Ternium (NYSE:TX) Announces Earnings Results

Ternium (NYSE:TX) released its earnings results on Wednesday. The basic materials company reported $0.62 EPS for the quarter, missing the consensus estimate of $0.77 by ($0.15), FiscalAI reports. Ternium had a return on equity of 1.89% and a net margin of 3.72%.The firm had revenue of $3.78 billion during the quarter, compared to analyst estimates of $3.81 billion. During the same quarter last year, the business posted ($0.42) EPS. The firm’s revenue was down 2.6% on a year-over-year basis.

Here are the key takeaways from Ternium’s conference call:

• Ternium’s cost and efficiency program delivered $250 million in savings in 2025 versus 2024, helping sustain a 10% EBITDA margin; management expects sequentially higher adjusted EBITDA in Q1 2026 driven by margin and shipment improvements.
• The company reported fatal accidents at Ternium Mexico and Ternium Brazil (and at Usiminas) in 2025, calling these outcomes unacceptable and prompting a ramp‑up of safety and critical‑risk preventive actions.
• Downstream expansion at Pesquería (cold rolling, galvanizing, pickling, finishing) is operational and the upstream slab plant remains on track for year‑end start; Ternium secured a $1.25 billion green loan to support the project.
• New trade measures—U.S. actions, Mexico’s higher tariffs and Brazil’s anti‑dumping/tariff moves—are reshaping regional steel markets and may support local producers, but timing and the ultimate impact (including USMCA outcomes) remain uncertain.
• Financially, 2025 generated $2.3 billion cash from operations, the board proposed a $2.7 per ADS annual dividend (yield >6%), and management forecasts CapEx ≈ $2 billion in 2026 (declining to ~$1.2B in 2027 and ~$800M in 2028), which is expected to move the company from net cash to modest net debt in 2026.

Ternium Stock Up 0.7%

Ternium stock opened at $43.57 on Thursday. Ternium has a fifty-two week low of $24.00 and a fifty-two week high of $45.57. The firm has a market capitalization of $8.74 billion, a price-to-earnings ratio of 14.67 and a beta of 1.34. The stock’s fifty day moving average is $41.13 and its two-hundred day moving average is $37.15. The company has a debt-to-equity ratio of 0.10, a quick ratio of 1.42 and a current ratio of 2.46.

Ternium Announces Dividend

The company also recently announced a dividend, which will be paid on Friday, May 15th. Shareholders of record on Thursday, May 14th will be given a dividend of $0.90 per share. This represents a yield of 413.0%. The ex-dividend date is Thursday, May 14th. Ternium’s payout ratio is presently 60.61%.

Hedge Funds Weigh In On Ternium

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in TX. O Shaughnessy Asset Management LLC increased its stake in shares of Ternium by 1.8% during the 4th quarter. O Shaughnessy Asset Management LLC now owns 13,232 shares of the basic materials company’s stock worth $505,000 after purchasing an additional 231 shares in the last quarter. Caxton Associates LLP lifted its stake in Ternium by 2.8% in the 2nd quarter. Caxton Associates LLP now owns 17,819 shares of the basic materials company’s stock valued at $536,000 after buying an additional 484 shares in the last quarter. JPMorgan Chase & Co. grew its holdings in Ternium by 142.1% during the 3rd quarter. JPMorgan Chase & Co. now owns 1,254 shares of the basic materials company’s stock valued at $44,000 after buying an additional 736 shares during the last quarter. Banco Bilbao Vizcaya Argentaria S.A. increased its position in Ternium by 8.5% during the fourth quarter. Banco Bilbao Vizcaya Argentaria S.A. now owns 11,220 shares of the basic materials company’s stock worth $430,000 after buying an additional 883 shares in the last quarter. Finally, Atlas Capital Advisors Inc. purchased a new position in Ternium during the fourth quarter worth $36,000. Institutional investors and hedge funds own 11.98% of the company’s stock.

Wall Street Analysts Forecast Growth

TX has been the subject of a number of recent analyst reports. UBS Group raised their price objective on shares of Ternium from $32.00 to $39.00 and gave the company a “neutral” rating in a research report on Monday, December 15th. Wall Street Zen downgraded Ternium from a “buy” rating to a “hold” rating in a research note on Saturday, November 1st. Wells Fargo & Company lifted their price target on Ternium from $30.00 to $34.00 and gave the company an “underweight” rating in a research note on Wednesday, January 21st. Weiss Ratings reaffirmed a “hold (c)” rating on shares of Ternium in a report on Wednesday, January 21st. Finally, Zacks Research downgraded Ternium from a “strong-buy” rating to a “hold” rating in a report on Thursday, January 29th. One research analyst has rated the stock with a Strong Buy rating, three have assigned a Buy rating, four have given a Hold rating and two have assigned a Sell rating to the company’s stock. According to MarketBeat, the stock has an average rating of “Hold” and a consensus target price of $36.06.

Trending Headlines about Ternium

Here are the key news stories impacting Ternium this week:

• Positive Sentiment: Ternium declared a cash dividend of $0.90 per share (record date May 14, payment May 15). A meaningful dividend signals capital return to shareholders and can support the stock’s appeal to income and value investors. (Company release)
• Positive Sentiment: Management emphasized strategic cost‑savings initiatives and market growth prospects on the earnings call, highlighting actions to improve margins and operational efficiency — a constructive outlook if execution sustains profit recovery. Article Title
• Positive Sentiment: Year‑over‑year earnings improved from a loss in the prior period to positive EPS ($0.62), demonstrating recovery versus the comparable quarter last year — a potential confidence builder for longer‑term investors. Article Title
• Neutral Sentiment: Full earnings materials — transcript, slide deck and presentation — were published, providing investors with detailed guidance, segment data and management commentary for deeper analysis. These disclosures improve clarity but are neutral until they change guidance or show material surprises. Article Title
• Negative Sentiment: Ternium missed consensus Q4 estimates: EPS $0.62 vs. $0.77 expected and revenue ~$3.77–3.78B vs. $3.81B expected. The shortfall can pressure near‑term sentiment and may temper analyst outlooks until results improve. Article Title
• Negative Sentiment: Profitability metrics remain thin (net margin ~3.7%, ROE ~1.9%) and revenue was down ~2.6% year‑over‑year, highlighting ongoing margin pressure and modest growth — factors that could limit upside until margins recover. Article Title

About Ternium

Ternium SA (NYSE:TX) is a leading vertically integrated steel producer with operations across the Americas. The company manufactures a broad range of flat and long steel products, including hot‐rolled and cold‐rolled coils, galvanized and tin-coated sheets, plates, rebars, wire rods, bars and structural sections. These products serve diverse end markets such as automotive, construction, energy, industrial machinery, home appliances and packaging.

Established in 2005 through the consolidation of steel assets in Argentina and Mexico, Ternium has grown to operate major production facilities in Argentina, Brazil, Mexico, Colombia, Central America and the United States.