Ternium (NYSE:TX) Releases Earnings Results, Misses Expectations By $0.15 EPS

Ternium (NYSE:TX) announced its quarterly earnings data on Wednesday. The basic materials company reported $0.62 earnings per share for the quarter, missing the consensus estimate of $0.77 by ($0.15), FiscalAI reports. Ternium had a net margin of 2.72% and a return on equity of 3.05%. 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 company earned ($0.42) EPS. The company’s quarterly revenue was down 2.6% compared to the same quarter last year.

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 Price Performance

Shares of NYSE:TX opened at $43.46 on Friday. The company’s fifty day moving average is $41.23 and its two-hundred day moving average is $37.20. The company has a market cap of $8.71 billion, a P/E ratio of 20.12 and a beta of 1.34. Ternium has a 12-month low of $24.00 and a 12-month high of $45.57. The company has a quick ratio of 1.42, a current ratio of 2.46 and a debt-to-equity ratio of 0.10.

Ternium Announces Dividend

The company also recently disclosed 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 83.33%.

Institutional Investors Weigh In On Ternium

Several hedge funds have recently bought and sold shares of TX. Empowered Funds LLC boosted its position in Ternium by 10.0% during the 4th quarter. Empowered Funds LLC now owns 95,129 shares of the basic materials company’s stock worth $3,633,000 after acquiring an additional 8,630 shares during the period. Quadrature Capital Ltd acquired a new stake in shares of Ternium during the fourth quarter worth approximately $331,000. Numerai GP LLC grew its position in Ternium by 206.4% during the fourth quarter. Numerai GP LLC now owns 40,743 shares of the basic materials company’s stock valued at $1,556,000 after purchasing an additional 27,447 shares in the last quarter. Millennium Management LLC increased its stake in Ternium by 386.4% in the 4th quarter. Millennium Management LLC now owns 76,026 shares of the basic materials company’s stock valued at $2,903,000 after buying an additional 60,397 shares during the period. Finally, Banco Bilbao Vizcaya Argentaria S.A. lifted its position in Ternium by 8.5% in the 4th 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. 11.98% of the stock is owned by hedge funds and other institutional investors.

Analyst Upgrades and Downgrades

Several brokerages have recently issued reports on TX. Wall Street Zen cut shares of Ternium from a “buy” rating to a “hold” rating in a research note on Saturday, November 1st. Weiss Ratings restated a “hold (c)” rating on shares of Ternium in a report on Wednesday, January 21st. UBS Group lifted their price target on shares of Ternium from $32.00 to $39.00 and gave the stock a “neutral” rating in a research report on Monday, December 15th. Zacks Research downgraded Ternium from a “strong-buy” rating to a “hold” rating in a research report on Thursday, January 29th. Finally, Wells Fargo & Company reduced their price objective on Ternium from $34.00 to $33.00 and set an “underweight” rating for the company in a research note on Thursday. One research analyst has rated the stock with a Strong Buy rating, three have assigned a Buy rating, four have issued a Hold rating and two have given a Sell rating to the company’s stock. According to data from MarketBeat, the company currently has a consensus rating of “Hold” and an average target price of $35.94.

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.