China Steel Corporation (2002.TW) stock analysis

In our weekly check, China Steel Corporation is graded D (A to F). Of 23 checks on debt, profit, cash flow and trend: 10 pass, warnings: 2, red flags: 11.

About China Steel Corporation

China Steel Corporation is a Basic Materials company (Steel) based in Taiwan, listed on TAI as 2002.TW.

What our checks show for 2002.TW

Red flags

• Net debt is 8.3x a year of EBITDA (debt/equity 0.92). That limits room in a downturn and raises refinancing risk.
• Operating profit does not cover the interest bill (0.1x): interest is paid from cash or new debt.
• The net margin fell by 14.2 points over 5 years, to -1%: the company keeps less of each sale as profit.
• The gross margin fell by 16.2 points, to 4.2%: costs are rising faster than prices.
• Revenue fell 11% a year over the last 3 years.
• Earnings per share fell 43.4% a year over the last 3 years.
• The company is losing money: the net margin is -1%.
• China Steel Corporation pays a dividend while losing money: it is funded from reserves or debt.
• The stock has fallen as much as 62% from a peak. Would you have held through that?
• Recovering from its deepest fall took about 5.1 years.
• Return on capital (ROCE) is only 0.1%.

Warning signs

• Analysts expect only about 3.8% a year of growth in revenue.
• Free cash flow is only 2% of revenue.

Strengths

• Operating cash flow is 8.3x net profit: the profit arrives as real cash.
• Analysts expect earnings per share to grow about 37% a year over the next years.
• Analysts expect the net margin to improve by 2.7 points from today's -1%.
• Beta 0.48: the stock usually moves less than the market.
• Actively traded: about 36.9 million shares a day.
• Pay in shares is only 0% of free cash flow.

Next earnings report: 2026-10-30

Similar companies

NUE · TATASTEEL.NS · STLD

Questions

What grade does China Steel Corporation (2002.TW) have?

In our weekly check, China Steel Corporation is graded D (A to F). Of 23 checks on debt, profit, cash flow and trend: 10 pass, warnings: 2, red flags: 11. The grade is a risk check, not a buy or sell recommendation.

What are the main risks of 2002.TW stock?

This week's biggest flags for China Steel Corporation: High debt, Weak interest cover, Margins falling. In total 13 of 23 checks show a warning or a red flag.

What does China Steel Corporation do?

China Steel Corporation is a Basic Materials company (Steel) based in Taiwan, listed on TAI as 2002.TW.

When does China Steel Corporation report earnings next?

The next earnings report is expected on 2026-10-30. We re-run the checks every week, so the grade can change after it.

The grade is a risk check, not a price forecast, and not investment advice. In our 10-year test (S&P 500, 2016-2026), stocks we graded A or B fell more than 30% 2-3 times less often than D or F, without a lower average return.

Updated 2026-10-24

Open the full analysis