UPDATE: Goldman Sachs Lowers PT on Schnitzer Steel Industries Following Lowered FY3Q 2013 Estimates

In a report published Wednesday, Goldman Sachs analyst Sal Tharani reiterated a Sell rating on Schnitzer Steel Industries SCHN, but lowered the price target from $20.00 to $18.00.

In the report, Goldman Sachs noted, “We lower our FY3Q 2013 estimates for SCHN to $0.12 from $0.40, slightly above the company's mid-quarter guidance released today. Consensus was at $0.32. We also lower our FY4Q 2013 estimate for SCHN to $0.28 from $0.43 due to the weaker scrap pricing environment which will affect the company's margins. This lowers our FY2013 estimate for SCHN to $0.66 from $1.10. Our six-month P/E- and EV/EBITDA-based price target for SCHN is lowered to $18 from $20, due to lower estimates. We reiterate our Sell rating on SCHN.”

Schnitzer Steel Industries closed on Tuesday at $26.77.