Algoma Steel Group (TSE:ASTL) Shares Down 14.9% on Analyst Downgrade

Key Points

• Algoma Steel Group shares dropped 14.9% following a downgrade by Stifel Nicolaus, which lowered its price target from C$13.00 to C$10.75.
• Other firms, including Royal Bank of Canada and BMO Capital Markets, have also reduced their price targets, with an average target price now at C$8.92.
• The company's current market cap stands at C$513.13 million, highlighting a challenging environment for its stock performance with a negative P/E ratio.

Algoma Steel Group Inc. (TSE:ASTL - Get Free Report) shares were down 14.9% during trading on Tuesday after Stifel Nicolaus lowered their price target on the stock from C$13.00 to C$10.75. The company traded as low as C$4.77 and last traded at C$4.84. Approximately 1,763,102 shares traded hands during mid-day trading, an increase of 444% from the average daily volume of 324,177 shares. The stock had previously closed at C$5.69.

A number of other research firms have also recently issued reports on ASTL. Royal Bank Of Canada lowered their target price on Algoma Steel Group from C$10.00 to C$8.00 and set a "sector perform" rating for the company in a report on Thursday, July 31st. BMO Capital Markets downgraded Algoma Steel Group from an "outperform" rating to a "market perform" rating and decreased their price objective for the stock from C$12.00 to C$8.00 in a report on Tuesday, June 3rd. One investment analyst has rated the stock with a Buy rating and two have issued a Hold rating to the company. According to MarketBeat.com, Algoma Steel Group presently has an average rating of "Hold" and an average target price of C$8.92.

Algoma Steel Group Trading Down 14.1%

The company has a market cap of C$513.13 million, a P/E ratio of -3.37 and a beta of 2.07. The company has a current ratio of 3.31, a quick ratio of 1.51 and a debt-to-equity ratio of 43.70. The business has a 50 day moving average price of C$6.74 and a 200-day moving average price of C$7.63.

Algoma Steel Group Company Profile

Algoma Steel Group Inc is a Canadian company that produces clean and consistent light gauge steel in North America, offering a range of hot and cold rolled steel sheet and plate products. The firm operates in a single segment of basic steel production. Geographically it serves Canada, the United States and the rest of the world, whilst driving key revenue from domestic sales.

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