Suzano S.A. American Depositary Shares (each representing One Ordinary Share) (SUZ)

FairStock Score: 66/100 — STEADY

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

I look for durable economics and a price that leaves room for error. Suzano is a pulp and paper producer; pulp is largely a commodity, so any advantage comes from low-cost timber, scale, and location rather than brand pricing power. In the second quarter of fiscal 2026, the company reported revenue of $11.6B and net income of $1.8B, a 15.54% margin. That profitability is real, but the supplied data indicate revenue and profit are contracting. At the 2026-10-13 close of $8.63, FairStock calculates a P/E of 6.80, P/B of 1.13, FCF yield of 47.0%, EV/EBITDA of 2.74, and a Graham Number of $33.93, implying a 74.57% margin of safety. Those are Graham-like bargains on paper, helped by $5.5B of trailing free cash flow against an $11.6B market cap. But the balance sheet gives me pause: D/E is 1.99, ROCE is only 3.15%, Altman Z-Score is 0.46, and Piotroski F-Score is 6/9. ROE of 17.60% looks good, yet likely leans on leverage. Dividend yield is 0.01%, so shareholders are not paid much to wait. FairStock's Lynch category is 'none' because only 0 years of filed results are available, needing 3. A beta of 0.03 is unusually low but does not erase commodity or credit risk. If pulp prices recover and debt is managed, the cash generation could reward patience. If the cycle stays weak or refinancing costs rise, cheapness can persist or worsen. Price is not value; here the numbers are tempting but fragile.

In plain English: Suzano makes pulp and paper products, mostly in Brazil and internationally. The latest reported quarter showed a profit, but the supplied figures also show falling sales and profit and a lot of debt. The shares look cheap compared with several of the company's own numbers, though the business carries real commodity and balance-sheet risks.

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Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer