Alere Inc. (NYSE: ALR), First Community Bancshares, Inc. (NASDAQ: FCBC), Gildan Activewear (NYSE: GIL), Harsco Co. (NYSE: HSC), United Continental (NYSE: UAL) and Valassis Communications, Inc. (NYSE: VCI) downgraded by analysts.
Alere Inc. (ALR) was downgraded by Wedbush from an “Outperform” rating to a “Neutral” rating. They have a price target of $31.00 on the company, down from $41.00.
First Community Bancshares, Inc. (FCBC) was downgraded by Keefe, Bruyette & Woods, Inc from an “Outperform” rating to a “Market Perform” rating.
Gildan Activewear (GIL) was downgraded by Citigroup (NYSE:C) from a “Hold” rating to a “Sell” rating.
Harsco Co. (HSC) was downgraded by Jefferies (NYSE:JEF) from a “Buy” rating to a “Hold” rating. They have a price target of $33.00 on the company, down from $38.00.
United Continental (UAL) was downgraded by Ticonderoga from a “Buy” rating to a “Neutral” rating.
Valassis Communications, Inc. (VCI) was downgraded by Piper Jaffray (NYSE:PJC) from an “Overweight” rating to a “Neutral” rating. They have a price target of $27.00 on the company.
Showing posts with label Harsco. Show all posts
Showing posts with label Harsco. Show all posts
Monday, August 1, 2011
Wednesday, May 18, 2011
Steel's (SUTR) (HSC) (CPSL) (SID) (ROCK) Face Volatility
Steel companies Sutor Technology Group, Ltd. (Nasdaq:SUTR), Harsco Corporation (NYSE:HSC), China Precision Steel, Inc. (Nasdaq:CPSL), Companhia Siderurgica Nacional (NYSE:SID) and Gibraltar Industries, Inc. (Nasdaq:ROCK) are under pressure as costs mount for raw materials and steel demand slows.
A lot of uncertainty surrounds the steel sector as evidenced by the guidance given by the largest steelmaker in the world - ArcelorMittal (NYSE:MT). Even after beating estimates for the latest quarter the stock was punished on a weak outlook, dragging down much of the sector with it.
In the short term Arcelor was able to offset higher costs of raw materials by boosting prices, but for the overall steel industry it's questionable as to how high and long they'll be able to do that.
Softer steel prices in North America and Europe point to major challenges going forward for steel companies, as margins will continue to come under pressure.
According to Banco Santander SA, costs of coking coal jumped 68 percent and iron ore 77 percent in the first quarter of 2011.
The steel industry is projected to grow at a 5.9 percent clip this year, says the World Steel Association. Some think that's at the high end of the spectrum.
Pricing will remain a challenge in light of the new pricing system put in place where steelmakers say it's harder to pass on costs to customers because of difficulty in projecting costs.
Expectations are the second half of 2011 will be slow for the industry.
A lot of uncertainty surrounds the steel sector as evidenced by the guidance given by the largest steelmaker in the world - ArcelorMittal (NYSE:MT). Even after beating estimates for the latest quarter the stock was punished on a weak outlook, dragging down much of the sector with it.
In the short term Arcelor was able to offset higher costs of raw materials by boosting prices, but for the overall steel industry it's questionable as to how high and long they'll be able to do that.
Softer steel prices in North America and Europe point to major challenges going forward for steel companies, as margins will continue to come under pressure.
According to Banco Santander SA, costs of coking coal jumped 68 percent and iron ore 77 percent in the first quarter of 2011.
The steel industry is projected to grow at a 5.9 percent clip this year, says the World Steel Association. Some think that's at the high end of the spectrum.
Pricing will remain a challenge in light of the new pricing system put in place where steelmakers say it's harder to pass on costs to customers because of difficulty in projecting costs.
Expectations are the second half of 2011 will be slow for the industry.
Steel's (SUTR) (HSC) (CPSL) (SID) (ROCK) Face Volatility
Steel companies Sutor Technology Group, Ltd. (Nasdaq:SUTR), Harsco Corporation (NYSE:HSC), China Precision Steel, Inc. (Nasdaq:CPSL), Companhia Siderurgica Nacional (NYSE:SID) and Gibraltar Industries, Inc. (Nasdaq:ROCK) are under pressure as costs mount for raw materials and steel demand slows.
A lot of uncertainty surrounds the steel sector as evidenced by the guidance given by the largest steelmaker in the world - ArcelorMittal (NYSE:MT). Even after beating estimates for the latest quarter the stock was punished on a weak outlook, dragging down much of the sector with it.
In the short term Arcelor was able to offset higher costs of raw materials by boosting prices, but for the overall steel industry it's questionable as to how high and long they'll be able to do that.
Softer steel prices in North America and Europe point to major challenges going forward for steel companies, as margins will continue to come under pressure.
According to Banco Santander SA, costs of coking coal jumped 68 percent and iron ore 77 percent in the first quarter of 2011.
The steel industry is projected to grow at a 5.9 percent clip this year, says the World Steel Association. Some think that's at the high end of the spectrum.
Pricing will remain a challenge in light of the new pricing system put in place where steelmakers say it's harder to pass on costs to customers because of difficulty in projecting costs.
Expectations are the second half of 2011 will be slow for the industry.
A lot of uncertainty surrounds the steel sector as evidenced by the guidance given by the largest steelmaker in the world - ArcelorMittal (NYSE:MT). Even after beating estimates for the latest quarter the stock was punished on a weak outlook, dragging down much of the sector with it.
In the short term Arcelor was able to offset higher costs of raw materials by boosting prices, but for the overall steel industry it's questionable as to how high and long they'll be able to do that.
Softer steel prices in North America and Europe point to major challenges going forward for steel companies, as margins will continue to come under pressure.
According to Banco Santander SA, costs of coking coal jumped 68 percent and iron ore 77 percent in the first quarter of 2011.
The steel industry is projected to grow at a 5.9 percent clip this year, says the World Steel Association. Some think that's at the high end of the spectrum.
Pricing will remain a challenge in light of the new pricing system put in place where steelmakers say it's harder to pass on costs to customers because of difficulty in projecting costs.
Expectations are the second half of 2011 will be slow for the industry.
Thursday, May 5, 2011
Steel's (SCHN) (SID) (HSC) (MEA) (USAP) and China Demand
For the most part, as goes China so goes the demand for steel, and in that regard it doesn't look good for steel companies like Companhia Siderurgica Nacional (NYSE:SID), Harsco Corporation (NYSE:HSC), Metalico Inc. (AMEX:MEA), Universal Stainless & Alloy Pr (Nasdaq:USAP) and Schnitzer Steel Industries (NASDAQ:SCHN), which are going to be pressured in the years ahead from declining demand from the Middle Kingdom.
According to the China Iron & Steel Association, the Chinese government is pushing to slow down economic growth, which will result in demand for steel in the country to slow down.
Estimates under the current scenario for the steel sector have steel consumption declining in China by a minimum of 2.6 percent to as high as 4.6 percent in 2011.
Globally it doesn't look good for the next five years or so either, as the top estimates are for steel demand to grow at a 5 percent rate annually, although many think it'll be less than that.
In the short term, the U.S. steel industry should ship product at 14 percent above 2010 levels, reaching about 95 million tons in 2011.
All the companies are being affected by soaring iron ore prices and other inputs, which are putting stress on margins and earnings because buyers are hesitating to acquire product at too high of prices; something that will continue for several years.
For the steel industry, there isn't much to be optimistic about, no matter how the situation is spun. It's going to remain tough for some time.
Schnitzer Steel Industries closed Wednesday at $58.19, falling $1.38, or 2.32 percent.
According to the China Iron & Steel Association, the Chinese government is pushing to slow down economic growth, which will result in demand for steel in the country to slow down.
Estimates under the current scenario for the steel sector have steel consumption declining in China by a minimum of 2.6 percent to as high as 4.6 percent in 2011.
Globally it doesn't look good for the next five years or so either, as the top estimates are for steel demand to grow at a 5 percent rate annually, although many think it'll be less than that.
In the short term, the U.S. steel industry should ship product at 14 percent above 2010 levels, reaching about 95 million tons in 2011.
All the companies are being affected by soaring iron ore prices and other inputs, which are putting stress on margins and earnings because buyers are hesitating to acquire product at too high of prices; something that will continue for several years.
For the steel industry, there isn't much to be optimistic about, no matter how the situation is spun. It's going to remain tough for some time.
Schnitzer Steel Industries closed Wednesday at $58.19, falling $1.38, or 2.32 percent.
Monday, May 2, 2011
Steel Firms (PKX) (USAP) (MEA) (HSC) (GSI) Pressured on Low Growth Outlook
The steel sector, even with some strong recent quarters from companies, looks weak, as over the next five years it is projected to grow at a pace of about 5 percent or less annually, placing downward pressure on steel producers like POSCO (NYSE:PKX), Universal Stainless & Alloy Pr (Nasdaq:USAP), Metalico Inc. (AMEX:MEA), Harsco Corporation (NYSE:HSC) and General Steel Holdings, (NYSE:GSI). And that's the more positive outlook by most analysts. A large number don't believe growth will even happen at that rate.
A majority of steel companies are being pressured to increase prices on their products in order to protect margins and earnings as the price of inputs and commodities rise.
That's not to say steel demand is falling completely, because it's not. But rising demand in some segments doesn't guarantee rising profits, as the industry is experiencing. A number of weak economies around the world could cut also into demand if steel prices and products rise to prohibitive levels.
There's no way to spin the outlook for the steel industry positively. The industry will struggle for years even in the midst of strong demand in some segments, as they attempt to work out the balance between steel demand, rising inputs, and ability for companies and countries to afford price increases from producers.
Posco closed Friday at $110.30, gaining $1.62, or 1.49 percent.
A majority of steel companies are being pressured to increase prices on their products in order to protect margins and earnings as the price of inputs and commodities rise.
That's not to say steel demand is falling completely, because it's not. But rising demand in some segments doesn't guarantee rising profits, as the industry is experiencing. A number of weak economies around the world could cut also into demand if steel prices and products rise to prohibitive levels.
There's no way to spin the outlook for the steel industry positively. The industry will struggle for years even in the midst of strong demand in some segments, as they attempt to work out the balance between steel demand, rising inputs, and ability for companies and countries to afford price increases from producers.
Posco closed Friday at $110.30, gaining $1.62, or 1.49 percent.
Thursday, April 28, 2011
POSCO (PKX) (HSC) (FRD) (CHOP) (MT) Pressured on Low Growth Steel Outlook
The steel industry, even with some strong recent quarters, looks weak, as over the next five years it is expected to grow at a pace of about 5 percent or less annually, putting downward pressure on steel producers like Harsco Corporation (NYSE:HSC), Friedman Industries Inc. AMEX:FRD), China Gerui Advanced Materials (Nasdaq:CHOP), POSCO (NYSE:PKX) and ArcelorMittal (NYSE:MT); although they traded a little stronger Thursday.
A majority of steel companies are being forced to raise prices on their products in order to protect margins and earnings as the price of inputs and commodities rise.
That's not to say steel demand is falling, because it's not. But rising demand doesn't guarantee rising profits, as the industry is experiencing. A number of weak economies around the world could cut also into demand if steel prices and products rise to prohibitive levels.
There's no way to spin the outlook for the steel industry positively.
The industry will struggle for years even in the midst of strong demand, as they attempt to work out the balance between steel demand, rising inputs, and ability for companies and countries to afford price increases from producers.
It also looks like the U.S. economy is starting to sputter again, and that's not good news for the steel industry either.
A majority of steel companies are being forced to raise prices on their products in order to protect margins and earnings as the price of inputs and commodities rise.
That's not to say steel demand is falling, because it's not. But rising demand doesn't guarantee rising profits, as the industry is experiencing. A number of weak economies around the world could cut also into demand if steel prices and products rise to prohibitive levels.
There's no way to spin the outlook for the steel industry positively.
The industry will struggle for years even in the midst of strong demand, as they attempt to work out the balance between steel demand, rising inputs, and ability for companies and countries to afford price increases from producers.
It also looks like the U.S. economy is starting to sputter again, and that's not good news for the steel industry either.
Thursday, April 21, 2011
US Steel (X) (TS) (TX) (HSC) Get Boost from Steel Consumption Report, (STLD)
Investors have suddenly become steel industry and company believers after the performance of Steel Dynamics, Inc. (Nasdaq:STLD) and the release of estimates for glow steel production by the World Steel Association, which pushed up the share prices of US Steel (NYSE:X), Tenaris SA (NYSE:TS), Ternium S.A. (NYSE:TX) and Harsco Corporation (NYSE:HSC) Wednesday.
Steel Dynamics gave as its reason for the optimism as growing backlogs in the company’s structural and rail division, but quietly added some of that could have been weather-related.
Also the projected global steel consumption growth of 5.9 percent didn't included the potential devastating effect the slowdown in Japan will have, as it's the largest consumer of steel in the world. Without that, the numbers are pretty meaningless. And it will take time, as with everything related to Japan at this time, before we know the full impact on steel and other sectors.
Harsco Corporation closed Wednesday at $33.97, gaining $0.27, or 0.80 percent. Ternium S.A. ended the day at $33.68, up $0.81, or 2.46 percent. Tenaris SA closed at $49.35, jumping $0.61, or 1.25 percent. US Steel closed the session at $52.75, rising $0.01, or 0.02 percent.
Steel Dynamics gave as its reason for the optimism as growing backlogs in the company’s structural and rail division, but quietly added some of that could have been weather-related.
Also the projected global steel consumption growth of 5.9 percent didn't included the potential devastating effect the slowdown in Japan will have, as it's the largest consumer of steel in the world. Without that, the numbers are pretty meaningless. And it will take time, as with everything related to Japan at this time, before we know the full impact on steel and other sectors.
Harsco Corporation closed Wednesday at $33.97, gaining $0.27, or 0.80 percent. Ternium S.A. ended the day at $33.68, up $0.81, or 2.46 percent. Tenaris SA closed at $49.35, jumping $0.61, or 1.25 percent. US Steel closed the session at $52.75, rising $0.01, or 0.02 percent.
Wednesday, January 12, 2011
Harsco Corporation (NYSE:HSC) Will Improve Financially in 2011 Says Canaccord
Saying the restructuring initiatives of Harsco Corporation (NYSE:HSC) were comprehensive, they should generate strong improvement over the next several years for the company, said Canaccord.
They stated, "We conclude that Harsco’s comprehensive restructuring initiatives will generate significant financial improvement starting in 2011 and continuing for the next several years. While the firm’s infrastructure business faces a difficult operating environment, a more streamlined and cost-efficient operation should lead to sustained improvements in 2012 and beyond."
Canaccord Genuity maintains a "Buy" rating on Harsco Corporation, which closed Tuesday at $31.17, gaining $0.71, or 2.33 percent. Canaccord boosted their price target on Harsco from $28 to $35.
They stated, "We conclude that Harsco’s comprehensive restructuring initiatives will generate significant financial improvement starting in 2011 and continuing for the next several years. While the firm’s infrastructure business faces a difficult operating environment, a more streamlined and cost-efficient operation should lead to sustained improvements in 2012 and beyond."
Canaccord Genuity maintains a "Buy" rating on Harsco Corporation, which closed Tuesday at $31.17, gaining $0.71, or 2.33 percent. Canaccord boosted their price target on Harsco from $28 to $35.
Wednesday, November 24, 2010
Harsco (NYSE:HSC) End Markets Show No Signs of Growth
Construction markets in Harsco Corporation (NYSE:HSC) territories are anemic, and that will push margins and growth down going forward, with no end in view as to when growth will resume.
Jefferies said, "HSC has been reporting losses in Infrastructure, the flagship business, this year and we expect another loss in 4Q. Its primary markets are NA and Europe commercial construction, where we estimate spending is declining 10%-15%. Pricing is weak."
Although maintaining their "Buy" rating and increasing their price target, Jefferies lowered their EPS estimate in full year 2010 and 2011.
They dropped their EPS estimates for full year 2010 to $0.82 from $0.86 and to $1.42 from $1.45 for full year 2011. They place a EPS estimate of $1.92 for full year 2012. Revenue estimates were also lowered a little each year, as full year 2010 went from $3.04 billion to $3.00 billion and for full year 2011 they went from $3.2 billion to $3.1 billion. The full year 2012 revenues estimate is $3.224 billion.
Harsco closed Tuesday at $23.04, falling $0.30, or 1.29 percent. Jefferies increased their price target on Harsco from $32 to $35.
Jefferies said, "HSC has been reporting losses in Infrastructure, the flagship business, this year and we expect another loss in 4Q. Its primary markets are NA and Europe commercial construction, where we estimate spending is declining 10%-15%. Pricing is weak."
Although maintaining their "Buy" rating and increasing their price target, Jefferies lowered their EPS estimate in full year 2010 and 2011.
They dropped their EPS estimates for full year 2010 to $0.82 from $0.86 and to $1.42 from $1.45 for full year 2011. They place a EPS estimate of $1.92 for full year 2012. Revenue estimates were also lowered a little each year, as full year 2010 went from $3.04 billion to $3.00 billion and for full year 2011 they went from $3.2 billion to $3.1 billion. The full year 2012 revenues estimate is $3.224 billion.
Harsco closed Tuesday at $23.04, falling $0.30, or 1.29 percent. Jefferies increased their price target on Harsco from $32 to $35.
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