Stifel Canada Has Optimistic Outlook of ASTL FY2026 Earnings

Key Points

• Stifel Canada has revised their FY2026 earnings estimate for Algoma Steel Group to $0.87 per share, a slight increase from the previous estimate of $0.86, maintaining a "Hold" rating on the stock.
• Algoma Steel Group reported a quarterly earnings miss with an EPS of ($0.74), falling short of the consensus estimate of ($0.45), and also incurred a negative return on equity of 21.52%.
• Recent activity shows that 72% of Algoma Steel's stock is owned by institutional investors, indicating significant interest in the company from hedge funds and investment firms.

Algoma Steel Group Inc. (NASDAQ:ASTL - Free Report) - Research analysts at Stifel Canada increased their FY2026 EPS estimates for Algoma Steel Group in a research note issued to investors on Wednesday, July 30th. Stifel Canada analyst I. Gillies now forecasts that the company will earn $0.87 per share for the year, up from their previous estimate of $0.86. Stifel Canada currently has a "Hold" rating on the stock. The consensus estimate for Algoma Steel Group's current full-year earnings is ($0.63) per share.

Algoma Steel Group (NASDAQ:ASTL - Get Free Report) last announced its earnings results on Tuesday, July 29th. The company reported ($0.74) earnings per share for the quarter, missing the consensus estimate of ($0.45) by ($0.29). The firm had revenue of $433.14 million during the quarter, compared to analysts' expectations of $577.67 million. Algoma Steel Group had a negative net margin of 13.51% and a negative return on equity of 22.24%.

ASTL has been the topic of a number of other reports. Royal Bank Of Canada upgraded shares of Algoma Steel Group to a "hold" rating in a research note on Tuesday, April 22nd. Wall Street Zen downgraded shares of Algoma Steel Group from a "hold" rating to a "sell" rating in a research note on Saturday. Finally, BMO Capital Markets downgraded shares of Algoma Steel Group from a "strong-buy" rating to a "hold" rating in a research note on Monday, June 2nd.

Algoma Steel Group Stock Down 0.9%

NASDAQ ASTL traded down $0.05 during trading hours on Friday, reaching $4.97. 378,182 shares of the company traded hands, compared to its average volume of 1,014,420. Algoma Steel Group has a 12 month low of $4.17 and a 12 month high of $12.14. The company has a current ratio of 2.46, a quick ratio of 0.98 and a debt-to-equity ratio of 0.47. The stock has a market capitalization of $521.00 million, a PE ratio of -2.23 and a beta of 1.63. The company has a 50 day moving average of $6.33 and a two-hundred day moving average of $6.35.

Institutional Inflows and Outflows

Large investors have recently modified their holdings of the business. EJF Capital LLC acquired a new position in Algoma Steel Group during the 1st quarter valued at about $60,000. Aquatic Capital Management LLC acquired a new position in Algoma Steel Group during the 4th quarter valued at about $64,000. Aigen Investment Management LP acquired a new position in Algoma Steel Group during the 1st quarter valued at about $69,000. Squarepoint Ops LLC acquired a new position in Algoma Steel Group during the 4th quarter valued at about $114,000. Finally, Two Sigma Advisers LP acquired a new position in Algoma Steel Group during the 4th quarter valued at about $117,000. 72.00% of the stock is currently owned by institutional investors.

Algoma Steel Group Company Profile

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.