SHE:300476.SZ 27 November 2025

March 22, 2026, 5:32 AM EDT. Sims (ASX:SGM) shares fell 4.1% to A$20.36 after gains including an 11.75% year-to-date rise and 34.16% return over 12 months, prompting valuation questions. Despite A$7.5 billion revenue in the last fiscal year, Sims posted negative net income, reflecting a restructuring phase rather than growth. Analysts estimate an intrinsic value at A$18.07, suggesting shares are about 12.7% overvalued based on discounted cash flow (DCF) models. However, Sims trades at a price-to-sales (P/S) ratio of 0.5x, below its peers' 2.6x and the metals and mining sector average of 68.2x, indicating potential undervaluation. Key risks include the pace of Sims Lifecycle Services' expansion and scrap metal price stability, which could affect future earnings and market pricing.