POSCO

PKX

Market cap $16.1B

I'm sticking with a 'Buy' rating for POSCO Holdings, as I have a favorable view of its cash management strategy. PKX has generated a huge amount of surplus capital by reorganizing its business portfolio. The firm has recently made some lithium-related investments, which will increase its exposure to the "green transition" theme.

POSCO expands its palm oil empire with a major acquisition and new refinery, creating a fully integrated value chain from seeds to biofuel feedstock.

U.S. investors are staring down several headwinds at the moment: heightened tech stock valuations, hawkish Federal Reserve commentary, and erratic tariff policies from the Trump administration.

PKX commits KRW 1.1T to secure premium lithium in Australia and Argentina, boosting its fast-growing battery-materials push.

Australia's Mineral Resources will sell a 30% stake in its operational lithium business to South Korea's POSCO Holdings for $765 million after placing it under a new joint venture, the miner said on Wednesday.

ReElement Technologies has signed a long-term supply agreement with POSCO International America, in a move aimed at boosting U.S. refining capacity for rare earth elements and tightening cooperation with South Korea.

POSCO Holdings Inc. (NYSE:PKX ) Q4 2023 Results Conference Call January 31, 2024 1:00 AM ET Company Participants Ki-Seop Jeong - CSO Ban Don-ho - CEO Byeong-Og Yoo - Head-Green Materials & Energy Business Kim Kyung-Han - Head-International Trade Affairs Office Kyung-Sub Lee - Co-Chief-LiB Materials Business & Executive Officer Seung-Jun Kim - Executive Officer & Head of Finance Team Suh Ji-Won - Head-Raw Materials Office Young-Ah Han - Head-IR Team, Executive Officer & SVP Conference Call Participants Eugene Lee - Eugene Securities Park Hyun-Wook - Hyundai Securities Hyun-Soo - Yuanta Securities Kim Yoon Sang - HI Investment Securities Ki-Seop Jeong Good afternoon. I am Ki-Seop Jeong, CSO of POSCO Holdings.

PKX's unit partners with Ulaanbaatar to launch a sewage heat project, aiming to cut coal use and ease severe winter pollution.

Here at Zacks, our focus is on the proven Zacks Rank system, which emphasizes earnings estimates and estimate revisions to find great stocks. Nevertheless, we are always paying attention to the latest value, growth, and momentum trends to underscore strong picks.

POSCO Holdings is undervalued versus global peers, trading at a P/B of 0.39x, and offers an attractive entry point after a 60% price decline. I expect further USD weakness, a rally in Korean equities, and likely passage of the K-Steel Act to act as catalysts for PKX. Risks include continued Chinese steel dumping and a worsening global economic slowdown, which could impact PKX's profitability and demand.