Algoma Steel Group (NASDAQ:ASTL) Shares Gap Down - Should You Sell?

Algoma Steel Group Inc. (NASDAQ:ASTL - Get Free Report)'s stock price gapped down before the market opened on Monday . The stock had previously closed at $5.27, but opened at $4.76. Algoma Steel Group shares last traded at $5.00, with a volume of 845,145 shares trading hands.

Wall Street Analyst Weigh In

A number of research analysts have recently issued reports on ASTL shares. Stifel Canada cut Algoma Steel Group from a "strong-buy" rating to a "hold" rating in a research note on Thursday, April 17th. BMO Capital Markets cut Algoma Steel Group from a "strong-buy" rating to a "hold" rating in a research note on Monday. Finally, Royal Bank of Canada raised Algoma Steel Group to a "hold" rating in a research note on Tuesday, April 22nd.

Algoma Steel Group Stock Up 3.9%

The stock has a 50 day moving average price of $5.23 and a 200-day moving average price of $7.39. The stock has a market capitalization of $557.20 million, a P/E ratio of -4.18 and a beta of 1.58. The company has a debt-to-equity ratio of 0.42, a current ratio of 3.31 and a quick ratio of 1.66.

Algoma Steel Group (NASDAQ:ASTL - Get Free Report) last posted its earnings results on Tuesday, April 29th. The company reported ($0.33) earnings per share (EPS) for the quarter, topping the consensus estimate of ($0.69) by $0.36. The company had revenue of $359.30 million for the quarter, compared to analysts' expectations of $327.56 million. Algoma Steel Group had a negative return on equity of 10.63% and a negative net margin of 6.30%. As a group, research analysts expect that Algoma Steel Group Inc. will post -0.63 EPS for the current fiscal year.

Algoma Steel Group Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Friday, May 30th. Investors of record on Tuesday, May 13th were paid a $0.05 dividend. The ex-dividend date of this dividend was Tuesday, May 13th. This represents a $0.20 annualized dividend and a dividend yield of 3.77%. Algoma Steel Group's payout ratio is presently -12.99%.

Institutional Trading of Algoma Steel Group

Large investors have recently modified their holdings of the business. Hartree Partners LP grew its stake in shares of Algoma Steel Group by 44.4% in the fourth quarter. Hartree Partners LP now owns 152,751 shares of the company's stock worth $1,494,000 after purchasing an additional 46,984 shares during the last quarter. Renaissance Technologies LLC lifted its holdings in Algoma Steel Group by 11.2% in the fourth quarter. Renaissance Technologies LLC now owns 89,374 shares of the company's stock worth $874,000 after buying an additional 8,974 shares during the period. Arrowstreet Capital Limited Partnership lifted its holdings in Algoma Steel Group by 276.2% in the fourth quarter. Arrowstreet Capital Limited Partnership now owns 1,317,083 shares of the company's stock worth $12,884,000 after buying an additional 966,976 shares during the period. D. E. Shaw & Co. Inc. purchased a new stake in Algoma Steel Group in the fourth quarter worth about $1,643,000. Finally, Wells Fargo & Company MN purchased a new stake in Algoma Steel Group in the fourth quarter worth about $210,000. 72.00% of the stock is owned by institutional investors.

About Algoma Steel Group

Algoma Steel Group Inc produces and sells steel products primarily in North America. The company provides flat/sheet steel products, including temper rolling, cold rolled, hot-rolled pickled and oiled products, floor plate, and cut-to-length products for the automotive industry, hollow structural product manufacturers, and the light manufacturing and transportation industries; and plate steel products that consist of rolled, hot-rolled, and heat-treated for use in the construction or manufacture of railcars, buildings, bridges, off-highway equipment, storage tanks, ships, and military applications.