potential for market-beating returns in the near term [10]. Earnings Estimate Revisions - For the fiscal year ending December 2025, Siderurgica Nacional is expected to earn $0.13 per share, with no year-over-year change; however, the Zacks Consensus Estimate has increased by 150% over the past three months, reflecting analysts' growing optimism [8].

Momentum investing revolves around the idea of following a stock's recent trend in either direction. In "long context," investors will be essentially be "buying high, but hoping to sell even higher." With this methodology, taking advantage of trends in a stock's price is key; once a stock establishes a course, it is more than likely to continue moving that way. The goal is that once a stock heads down a fixed path, it will lead to timely and profitable trades.Even though momentum is a popular stock characte ...

分组1 - Momentum investing focuses on "buying high and selling higher" rather than traditional "buying low and selling high" strategies [1] - Fast-moving trending stocks can lose momentum if their future growth does not justify their high valuations, leading to potential downside risks for investors [2] - Investing in bargain stocks that have recently shown price momentum can be a safer strategy, with tools like the Zacks Momentum Style Score aiding in identifying such stocks [3] 分组2 - Siderurgica Nacional (SID) has shown a price increase of 7.5% over the past four weeks, indicating growing investor interest [4] - SID has gained 14.7% over the past 12 weeks and has a beta of 1.67, suggesting it moves 67% more than the market [5] - SID has a Momentum Score of A, indicating a favorable time to invest based on momentum [6] - An upward trend in earnings estimate revisions has helped SID achieve a Zacks Rank 2 (Buy), which is associated with strong momentum effects [7] - SID is trading at a Price-to-Sales ratio of 0.31, indicating it is attractively priced at 31 cents for each dollar of sales [7] - There are other stocks that also meet the criteria of the 'Fast-Paced Momentum at a Bargain' screen, suggesting additional investment opportunities [8]

We recently published 10 Stocks With Massive Gains; 5 at Record Highs. Companhia Siderurgica Nacional (NYSE:SID) was one of the top performers on Wednesday. Companhia Siderurgica Nacional (NYSE:SID) extended its winning streak to a fourth consecutive day on Wednesday to hit a new 52-week high, as investors took path from a broader optimism for the steel industry’s recovery this year. During the session, the stock soared by 7.43 percent to close at $1.88 apiece—a record high. Photo from Pexels In an up ...

Financial Performance - In Q3 2025, Companhia Siderúrgica Nacional (CSN) reported net revenue of R$ 11,794 million, a growth of 10.3% from Q2 2025 and 6.6% from Q3 2024, driven by increased iron ore prices and operational improvements in the mining segment[14]. - Gross profit for Q3 2025 reached R$ 3,467 million, reflecting a 27.2% increase from Q2 2025 and 26.8% from Q3 2024, resulting in a gross margin of 29.4%, up 3.9 percentage points quarter-over-quarter[14]. - Adjusted EBITDA for Q3 2025 was R$ 3,319 million, with an adjusted EBITDA margin of 26.8%, an increase of 3.3 percentage points from the previous quarter, supported by record production and sales in mining and cement[20]. - CSN achieved a net income of R$ 76 million in Q3 2025, marking a significant turnaround from a net loss of R$ 130 million in Q2 2025, attributed to operational improvements and favorable exchange rate impacts[16]. - The financial result for Q3 2025 was negative at R$ 1,443 million, a 24.1% improvement from Q2 2025, due to better returns on financial investments and lower interest rates on foreign currency borrowings[18]. - Selling, general, and administrative expenses totaled R$ 1,560 million in Q3 2025, a 4.2% increase from Q2 2025, but an 8.7% decrease compared to Q3 2024, reflecting better expense control[14]. - CSN's accumulated EBITDA for the first nine months of 2025 increased by 18.6% compared to the same period in 2024, totaling R$ 8,471 million, highlighting the benefits of a diversified operation[20]. Debt and Cash Flow - Consolidated net debt as of September 30, 2025, was R$ 37,545 million, with a Net Debt/EBITDA ratio of 3.14x, a reduction of 10 basis points from the previous quarter, indicating a commitment to debt reduction[26]. - Net cash flow from operating activities was $392,504, a significant improvement compared to a loss of $(245,577) in the previous year[98]. - The net profit attributable to controlling shareholders was a loss of $(137,063), while non-controlling shareholders saw a profit of $213,518[98]. - Charges on loans and financing raised amounted to $909,733, slightly down from $1,002,213 in the previous year[98]. - Cash flow from investing activities was $(1,870,732), reflecting increased investments compared to $(1,561,952) last year[98]. - Cash flow from financing activities showed a net outflow of $(323,223), contrasting with an inflow of $357,897 in the previous year[98]. - The company reported a decrease in cash and cash equivalents at the end of the period to $16,526,099 from $18,305,208[98]. Operational Highlights - Total investments in 3Q25 reached R$ 1,435 million, marking a 7.8% increase from the previous quarter, driven by infrastructure projects[35]. - Steel production at UPV decreased by 7.6% from 2Q25 to 726 thousand tons, and flat-rolled steel production fell by 3.2% from 2Q25[49]. - Total sales volume in 3Q25 was 1,058 thousand tons, a 4.4% increase from the previous quarter but a 9.9% decrease from 3Q24[52]. - The company continues to modernize operations at the UPV steel mill, contributing to efficiency improvements despite reduced Capex in the steel industry[35]. - In 3Q25, total sales volume in the civil construction segment increased by 2.9 percentage points, reaching 19.8% of total sales, while the automotive segment decreased by 1.3 percentage points to 12.9%[53]. - Crude steel production in the first nine months of 2025 reached 24.9 million tons, a 1.7% increase compared to the same period in 2024, while apparent consumption rose by 4.1% to 20.4 million tons[57]. - Iron ore production reached a record high of 11,928 thousand tons in 3Q25, representing a 2.8% increase from the previous quarter and a 4.3% increase year-over-year[68]. - Sales volume in mining reached 12,396 thousand tons in 3Q25, marking a 4.8% increase from the previous quarter and a 4.3% increase year-over-year, with adjusted net revenue totaling R$ 4,419 million[71]. - Adjusted EBITDA for mining in 3Q25 was R$ 1,939 million, with a margin of 43.9%, reflecting a significant increase in profitability due to higher iron ore prices[73]. - Net revenue in the logistics segment reached R$ 1,217 million in 3Q25, a 3.4% increase from the previous quarter, with adjusted EBITDA of R$ 550 million[81]. - In the cement sector, CSN recorded a 4.6% increase in sales volume in 3Q25 compared to the previous quarter, demonstrating effective market strategy[76]. Market Performance - CSN's market value reached R$ 10.48 billion in Q3 2025, with a closing share price of R$ 7.90[92]. - The average daily trading volume of CSN shares was R$ 62.36 million in Q3 2025, with a share price increase of 6.2% during the quarter[91]. - The company’s foreign market sales amounted to R$ 6.18 billion in Q3 2025, compared to R$ 4.98 billion in Q2 2025, indicating a strong recovery in international demand[95]. - Net revenue in the steel industry for 3Q25 was R$ 5,294 million, a 12.4% decrease compared to 3Q24, primarily due to price pressure from imported materials[59]. - Adjusted EBITDA in 3Q25 reached R$ 428 million, a 26.3% decrease from the previous quarter but a 10.2% increase year-over-year, with an adjusted EBITDA margin of 8.1%[62]. Future Outlook - The company anticipates future economic conditions and industry trends will impact financial results, with no guarantees on expected outcomes[100]. - The company is focused on implementing principal operating and financing strategies to enhance liquidity and operational efficiency[100]. - Management's forward-looking statements reflect current views and are subject to risks and uncertainties that could affect actual results[100]. - The company plans to continue monitoring market conditions to adjust its strategies accordingly[100].

Financial Data and Key Metrics Changes - CSN achieved a 26% growth in EBITDA, reaching BRL 3.3 billion, with an EBITDA margin of 27%, marking a quarter-on-quarter gain of 330 basis points [5] - The company's leverage ratio decreased to 3.1 times from 3.5 times at the end of the previous year, indicating improved financial discipline [5][14] - Adjusted cash flow was negative at BRL 815 million, an improvement from the previous quarter's negative BRL 1.4 billion, reflecting the impact of high interest rates and working capital consumption [13] Business Line Data and Key Metrics Changes - In mining, CSN shipped over 12 million tons for the first time, with a 5% increase in sales volume compared to the previous quarter, and a 57% growth in EBITDA to over BRL 1.9 billion [6][20] - The cement segment recorded the second-largest sales volume in CSN's history, with over 3.6 million tons sold, achieving an EBITDA of BRL 388 million and a margin of 29% [10][23] - The logistics segment reached a record EBITDA of BRL 550 million with a margin above 35%, driven by increased cargo handling efficiency [10][24] Market Data and Key Metrics Changes - The steel market remains pressured by imported materials, with CSN being the only company to show growth in freights and EBITDA despite adverse conditions [7] - The cement market showed resilience with increased consumption, particularly benefiting from the Minha Casa Minha Vida program and high employment levels in the real estate sector [9][21] - The company noted a recovery in iron ore prices, which positively impacted profitability, with prices above $100 per ton [20] Company Strategy and Development Direction - CSN is focused on operational efficiency and cost control, with a strategy to maximize production while maintaining competitive pricing [27][28] - The company is pursuing strategic projects, including the CSN Infrastructure Project, which aims to enhance liquidity and reduce leverage [34][37] - Management emphasized the need for protective measures against imported goods to support local production and competitiveness [29][41] Management's Comments on Operating Environment and Future Outlook - Management expressed cautious optimism about the steel industry's recovery, citing improved price dynamics and anti-dumping measures [9][41] - The company anticipates continued operational improvements across all segments, with a focus on maintaining strong EBITDA margins [34][46] - There is an expectation for the fourth quarter to show improved performance, with a target of returning to double-digit EBITDA margins [43][54] Other Important Information - CSN reported a 13% increase in working capital compared to the previous quarter, reflecting improved commercial accuracy [13] - The company achieved the lowest steel production costs in four years, indicating enhanced operational efficiency [8][19] - CSN's ESG initiatives have been recognized, with significant advancements in safety, environmental sustainability, and diversity [26] Q&A Session Summary Question: Discussion on leverage and divestment strategy - Management confirmed a deleveraging process, reducing leverage from 3.5 to 3.1 times, and highlighted the importance of strategic projects like CSN Infrastructure for future liquidity [33][34] Question: Insights on commercial strategy and fourth-quarter outlook - Management acknowledged the challenges posed by high competition and import penetration but emphasized a focus on value over volume, with expectations for improved margins in the fourth quarter [38][39] Question: Addressing cash burn and financial initiatives - Management reported a reduction in cash burn from BRL 4 billion to BRL 800 million, attributing this to better operational results and cost controls [44][45] Question: Updates on anti-dumping measures and market conditions - Management expressed optimism regarding upcoming anti-dumping measures, particularly for galvanized products, and noted a robust demand in the domestic market despite high import levels [50][52]

Financial Performance - CSN achieved its highest EBITDA of the year, growing by 25.6% in Q3 2025[4] - Adjusted EBITDA margin reached 26.8%, a 3.3 percentage point increase compared to Q2 2025[4] - The company's leverage decreased by 35 basis points from Q4 2024, reaching 3.14x[4] - Adjusted free cash flow was negative, impacted by financial expenses, increased investment activities, and working capital consumption[19] Mining - Mining achieved a new production and sales record with over 12 million tons commercialized in Q3 2025[4] - Mining EBITDA reached R$1.9 billion[4] - Mining EBITDA margin adjusted reached 43.9%, a 7.8 percentage point increase compared to Q2 2025[4] - Sales volume reached 12.4 million tons, marking the company's best result ever[46] Other Segments - Steel EBITDA reached a record of R$550 million[4] - Cement EBITDA reached a record of R$388 million[4] - Logistics EBITDA reached a record of R$550 million, with a 5% increase in sales volume compared to Q2 2025[4]