UPDATE: Goldman Sachs Initiates GrafTech International with Neutral on Balanced Risk/Reward

Goldman Sachs initiates its coverage on GrafTech International GTI with a Buy rating and a price target of $11. Goldman Sachs comments, "We like GTI's global platform and backward integration into needle coke, and consider it a good long-term investment opportunity as (1) non-res resumes in the US, (2) Europe recovers and (3) EAF based steel production rises in emerging markets, particularly China, as they get more self sufficient in scrap. However, these are equally balanced by near-term risks of a weak steel demand environment and GTI's high exposure to Europe. We also expect downward revisions to consensus 2012 estimates and company guidance." GTI closed at $9.54 on Monday.