Algoma Steel Group (NASDAQ:ASTL) Trading 3.9% Higher – Here’s Why

Algoma Steel Group Inc. (NASDAQ:ASTL) shares traded up 3.9% during mid-day trading on Wednesday . The company traded as high as $4.71 and last traded at $4.58. 1,019,233 shares changed hands during mid-day trading, a decline of 46% from the average session volume of 1,883,152 shares. The stock had previously closed at $4.41.

Wall Street Analysts Forecast Growth

A number of equities analysts recently issued reports on the company. Zacks Research downgraded Algoma Steel Group from a “strong-buy” rating to a “hold” rating in a report on Monday, March 9th. Jefferies Financial Group assumed coverage on Algoma Steel Group in a report on Friday, January 2nd. They issued a “hold” rating for the company. Finally, Weiss Ratings reaffirmed a “sell (d-)” rating on shares of Algoma Steel Group in a report on Friday, March 27th. Five analysts have rated the stock with a Hold rating and one has given a Sell rating to the company’s stock. According to data from MarketBeat.com, the stock currently has an average rating of “Reduce”.

Algoma Steel Group Price Performance

The stock has a fifty day moving average of $4.36 and a 200-day moving average of $4.17. The company has a quick ratio of 1.03, a current ratio of 2.18 and a debt-to-equity ratio of 1.36. The stock has a market capitalization of $494.55 million, a price-to-earnings ratio of -0.70 and a beta of 1.54.

Algoma Steel Group (NASDAQ:ASTL) last announced its earnings results on Wednesday, March 11th. The company reported ($2.11) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.32 by ($2.43). The business had revenue of $331.33 million for the quarter, compared to analysts’ expectations of $474.30 million. Algoma Steel Group had a negative return on equity of 42.31% and a negative net margin of 47.61%. On average, equities research analysts predict that Algoma Steel Group Inc. will post -0.63 EPS for the current fiscal year.

Hedge Funds Weigh In On Algoma Steel Group

A number of hedge funds have recently modified their holdings of ASTL. Maple Rock Capital Partners Inc. grew its position in shares of Algoma Steel Group by 38.3% during the fourth quarter. Maple Rock Capital Partners Inc. now owns 14,430,818 shares of the company’s stock worth $59,166,000 after acquiring an additional 4,000,000 shares during the last quarter. MMCAP International Inc. SPC grew its position in shares of Algoma Steel Group by 42.2% during the fourth quarter. MMCAP International Inc. SPC now owns 11,487,861 shares of the company’s stock worth $47,111,000 after acquiring an additional 3,409,033 shares during the last quarter. TD Asset Management Inc grew its position in shares of Algoma Steel Group by 1,351.7% during the fourth quarter. TD Asset Management Inc now owns 1,687,420 shares of the company’s stock worth $6,955,000 after acquiring an additional 1,571,184 shares during the last quarter. Quadrature Capital Ltd grew its position in shares of Algoma Steel Group by 14,366.4% during the third quarter. Quadrature Capital Ltd now owns 1,529,100 shares of the company’s stock worth $5,439,000 after acquiring an additional 1,518,530 shares during the last quarter. Finally, Verition Fund Management LLC purchased a new position in shares of Algoma Steel Group during the fourth quarter worth approximately $5,120,000. 72.00% of the stock is currently owned by hedge funds and other institutional investors.

Algoma Steel Group Company Profile

Algoma Steel Group Inc is a North American steel producer headquartered in Sault Ste. Marie, Ontario. The company operates a modern electric arc furnace (EAF) complex and an integrated rolling mill, enabling it to transform scrap and direct reduced iron into a wide range of steel products. Algoma Steel Group returned to public markets in 2021 with listings on both the Toronto Stock Exchange and the Nasdaq under the symbol ASTL.

Founded in 1901 as Algoma Steel Corporation, the company grew to become one of Canada’s leading steelmakers before undergoing restructuring in the early 2000s.