ArcelorMittal (NYSE:MT) Shares Gap Down – What’s Next?

ArcelorMittal S.A. (NYSE:MT)’s share price gapped down before the market opened on Tuesday . The stock had previously closed at $30.62, but opened at $29.96. ArcelorMittal shares last traded at $29.91, with a volume of 180,522 shares traded.

Wall Street Analyst Weigh In

MT has been the subject of several research analyst reports. Jefferies Financial Group cut ArcelorMittal from a “buy” rating to a “hold” rating and set a $36.20 price objective for the company. in a research report on Wednesday, March 26th. The Goldman Sachs Group upgraded shares of ArcelorMittal from a “neutral” rating to a “buy” rating and raised their price objective for the company from $29.00 to $31.70 in a research note on Thursday, April 10th. Morgan Stanley lowered shares of ArcelorMittal from an “overweight” rating to an “equal weight” rating in a research report on Friday, February 14th. Finally, Deutsche Bank Aktiengesellschaft reissued a “buy” rating on shares of ArcelorMittal in a research note on Monday, April 14th. Three research analysts have rated the stock with a hold rating and four have assigned a buy rating to the company. Based on data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and an average target price of $32.95.

ArcelorMittal Stock Down 1.8%

The firm’s 50-day moving average price is $28.92 and its 200-day moving average price is $27.23. The company has a debt-to-equity ratio of 0.17, a current ratio of 1.35 and a quick ratio of 0.59. The company has a market cap of $24.63 billion, a price-to-earnings ratio of 18.22, a price-to-earnings-growth ratio of 0.14 and a beta of 1.62.

ArcelorMittal (NYSE:MT) last announced its quarterly earnings results on Wednesday, April 30th. The basic materials company reported $1.04 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.71 by $0.33. The firm had revenue of $14.80 billion during the quarter, compared to the consensus estimate of $15.11 billion. ArcelorMittal had a return on equity of 4.31% and a net margin of 2.14%. The firm’s quarterly revenue was down 9.1% compared to the same quarter last year. During the same period in the prior year, the firm earned $1.16 EPS. Sell-side analysts forecast that ArcelorMittal S.A. will post 3.72 earnings per share for the current fiscal year.

ArcelorMittal Cuts Dividend

The firm also recently announced a dividend, which will be paid on Wednesday, June 11th. Stockholders of record on Monday, May 19th will be paid a dividend of $0.2338 per share. The ex-dividend date is Friday, May 16th. This represents a dividend yield of 1.44%. ArcelorMittal’s dividend payout ratio is presently 30.07%.

Institutional Trading of ArcelorMittal

Several institutional investors have recently added to or reduced their stakes in MT. Bank of New York Mellon Corp increased its stake in ArcelorMittal by 221.3% during the 4th quarter. Bank of New York Mellon Corp now owns 3,403,048 shares of the basic materials company’s stock valued at $78,712,000 after buying an additional 2,344,020 shares during the period. Charles Schwab Investment Management Inc. lifted its position in ArcelorMittal by 24.1% in the fourth quarter. Charles Schwab Investment Management Inc. now owns 67,562 shares of the basic materials company’s stock worth $1,563,000 after purchasing an additional 13,141 shares during the period. American Century Companies Inc. boosted its stake in ArcelorMittal by 4.8% during the 4th quarter. American Century Companies Inc. now owns 280,838 shares of the basic materials company’s stock valued at $6,496,000 after purchasing an additional 12,929 shares in the last quarter. Callan Family Office LLC acquired a new position in shares of ArcelorMittal during the 4th quarter valued at $207,000. Finally, Vestmark Advisory Solutions Inc. bought a new stake in shares of ArcelorMittal in the 4th quarter worth $256,000. Institutional investors own 9.29% of the company’s stock.

About ArcelorMittal

ArcelorMittal SA, together with its subsidiaries, operates as integrated steel and mining companies in the United States, Europe, and internationally. It offers semi-finished flat products, including slabs; finished flat products comprising plates, hot- and cold-rolled coils and sheets, hot-dipped and electro-galvanized coils and sheets, tinplate, and color coated coils and sheets; semi-finished long products, such as blooms and billets; finished long products consisting of bars, wire-rods, structural sections, rails, sheet piles, and wire-products; and seamless and welded pipes and tubes.