📊 CSTM Key Takeaways
Is Constellium SE (CSTM) a Good Investment?
Constellium demonstrates solid operational performance with 15.2% revenue growth and strong profitability metrics (28.7% ROE, 5.1% ROA), but elevated leverage (2.0x debt/equity) and thin free cash flow generation (1.9% FCF margin) constrain financial flexibility. The company operates in a cyclical industry and must balance growth investments against debt reduction priorities.
Constellium shows solid top-line momentum and improved operating earnings, with revenue up 15.2% and operating income reaching $408 million. However, overall profit quality remains mixed because net margin and free cash flow margin are still thin, while leverage is elevated and liquidity is only adequate for a cyclical industrial business.
Why Buy Constellium SE Stock? CSTM Key Strengths
- Strong revenue growth of 15.2% YoY indicating solid demand and market positioning
- Exceptional ROE of 28.7% demonstrates efficient capital deployment
- Positive operating cash flow of $489M provides adequate debt servicing capability
- Stable operating margin of 4.8% in capital-intensive secondary metals refining
- Strong revenue growth of 15.2% YoY with positive operating leverage
- Healthy operating cash flow generation of $489 million and positive free cash flow
- Good returns on equity and assets, indicating efficient use of capital despite a tough industry backdrop
CSTM Stock Risks: Constellium SE Investment Risks
- High financial leverage with 2.0x debt-to-equity ratio limits strategic flexibility
- Weak free cash flow margin of 1.9% constrains dividend capacity and reduces financial cushion
- Quick ratio of 0.51x indicates potential short-term liquidity stress
- Cyclical industry exposure creates earnings volatility risk; net income declined 0.7% despite revenue growth
- Capital intensity requires $330M annual capex, leaving only $159M free cash flow on $8.4B revenue
- High leverage with debt/equity of 2.00x and only moderate interest coverage of 4.0x
- Thin net margin of 3.2% and free cash flow margin of 1.9% leave limited cushion if demand weakens
- Quick ratio of 0.51x suggests reliance on inventory and working capital execution for near-term liquidity
Key Metrics to Watch
- Debt-to-equity ratio trend and absolute leverage reduction progress
- Free cash flow margin improvement and cash conversion efficiency
- Operating margin sustainability amid commodity price cycles
- Quick ratio improvement to strengthen near-term liquidity position
- Free cash flow margin and capital expenditure intensity
- Debt reduction progress and interest coverage
Constellium SE (CSTM) Financial Metrics & Key Ratios
💡 AI Analyst Insight
The relatively thin 1.9% FCF margin may limit capital allocation flexibility.
CSTM Profit Margin, ROE & Profitability Analysis
CSTM vs Materials Sector: How Constellium SE Compares
How Constellium SE compares to Materials sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Constellium SE Stock Overvalued? CSTM Valuation Analysis 2026
Based on fundamental analysis, Constellium SE has mixed fundamental signals relative to the Materials sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
Constellium SE Balance Sheet: CSTM Debt, Cash & Liquidity
CSTM Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Constellium SE's revenue has remained relatively flat over the 5-year period, with a 1% decline. The most recent EPS of $1.03 reflects profitable operations.
CSTM Revenue Growth, EPS Growth & YoY Performance
CSTM Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2025 | $1.8B | $7.0M | $0.05 |
| Q2 2025 | $1.9B | $36.0M | $0.25 |
| Q1 2025 | $1.9B | $21.0M | $0.14 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Constellium SE Dividends, Buybacks & Capital Allocation
CSTM SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Constellium SE (CIK: 0001563411)
📋 Recent SEC Filings
❓ Frequently Asked Questions about CSTM
What is the AI rating for CSTM?
Constellium SE (CSTM) has a Combined AI Rating of HOLD from Claude (HOLD) and ChatGPT (HOLD) with 70% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are CSTM's key strengths?
Claude: Strong revenue growth of 15.2% YoY indicating solid demand and market positioning. Exceptional ROE of 28.7% demonstrates efficient capital deployment. ChatGPT: Strong revenue growth of 15.2% YoY with positive operating leverage. Healthy operating cash flow generation of $489 million and positive free cash flow.
What are the risks of investing in CSTM?
Claude: High financial leverage with 2.0x debt-to-equity ratio limits strategic flexibility. Weak free cash flow margin of 1.9% constrains dividend capacity and reduces financial cushion. ChatGPT: High leverage with debt/equity of 2.00x and only moderate interest coverage of 4.0x. Thin net margin of 3.2% and free cash flow margin of 1.9% leave limited cushion if demand weakens.
What is CSTM's revenue and growth?
Constellium SE reported revenue of $8.4B.
Does CSTM pay dividends?
Constellium SE does not currently pay dividends.
Where can I find CSTM SEC filings?
Official SEC filings for Constellium SE (CIK: 0001563411) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is CSTM's EPS?
Constellium SE has a diluted EPS of $1.92.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.
Is CSTM a good stock to buy right now?
Based on our AI fundamental analysis in April 2026, Constellium SE has a HOLD rating with 70% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.
Is CSTM stock overvalued or undervalued?
Valuation metrics for CSTM: ROE of 28.7% (sector avg: 14%), net margin of 3.2% (sector avg: 10%). Higher ROE suggests strong returns relative to peers.
Should I buy CSTM stock in 2026?
Our dual AI analysis gives Constellium SE a combined HOLD rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is CSTM's free cash flow?
Constellium SE's operating cash flow is $489.0M, with capital expenditures of $330.0M. FCF margin is 1.9%.
How does CSTM compare to other Materials stocks?
Vs Materials sector averages: Net margin 3.2% (avg: 10%), ROE 28.7% (avg: 14%), current ratio 1.29 (avg: 1.6).
Is Constellium SE carrying too much debt?
CSTM has a debt-to-equity ratio of 2.00x, which is above the Materials sector average of 0.6x. However, the current ratio of 1.29 suggests adequate short-term liquidity.
Why is CSTM's return on equity (ROE) so high?
Constellium SE has a return on equity of 28.7%, significantly above the Materials sector average of 14%. A high ROE indicates the company is efficient at generating profits from shareholder equity. This is supported by a 3.2% net margin.