Morgan Stanley Expects Weak Quarter Results From Mechel OAO

In a report published Wednesday, Morgan Stanley analyst Dmitriy Kolomytsyn reiterated an Underweight rating and $1.00 price target on Mechel OAO MTL. In the report, Morgan Stanley noted, “We expect a weak quarter, with ruble depreciation and falling commodity prices driving a 10% QoQ drop in revenue. Focus on leverage situation and potential restructuring.” Mechel OAO closed on Tuesday at $2.01.