Topeka Capital Markets Reiterates Buy Rating, $32 PT on Allegheny Technologies Following Reduced 2013/2014 EPS Estimates

In a report published Wednesday, Topeka Capital Markets analyst Daniel Whalen reiterated a Buy rating and $32.00 price target on

. In the report, Topeka Capital Markets noted, “We are reducing our 2013 and 2014 EPS estimates on Allegheny Technologies (ATI) to reflect a variety of factors including a continuation of a muted macro environment and a further decline in nickel prices, which are near four-year lows at approximately $6.25/lb. The combination of limited visibility from a demand perspective and a persistent decline in nickel prices has continued to fuel a hand-to-mouth and wait-and-see buying pattern mentality. Moreover, the declining pricing environment continues to have a negative impact on fixed cost absorption dynamics. While 2013 will likely prove to be another difficult year for the Company, given the combination of the Company's internal initiatives, its valuation and the anticipation of a better 2014, we are maintaining our Buy rating. We continue to note shares are more appropriate for value investors with longer-term time horizons.” Allegheny Technologies closed on Tuesday at $26.08.