# South32 Limited (S32.L) fundamentals

Data as of 2026-09-08. LSE, United Kingdom. Sector: Basic Materials / Metals & Mining. Price 275p, market value 12.3 billionp.

## Valuation
- **P/E (trailing): 16.2×** (5-yr avg 1671.0×, 3-yr avg 2956.6×). South32 Limited trades at 16.2× trailing earnings, well below its own five-year average of 1671.0×: cheap by its own standards. The Basic Materials median in the September 2026 study was 19.0×. Forward P/E is 18.8×, higher than trailing, so analysts expect earnings to fall.
- **Price / sales: 2.9×**. Each dollar of revenue is priced at 2.9×.
- **Price / book: 1.7×**. The shares trade at 1.7× book value; book value is a meaningful part of the valuation.
- **EV / EBITDA: 8.1×**. Enterprise value is 8.1× operating earnings before depreciation, the multiple that ignores how the company is financed.
- **Free-cash-flow yield: 3.0%** (5-yr avg 0.1%). Free cash flow equals 3.0% of the market value, above its five-year average of 0.1%, so the shares are cheaper on cash than they have usually been.
- **Earnings yield: 6.2%**. The inverse of the P/E: 6.2% of the price is earned each year.

## Profitability
- **Gross margin: 43.7%**. South32 Limited keeps 43.7% of revenue after the direct cost of what it sells.
- **Operating margin: 15.3%**. 15.3% of revenue is left after running the business, a healthy level in most sectors.
- **Net margin: 18.7%**. 18.7% of each dollar of sales reaches the bottom line.
- **Return on equity: 11.2%**. 11.2% on shareholders' equity is solid.
- **Return on invested capital: 7.3%**. Return on all capital, debt included, is 7.3%.
- **Return on assets: 7.5%**. Each dollar of assets produces 7.5% of profit.

## Growth
- **Revenue growth (1 yr): 0.6%** (3-yr 1.0%/yr, 5-yr 1.2%/yr). Revenue grew 0.6% over the last year, against 1.2% a year compounded over five years: growth is slowing.
- **Free-cash-flow growth (3 yr): 18.2%/yr**. Free cash flow has compounded at 18.2% a year over three years.

## Financial health
- **Debt to equity: 0.19**. Debt is 0.19 times equity: a conservative balance sheet.
- **Net debt / EBITDA: net cash**. South32 Limited holds more cash than debt.
- **Interest coverage: 4.2×**. Operating profit covers interest 4.2× over, a safe margin.
- **Current ratio: 2.44** (quick 1.92). Current assets cover the next year's liabilities 2.44 times.
- **Altman Z-score: 3.25**. A Z-score of 3.25 places the company in the safe zone for bankruptcy risk.
- **Piotroski F-score: 7/9**. 7 of 9 fundamental checks pass: strong and improving financials.

## Dividends
- **Dividend yield: 2.48%** (0p per share, trailing). South32 Limited yields 2.48%, a modest yield more typical of a growth-oriented payer.
- **Payout ratio: 27%** (58% of free cash flow). 27% of earnings goes out as dividends, leaving room to keep raising it.
- **Consecutive years of increases: 1**. 1 straight year of increases.
- **Dividend growth (5 yr): 13.6%/yr** (1-yr 72.5%). The dividend has compounded at 13.6% a year over five years, doubling roughly every 5 years at that pace.
- **Shareholder yield: 2.7%**. Dividends plus net buybacks return 2.7% of the market value a year.

## Analyst view
- **Analyst consensus: buy** (9 analysts). 9 analysts cover South32 Limited; the consensus is buy, with an average price target of 261p (-5% from the current price). Analyst opinion is shown for context; it is not part of the Fundamental Score.

## Price and momentum
- **Total return (1 yr): 114.3%** (YTD 55.2%, 3-mo 12.7%). The shares are up 114.3% over twelve months including dividends.
- **From 52-week high: -2.2%** (123.0% above the low). Trading within 5% of its 52-week high.
- **200-day average: above**. The price sits above its 200-day moving average, the usual definition of an uptrend.
- **RSI (14-day): 64**. An RSI of 64 is neutral.
- **Beta (1 yr): 1.31** (volatility 40%). Beta of 1.31 against the FTSE All-Share: the shares move much more than the market.

Live score and charts: https://foliofundamentals.com/analyzer?s=S32.L · Page: https://foliofundamentals.com/stocks/s32.l

Not investment advice.