Gerdau (NYSE:GGB) Given New $4.60 Price Target at UBS Group

Gerdau (NYSE:GGB) had its price target boosted by stock analysts at UBS Group from $4.40 to $4.60 in a research report issued to clients and investors on Thursday,Benzinga reports. The brokerage presently has a “buy” rating on the basic materials company’s stock. UBS Group’s target price suggests a potential upside of 21.85% from the stock’s current price.

Several other brokerages have also weighed in on GGB. Weiss Ratings restated a “hold (c)” rating on shares of Gerdau in a research report on Friday, March 27th. Scotiabank upgraded shares of Gerdau from a “hold” rating to a “strong-buy” rating in a research report on Thursday, March 26th. Finally, Itau BBA Securities raised Gerdau from a “market perform” rating to an “outperform” rating and set a $4.60 price target on the stock in a research note on Wednesday. One equities research analyst has rated the stock with a Strong Buy rating, two have assigned a Buy rating and three have assigned a Hold rating to the company. According to data from MarketBeat.com, Gerdau currently has an average rating of “Moderate Buy” and an average target price of $4.60.

Gerdau Price Performance

Gerdau stock traded down $0.02 during midday trading on Thursday, reaching $3.78. The company’s stock had a trading volume of 20,903,047 shares, compared to its average volume of 20,222,539. Gerdau has a fifty-two week low of $2.27 and a fifty-two week high of $4.66. The company has a debt-to-equity ratio of 0.26, a quick ratio of 1.40 and a current ratio of 2.89. The stock’s 50 day simple moving average is $3.91 and its 200 day simple moving average is $3.67. The firm has a market capitalization of $7.54 billion, a PE ratio of 31.46, a P/E/G ratio of 1.02 and a beta of 1.44.

Gerdau (NYSE:GGB) last issued its earnings results on Tuesday, February 24th. The basic materials company reported $0.07 EPS for the quarter, missing the consensus estimate of $0.11 by ($0.04). The company had revenue of $3.08 billion for the quarter, compared to analysts’ expectations of $3.12 billion. Gerdau had a return on equity of 6.20% and a net margin of 1.93%. On average, equities research analysts forecast that Gerdau will post 0.46 earnings per share for the current year.

Insiders Place Their Bets

In other Gerdau news, Chairman Guilherme Chagas G. Johannpeter sold 85,607 shares of the firm’s stock in a transaction dated Friday, March 20th. The shares were sold at an average price of $3.29, for a total transaction of $281,647.03. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through the SEC website. Company insiders own 0.02% of the company’s stock.

Institutional Trading of Gerdau

Several large investors have recently modified their holdings of the business. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. increased its stake in shares of Gerdau by 68.9% during the 2nd quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 9,634 shares of the basic materials company’s stock worth $28,000 after purchasing an additional 3,931 shares in the last quarter. EverSource Wealth Advisors LLC grew its holdings in Gerdau by 95.3% during the 2nd quarter. EverSource Wealth Advisors LLC now owns 10,687 shares of the basic materials company’s stock valued at $31,000 after buying an additional 5,216 shares during the last quarter. Wealthstream Advisors Inc. acquired a new stake in Gerdau during the 3rd quarter valued at $32,000. Aster Capital Management DIFC Ltd purchased a new position in Gerdau during the third quarter worth $34,000. Finally, Caitong International Asset Management Co. Ltd purchased a new position in Gerdau during the third quarter worth $34,000. 1.49% of the stock is currently owned by institutional investors and hedge funds.

Gerdau Company Profile

Gerdau SA is a Brazilian-based steel producer engaged in the manufacture and distribution of long steel products for the construction, industrial and agricultural sectors. Established in 1901, the company operates an integrated network of electric-arc furnaces and rolling mills, producing reinforcement bars, wire rod, merchant bars and structural shapes. Gerdau’s product portfolio also includes specialty long steel, high-yield reinforcement, rail, beams and steel coils, as well as value-added processing services such as cutting, bending and coating.

The company has expanded its footprint beyond Brazil, with significant operations in North America, South America and a presence in select European markets.