How to buy Sims (SGM) shares

Learn how to easily invest in Sims shares.

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Sims is a steel business based in Australia. Sims shares (SGM) are listed on the Australian Securities Exchange (ASX) and all prices are in Australian Dollars. Sims has a trailing 12-month revenue of around $5.9 billion. If you're looking to buy shares, check out the steps below.

How to buy shares in Sims

  1. Compare share trading platforms. To buy shares listed in Australia, you'll need to sign up to a broker with access to the Australian Securities Exchange (ASX). Our table below can help you choose.
  2. Open and fund your brokerage account. Complete an application with your personal and financial details, like your ID and tax file number. Fund your account with a bank transfer, PayPal or debit card.
  3. Search for Sims. Find the share by name or ticker symbol: SGM. Research its history to confirm it's a solid investment against your financial goals.
  4. Purchase now or later. Buy today with a market order or use a limit order to delay your purchase until Sims reaches your desired price. To spread out your risk, look into dollar-cost averaging, which smooths out buying at consistent intervals and amounts.
  5. Decide on how many to buy. At today's price, weigh your budget against a diversified portfolio that can minimise risk through the market's ups and downs.
  6. Check in on your investment. Congratulations, you own a part of Sims. Optimise your portfolio by tracking how your stock — and even the business — performs with an eye on the long term. You may be eligible for dividends and shareholder voting rights on directors and management that can affect your stock.

Sims stock price (ASX:SGM)

Use our graph to track the performance of SGM stocks over time.

Sims shares at a glance

Information last updated 2022-01-17.
52-week range$11.6491 - $17.8488
50-day moving average $15.3038
200-day moving average $15.286
Target price$17.48
PE ratio 13.9273
Dividend yield $0.42 (2.68%)
Earnings per share (TTM) $1.128

Compare share trading platforms

The value of your investments can fall as well as rise and you may get back less than you invested. Past performance is no indication of future results.
Name Product Standard brokerage fee Inactivity fee Markets
IG Share Trading
AUD $8 or 0.1%
$50 per quarter if you make fewer than three trades in that period
ASX shares, Global shares
$0 brokerage for US and global shares plus get an active trader discount of $5 commission on Australian shares.
Enjoy some of the lowest brokerage fees on the market when trading Australian shares, international shares, plus get access to 24-hour customer support.
Superhero share trading
$5
No
ASX shares, US shares, ETFs
Earn up to 15,000 Qantas frequent flyer points when you transfer an exisiting balance or trade. Offer valid for all new and existing Superhero members until 28 February.
Pay zero brokerage on US stocks and all ETFs and just $5 (flat fee) to trade Australian shares from your mobile or desktop.
GO Markets Share Trading
$7.70
No
ASX shares, Forex, CFDs, ETFs
Pay zero brokerage on your first 20 trades and $7.70 after that on over 2,500 ASX listed shares from either your desktop or mobile.
ThinkMarkets Share Trading
AUD $8
No
ASX shares
$8 flat fee brokerage for CHESS Sponsored ASX stocks (HIN ownership), plus free live stock price data on an easy to use mobile app.
Saxo Capital Markets (Classic account)
AUD $5
No
ASX shares, Global shares, ETFs
Access 19,000+ stocks on 40+ exchanges worldwide
Low fees for Australian and global share trading, no inactivity fees, low currency conversion fee and optimised for mobile.
HSBC Online Share Trading
AUD $19.95
No
ASX shares, mFunds, ETFs, Bonds
Limited-time offer: Join HSBC’s online trading account before 28 February 2022 and HSBC will reimburse you up to $100 on your first 5 trades. Also traders who transfer $50k+ will get a $200 bonus(T&Cs apply).
Make trades online with brokerage fees starting from just $19.95 with an HSBC Online Share Trading account. Plus gain access to complimentary expert research, trading ideas and tools.
SelfWealth (Basic account)
AUD $9.5
No
ASX shares, US shares
Trade ASX and US shares for a flat fee of $9.50, regardless of the trade size.
New customers receive free access to Community Insights with SelfWealth Premium for the first 90 days. Follow other investors and benchmark your portfolio performance.
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Compare up to 4 providers

Is it a good time to buy Sims stock?

The technical analysis gauge below displays real-time ratings for the timeframes you select. This is not a recommendation, however. It represents a technical analysis based on the most popular technical indicators: Moving Averages, Oscillators and Pivots. Finder might not concur and takes no responsibility.

Sims price performance over time

Historical closes compared with the last close of A$15.71

1 week (2022-01-11) 1.49%
1 month (2021-12-17) 1.03%
3 months (2021-10-18) 10.17%
6 months (2021-07-16) -0.76%
1 year (2021-01-18) 16.89%
2 years (2020-01-17) 36.37%
3 years (2019-01-18) 43.47%
5 years (2017-01-18) 25.78%

Is Sims under- or over-valued?

Valuing Sims stock is incredibly difficult, and any metric has to be viewed as part of a bigger picture of Sims's overall performance. However, analysts commonly use some key metrics to help gauge the value of a stock.

Sims's P/E ratio

Sims's current share price divided by its per-share earnings (EPS) over a 12-month period gives a "trailing price/earnings ratio" of roughly 14x. In other words, Sims shares trade at around 14x recent earnings.

That's relatively low compared to, say, the P/E ratio for the ASX over the 12 months to December 2019 (32.14). The low P/E ratio could mean that investors are pessimistic about the outlook for the shares or simply that they're under-valued.

Sims's PEG ratio

Sims's "price/earnings-to-growth ratio" can be calculated by dividing its P/E ratio by its growth – to give 0.38. A low ratio can be interpreted as meaning the shares offer better value, while a higher ratio can be interpreted as meaning the shares offer worse value.

The PEG ratio provides a broader view than just the P/E ratio, as it gives more insight into Sims's future profitability. By accounting for growth, it could also help you if you're comparing the share prices of multiple high-growth companies.

Sims's EBITDA

Sims's EBITDA (earnings before interest, taxes, depreciation and amortisation) is $230.6 million (£0.0 million).

The EBITDA is a measure of a Sims's overall financial performance and is widely used to measure a its profitability.

Sims financials

Revenue TTM $5.9 billion
Operating margin TTM 1.87%
Gross profit TTM $852.2 million
Return on assets TTM 1.99%
Return on equity TTM 11.19%
Profit margin 3.87%
Book value 10.546
Market capitalisation $3.1 billion

TTM: trailing 12 months

Sims share dividends

38%

Dividend payout ratio: 37.5% of net profits

Recently Sims has paid out, on average, around 37.5% of net profits as dividends. That has enabled analysts to estimate a "forward annual dividend yield" of 2.68% of the current stock value. This means that over a year, based on recent payouts (which are sadly no guarantee of future payouts), Sims shareholders could enjoy a 2.68% return on their shares, in the form of dividend payments. In Sims's case, that would currently equate to about A$0.42 per share.

While Sims's payout ratio might seem fairly standard, it's worth remembering that Sims may be investing much of the rest of its net profits in future growth.

The latest dividend was paid out to all shareholders who bought their shares by 4 October 2021 (the "ex-dividend date").

Sims share price volatility

Over the last 12 months, Sims's shares have ranged in value from as little as $11.6491 up to $17.8488. A popular way to gauge a stock's volatility is its "beta".

SGM.AU volatility(beta: 1.43)Avg. volatility(beta: 1.00)LowHigh

Beta is a measure of a share's volatility in relation to the market. The market (AU average) beta is 1, while Sims's is 1.4348. This would suggest that Sims's shares are more volatile than the average for this exchange and represent, relatively-speaking, a higher risk (but potentially also market-beating returns).

Sims overview

Sims Limited engages in buying, processing, and selling ferrous and non-ferrous recycled metals in Australia, Bangladesh, China, Turkey, the United States, and internationally. The company operates through six segments: North America Metals, Investment in SA Recycling, Australia/New Zealand Metals, UK Metals, Global Trading, and Sims Lifecycle Services. It is involved in the collection, processing, and trading of iron and steel secondary raw materials; and other metal alloys and residues, principally aluminum, lead, copper, zinc, and nickel bearing materials. The company also engages in the provision of environmentally responsible solutions for the disposal of post-consumer electronic products, such as information technology assets recycled for commercial customers; and environmentally responsible recycling of negative value materials, including electrical and electronic equipment. In addition, it provides secondary processing and other services comprising recycling of municipal curbside materials, stevedoring, and other sources of service. Sims Limited was founded in 1917 and is headquartered in Mascot, Australia.

Frequently asked questions

Disclaimer: This information should not be interpreted as an endorsement of futures, stocks, ETFs, CFDs, options or any specific provider, service or offering. It should not be relied upon as investment advice or construed as providing recommendations of any kind. Futures, stocks, ETFs and options trading involves substantial risk of loss and therefore are not appropriate for all investors. Trading CFDs comes with a higher risk of losing money rapidly due to leverage. Past performance is not an indication of future results. Consider your own circumstances, and obtain your own advice, before making any trades.

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