NEW YORK (TheStreet) -- Shares of AK Steel (AKS) - Get Report were climbing 7.51% to $5.58 at the start of trading on Tuesday after the company posted better-than-expected earnings for the 2016 third quarter.
Before the market open, the West Chester, OH-based steel producer reported earnings of 21 cents per diluted share, handily topping analysts' estimates of 13 cents per share.
Revenue fell 13% to $1.45 billion year-over-year, while analysts were looking for revenue of $1.47 billion.
"We continue to see benefits from our decision to focus on higher-value products, optimize our footprint and reduce our exposure to commodity products," CEO Roger Newport said in a statement.
Newport added that the company has introduced new products such as its line of next-generation advanced high strength steels.
Separately, TheStreet Ratings Team has a "Sell" rating with a score of D on the stock.
This is driven by several weaknesses, which should have a greater impact than any strengths, and could make it more difficult for investors to achieve positive results compared to most of the stocks covered.
Among the areas that are negative, one of the most important has been poor profit margins.
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.
You can view the full analysis from the report here: AKS