AK Steel (AKS) Stock Up, Credit Suisse Increases Price Target
NEW YORK (TheStreet) -- Shares of AK Steel (AKS) - Get Report are rising 2.04% to $5.51 this afternoon as Credit Suisse increases its price target on the stock to $8 from $7 in a note cited by Barron's.
"Over the past several years domestic integrated steel mills have made substantive improvements to their cost base through asset optimization, overhead cost reductions, closure of inefficient or underutilized assets, and raw material cost reduction," the firm said.
Credit Suisse added that these benefits have been largely obscured by "weak utilization rates."
"We believe 2016 second quarter will mark a clear inflection point for integrated cash costs," the firm noted.
AK Steel is scheduled to report earnings on Tuesday, July 26 before the market open. Analysts are expecting a loss of 3 cents per share and revenue of $1.53 billion.
AK Steel is a West Chester, OH-based steel producer.
Separately, TheStreet Ratings rated this stock as a "hold" with a ratings score of C-.
The company's strengths can be seen in multiple areas, such as its solid stock price performance, compelling growth in net income and good cash flow from operations. However, as a counter to these strengths, TheStreet Ratings finds that the company's profit margins have been poor overall.
You can view the full analysis from the report here: AKS
Recently, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author.