Worthington Steel, Inc.

WSdata completeness 100%5 fiscal years on file

Data notes: no data for concept 'investmentsAtFairValue'; no data for concept 'netInvestmentIncome'; no data for concept 'gainsOnRealEstateSales'

The thesis, from the filings

Worthington Steel, Inc. earns about 10% on invested capital, barely covering its ~9% cost of capital, but has diluted owners by 3% over 5 years — worth asking whether the growth reaches owners. The estimate methods put fair value between $15.49 and $22.24 a share.Whether it’s worth owning at today’s price is the last question — and yours to answer, below.

i. The business — what you’d actually own
FigureFY 2022FY 2023FY 2024FY 2025FY 2026
Revenue$4.07B1$3.61B2$3.43B3$3.09B3$3.44B3
Net income$180.4M4$87.1M5$154.7M6$110.7M6$8.5M6
Operating cash flow$39.5M7$315M8$199.5M9$230.3M9$201.2M9
Capital expenditure$36.4M10$45.5M11$103.4M12$130.4M12$121.2M12
Free cash flow (derived)$3.1M7$269.5M8$96.1M9$99.9M9$80M9
Total debt$45.6M13$296M14$452.2M15$540.6M15
Cash & equivalents$20.1M16$32.7M17$40.2M17$38M17$84.6M17
Diluted shares49.3M49.3M49.8M50.5M50.8M

Superscripts are receipts. Each links to the SEC filing the number came from (full list at the bottom).

ii. Your slice — ownership made literal
If you owned
shares
Net assets behind them
$209.31
your share of equity
Profit it earned you last year
$1.67
Free cash flow it threw off
$15.75
Debt you’d be carrying
$106.42

10 shares is a claim on $209.31 of net worth that earned you $1.67 and generated $15.75 of cash last year, against $106.42 of debt.

iii. Is this a good business?
Moat signal · return on invested capital
10% avg · 5y
FY22 16%FY23 10%FY24 14%FY25 8%FY26 0%

It earned about 10% on invested capital against a ~9% cost of capital — roughly what it costs to fund the business, so the numbers show no clear edge.

seeing a moat in the numbers →
Management signal · capital allocation
+3% shares · 5y

Share count is up 3% over 5 years — owners have been diluted. Worth asking what they got for it. Total debt has risen 1086% over the same window.

reading capital allocation →

Signals, not verdicts — read from the filings above. Numbers don’t prove a moat; they show its footprint. You decide.

iv. What it’s worth — engine v0.5.0

The 3 estimate methods that apply put fair value between $15.49 and $22.24 a share. They rest on different assumptions, so where they diverge is the story; the Graham Number is a stricter floor, not a target.

DCF · Growth Exit 10Y
$15.49
assumptions (10)
  • riskFreeRate4.8%
  • equityRiskPremium5.0%
  • beta100.0%
  • equityWeight85.0%
  • costOfDebtSpread1.5%
  • taxRate21.0%
  • terminalGrowth2.5%
  • projectionYears10
  • fcfGrowth0.0%
  • fcfBase$96.1M
DCF · Growth Exit 5Y
$17.46
assumptions (10)
  • riskFreeRate4.8%
  • equityRiskPremium5.0%
  • beta100.0%
  • equityWeight85.0%
  • costOfDebtSpread1.5%
  • taxRate21.0%
  • terminalGrowth2.5%
  • projectionYears5
  • fcfGrowth0.0%
  • fcfBase$96.1M
Earnings Power Value
$22.24
assumptions (8)
  • riskFreeRate4.8%
  • equityRiskPremium5.0%
  • beta100.0%
  • equityWeight85.0%
  • costOfDebtSpread1.5%
  • taxRate21.0%
  • normalizedEarnings$110.7M
  • growthAssumed0.0%
Graham Number
$9.03
assumptions (1)
  • grahamMultiplier2250.0%

Different models answer different questions — which to trust when →

v. The price question — last, on purpose
Is today’s price fair?
See live price ↗
Type a price. The ledger answers.
Or set your own belief
FCF growth, next 5 years0.0%
Discount rate (WACC)9.08%
Terminal growth2.5%
At your growth, a share is worth $17.46
The three cases
Bear0.0%$17.46
Base0.0%$17.46
Bull5.0%$23.84

Bear/base/bull growth = 0% / filed history / history + 5pp. Type a price to see the return each case implies.

Default growth 0.0%= this company’s own filed history (median-to-median FCF CAGR, clamped 0–20%). Your adjustments are recorded anonymously. They become the “what do owners actually believe” dataset.

Sources — the receipts
  1. 10-K · period ending 2022-05-31 · accession 0000950170-24-090031 (RevenueFromContractWithCustomerExcludingAssessedTax)
  2. 10-K · period ending 2023-05-31 · accession 0000950170-25-099742 (RevenueFromContractWithCustomerExcludingAssessedTax)
  3. 10-K · period ending 2024-05-31 · accession 0001968487-26-000026 (RevenueFromContractWithCustomerExcludingAssessedTax)
  4. 10-K · period ending 2022-05-31 · accession 0000950170-24-090031 (NetIncomeLoss)
  5. 10-K · period ending 2023-05-31 · accession 0000950170-25-099742 (NetIncomeLoss)
  6. 10-K · period ending 2024-05-31 · accession 0001968487-26-000026 (NetIncomeLoss)
  7. 10-K · period ending 2022-05-31 · accession 0000950170-24-090031 (NetCashProvidedByUsedInOperatingActivities)
  8. 10-K · period ending 2023-05-31 · accession 0000950170-25-099742 (NetCashProvidedByUsedInOperatingActivities)
  9. 10-K · period ending 2024-05-31 · accession 0001968487-26-000026 (NetCashProvidedByUsedInOperatingActivities)
  10. 10-K · period ending 2022-05-31 · accession 0000950170-24-090031 (PaymentsToAcquirePropertyPlantAndEquipment)
  11. 10-K · period ending 2023-05-31 · accession 0000950170-25-099742 (PaymentsToAcquirePropertyPlantAndEquipment)
  12. 10-K · period ending 2024-05-31 · accession 0001968487-26-000026 (PaymentsToAcquirePropertyPlantAndEquipment)
  13. 10-K · period ending 2023-05-31 · accession 0000950170-24-090031 (LongTermDebtNoncurrent)
  14. 10-K · period ending 2024-05-31 · accession 0000950170-25-099742 (LongTermDebtNoncurrent)
  15. 10-K · period ending 2025-05-31 · accession 0001968487-26-000026 (LongTermDebtNoncurrent)
  16. 10-K · period ending 2022-05-31 · accession 0000950170-25-099742 (CashAndCashEquivalentsAtCarryingValue)
  17. 10-K · period ending 2023-05-31 · accession 0001968487-26-000026 (CashAndCashEquivalentsAtCarryingValue)