Ternium (NYSE:TX) Posts Earnings Results, Misses Estimates By $0.15 EPS

Ternium (NYSE:TX) issued its earnings results 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 3.72% and a return on equity of 1.89%. The firm had revenue of $3.78 billion during the quarter, compared to analysts’ expectations of $3.81 billion. During the same period in the previous year, the firm earned ($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 Price Performance

Shares of TX stock opened at $43.60 on Wednesday. The firm’s 50 day moving average price is $41.02 and its two-hundred day moving average price is $37.11. 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 has a 52-week low of $24.00 and a 52-week high of $45.57. The stock has a market cap of $8.74 billion, a PE ratio of 14.46 and a beta of 1.34.

Institutional Trading of Ternium

A number of hedge funds and other institutional investors have recently made changes to their positions in the business. Banco Bilbao Vizcaya Argentaria S.A. lifted its position in Ternium by 8.5% during 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. Cetera Investment Advisers raised its stake in Ternium by 20.6% in the fourth quarter. Cetera Investment Advisers now owns 28,919 shares of the basic materials company’s stock valued at $1,104,000 after buying an additional 4,933 shares during the period. Lazard Asset Management LLC lifted its holdings in Ternium by 0.9% during the 4th quarter. Lazard Asset Management LLC now owns 5,866,281 shares of the basic materials company’s stock valued at $224,033,000 after purchasing an additional 52,711 shares during the last quarter. Amundi raised its holdings in Ternium by 4.2% in the 4th quarter. Amundi now owns 586,491 shares of the basic materials company’s stock valued at $22,398,000 after acquiring an additional 23,578 shares during the period. Finally, Squarepoint Ops LLC bought a new stake in shares of Ternium during the fourth quarter worth approximately $367,000. 11.98% of the stock is currently owned by institutional investors and hedge funds.

Analyst Upgrades and Downgrades

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

Ternium Company Profile

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.