Ternium remains disciplined and operationally strong amid trade policy uncertainties and regional demand challenges, generating respectable unit margins despite headwinds. Q1 results showed improving pricing and margins, with Mexico outperforming and management maintaining cost discipline; adjusted EBITDA rose 49% year-over-year. TX's long-term thesis hinges on cross-border U.S.-Mexico trade, share gains with autos/machinery customers, and the completion of the Pesqueria expansion project.
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.
Does Ternium S.A. (TX) have what it takes to be a top stock pick for momentum investors?
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.
Ternium S.A. (TX) Q1 2026 Earnings Call Transcript
While the top- and bottom-line numbers for Ternium (TX) give a sense of how the business performed in the quarter ended March 2026, it could be worth looking at how some of its key metrics compare to Wall Street estimates and year-ago values.
Ternium S.A. is rated a Strong Buy for its compelling growth and income profile, underpinned by a 7% dividend yield. TX's aggressive capacity expansion in Mexico and Brazil, supported by a strong balance sheet and cash flow, positions it for margin growth in H2 2026. Falling input costs — particularly iron ore and coking coal — combined with rising steel prices in core markets are expected to drive EBITDA margin recovery to 10–11%.
The headline numbers for Ternium (TX) give insight into how the company performed in the quarter ended December 2025, but it may be worthwhile to compare some of its key metrics to Wall Street estimates and the year-ago actuals.
Ternium (TX) made it through our 'Fast-Paced Momentum at a Bargain' screen and could be a great choice for investors looking for stocks that have gained strong momentum recently but are still trading at reasonable prices.
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.
Ternium is dealing with a cyclical downturn driven by trade issues in Mexico and Brazil, yet remains a highly efficient operator with long-term growth potential. The ongoing trade dispute between the U.S. and Mexico has meaningfully impacted domestic manufacturing and infrastructure activity, driving a 10% decline in steel demand. I see TX as undervalued below $50, with DCF suggesting fair value in the high-$50s and a multiples-based approach supporting a $50 target.
Ternium S.A. ( TX ) Q3 2025 Earnings Call October 29, 2025 8:30 AM EDT Company Participants Sebastián Martí - Investor Relations Director Maximo Vedoya - Chief Executive Officer Pablo Brizzio - Chief Financial Officer Conference Call Participants Carlos de Alba - Morgan Stanley, Research Division Alfonso Salazar - Scotiabank Global Banking and Markets, Research Division Alexander Hacking - Citigroup Inc. Exchange Research Rafael Barcellos - Banco Bradesco BBI S.A.