AK Steel (AKS) Cut to “Sell” at Zacks Investment Research
Zacks Investment Research cut shares of AK Steel (NYSE:AKS) from a hold rating to a sell rating in a research report released on Tuesday morning.
According to Zacks, “AK Steel faces weakness in electrical steel pricing due to global overcapacity. It is exposed to a volatile raw material pricing environment as well. Moreover, the U.S. steel industry is not out of the woods yet. Some additional headwinds in the form of planned maintenance outages across certain facilities also prevails. AK Steel has also underperformed the industry it belongs to over the past six months.”
Other equities analysts have also issued research reports about the stock. Morgan Stanley reduced their target price on shares of AK Steel from $7.00 to $6.50 and set an equal weight rating on the stock in a report on Wednesday, January 31st. Jefferies Group restated a hold rating and set a $6.00 target price on shares of AK Steel in a report on Tuesday, January 30th. upgraded shares of AK Steel from a neutral rating to an outperform rating in a report on Tuesday, November 21st. Credit Suisse Group upgraded shares of AK Steel from a neutral rating to an outperform rating and lifted their target price for the company from $6.00 to $7.00 in a report on Tuesday, November 21st. Finally, Cowen restated a hold rating and set a $5.50 target price on shares of AK Steel in a report on Wednesday, January 31st. Two analysts have rated the stock with a sell rating, eight have given a hold rating and eight have issued a buy rating to the stock. AK Steel presently has a consensus rating of Hold and a consensus price target of $6.69.
AK Steel (NYSE:AKS) last posted its earnings results on Tuesday, January 30th. The basic materials company reported ($0.06) earnings per share for the quarter, beating the Thomson Reuters’ consensus estimate of ($0.13) by $0.07. The business had revenue of $1.50 billion for the quarter, compared to analyst estimates of $1.46 billion. AK Steel had a net margin of 0.16% and a return on equity of 71.24%. The business’s quarterly revenue was up 5.4% on a year-over-year basis. During the same quarter in the previous year, the business posted $0.25 EPS. research analysts forecast that AK Steel will post 0.54 earnings per share for the current fiscal year.
A number of hedge funds have recently modified their holdings of AKS. Raymond James Financial Services Advisors Inc. lifted its holdings in AK Steel by 0.9% in the 2nd quarter. Raymond James Financial Services Advisors Inc. now owns 21,887 shares of the basic materials company’s stock worth $144,000 after buying an additional 193 shares in the last quarter. Public Employees Retirement System of Ohio lifted its holdings in AK Steel by 2.7% in the 2nd quarter. Public Employees Retirement System of Ohio now owns 61,271 shares of the basic materials company’s stock worth $403,000 after buying an additional 1,605 shares in the last quarter. Crossmark Global Holdings Inc. acquired a new position in AK Steel in the 3rd quarter worth $290,000. Stevens Capital Management LP acquired a new position in AK Steel in the 3rd quarter worth $488,000. Finally, American Century Companies Inc. lifted its holdings in AK Steel by 24.3% in the 3rd quarter. American Century Companies Inc. now owns 1,246,664 shares of the basic materials company’s stock worth $6,969,000 after buying an additional 243,529 shares in the last quarter. Hedge funds and other institutional investors own 67.81% of the company’s stock.
WARNING: This piece was posted by The Cerbat Gem and is the property of of The Cerbat Gem. If you are accessing this piece on another website, it was illegally stolen and reposted in violation of United States & international trademark & copyright law. The legal version of this piece can be accessed at https://www.thecerbatgem.com/2018/03/14/ak-steel-aks-cut-to-sell-at-zacks-investment-research.html.
About AK Steel
AK Steel Holding Corporation is a producer of flat-rolled carbon, stainless and electrical steels, and tubular products through its subsidiary, AK Steel Corporation (AK Steel). The Company also operates blast furnaces and electric arc furnaces. As of December 31, 2016, its operations included eight steelmaking and finishing plants, two coke plants and two tube manufacturing plants across states, including Indiana, Kentucky, Michigan, Ohio, Pennsylvania and West Virginia, and a tube manufacturing plant in Mexico.
For more information about research offerings from Zacks Investment Research, visit Zacks.com
Receive News & Ratings for AK Steel Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for AK Steel and related companies with MarketBeat.com's FREE daily email newsletter.