
Gerdau S.A. Cancels Shares to Optimize Capital Structure

Gerdau S.A. announced the cancellation of 283,900 common shares and 12,650,000 preferred shares to optimize its capital structure, effective October 30, 2025. This move aims to enhance shareholder value without affecting the capital stock value. Analysts rate GGB stock as a Buy with a $3.50 price target, reflecting a stable financial position and strong technical indicators despite cash flow challenges. Gerdau operates in the steel industry, serving various sectors with a current market cap of $6.57B.
The latest announcement is out from Gerdau SA ( (GGB) ).
On October 30, 2025, Gerdau S.A. announced the cancellation of 283,900 common shares and 12,650,000 preferred shares, which will not affect the capital stock value. This adjustment aims to streamline the company’s share structure, with the updated share count to be formalized in a future Shareholders’ Meeting. This move could potentially enhance shareholder value and optimize the company’s capital management strategy.
The most recent analyst rating on (GGB) stock is a Buy with a $3.50 price target. To see the full list of analyst forecasts on Gerdau SA stock, see the GGB Stock Forecast page.
Spark’s Take on GGB Stock
According to Spark, TipRanks’ AI Analyst, GGB is a Outperform.
Gerdau SA’s overall stock score reflects a stable financial position with strong technical indicators and positive earnings call highlights. The company’s valuation is reasonable, and despite some challenges in cash flow and the Brazilian market, the North American operations and sustainability efforts provide a solid foundation for future growth.
To see Spark’s full report on GGB stock, click here.
More about Gerdau SA
Gerdau S.A. is a leading company in the steel industry, primarily engaged in the production and commercialization of steel products. The company operates in various segments including long steel, special steel, and flat steel, serving markets such as construction, automotive, and industrial sectors.
Average Trading Volume: 16,009,928
Technical Sentiment Signal: Buy
Current Market Cap: $6.57B

