Market Overview

UPDATE: J.P. Morgan Lowers PT on Allegheny Technologies on Pre-Announced 1Q13 Earnings

Share:
Related ATI
Mid-Afternoon Market Update: Crude Oil Down 1.2%; Macrocure Shares Surge Following Merger Agreement With Leap Therapeutics
15 Biggest Mid-Day Gainers For Monday

In a report published Wednesday, J.P. Morgan analyst Michael F. Gambardella reiterated an Underweight rating on Allegheny Technologies (NYSE: ATI), but lowered the price target from $24.00 to $20.00.

In the report, Gambardella noted, “On April 16 ATI pre-announced 1Q13 earnings of $0.09 per share, which fell well short of consensus estimates of $0.23 and even our bearish $0.17 view. The company expects 1Q13 sales to fall in line with consensus at $1.18B, which highlights the emergence of significant margin pressure in stainless steel central to our Underweight thesis. Management retained its positive secular view on key end markets and expected benefit from the $1.1B Hot-Rolling and Processing Facility but did not reiterate its prior outlook for improving fundamentals in 2H13. In our view, this incrementally negative commentary undercuts the consensus view, which relied on the back half of 2013 to contribute 60% of full-year earnings prior to the 1Q miss.”

Allegheny Technologies closed on Tuesday at $28.01.

Latest Ratings for ATI

DateFirmActionFromTo
Sep 2016Seaport GlobalInitiates Coverage onBuy
Aug 2016Deutsche BankUpgradesHoldBuy
May 2016Bank of AmericaUpgradesUnderperformBuy

View More Analyst Ratings for ATI
View the Latest Analyst Ratings

Posted-In: J.P. MorganAnalyst Color Price Target Analyst Ratings

 

Related Articles (ATI)

View Comments and Join the Discussion!