Eregli Demir ve Çelik Fabrikalari T.A.S. (EREGL.IS) stock analysis

In our weekly check, Eregli Demir ve Çelik Fabrikalari T.A.S. is graded C (A to F). Of 25 checks on debt, profit, cash flow and trend: 14 pass, warnings: 3, red flags: 8.

About Eregli Demir ve Çelik Fabrikalari T.A.S.

Eregli Demir ve Çelik Fabrikalari T.A.S. is a Basic Materials company (Steel), listed on IST as EREGL.IS.

What our checks show for EREGL.IS

Red flags

• Operating profit does not cover the interest bill (1x): interest is paid from cash or new debt.
• The net margin fell by 19.1 points over 5 years, to 3.6%: the company keeps less of each sale as profit.
• The gross margin fell by 28.1 points, to 9.3%: costs are rising faster than prices.
• The net margin is only 3.6%: little room if costs rise.
• The stock has fallen as much as 73% from a peak. Would you have held through that?
• Recovering from its deepest fall took about 5.1 years.
• The share count grew by 92.1% in 2 years: each shareholder owns a smaller slice.
• Return on capital (ROCE) is only 2.8%.

Warning signs

• Earnings per share fell 36.2% a year over the last 3 years.
• Net profit fell 19.8% a year over the last 3 years.
• The price swings a lot: 40.6% annual volatility. Expect large ups and downs.

Strengths

• Operating cash flow is 3.6x net profit: the profit arrives as real cash.
• Analysts expect earnings per share to grow about 65.8% a year over the next years.
• Analysts expect the net margin to improve by 4.8 points from today's 3.6%.
• Revenue grew 26.2% a year over the last 3 years.
• The dividend takes 47% of profit: there is a cushion.
• Actively traded: about 133 million shares a day.

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Questions

What grade does Eregli Demir ve Çelik Fabrikalari T.A.S. (EREGL.IS) have?

In our weekly check, Eregli Demir ve Çelik Fabrikalari T.A.S. is graded C (A to F). Of 25 checks on debt, profit, cash flow and trend: 14 pass, warnings: 3, red flags: 8. The grade is a risk check, not a buy or sell recommendation.

What are the main risks of EREGL.IS stock?

This week's biggest flags for Eregli Demir ve Çelik Fabrikalari T.A.S.: Weak interest cover, Margins falling, Gross margin falling. In total 11 of 25 checks show a warning or a red flag.

What does Eregli Demir ve Çelik Fabrikalari T.A.S. do?

Eregli Demir ve Çelik Fabrikalari T.A.S. is a Basic Materials company (Steel), listed on IST as EREGL.IS.

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 2026-10-31

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