Zacks Research Downgrades Ternium (NYSE:TX) to Hold

Ternium (NYSE:TX) was downgraded by stock analysts at Zacks Research from a “strong-buy” rating to a “hold” rating in a research note issued on Thursday,Zacks.com reports.

Several other equities research analysts have also weighed in on TX. HSBC set a $41.00 target price on shares of Ternium and gave the stock a “buy” rating in a report on Friday, October 17th. Hsbc Global Res raised shares of Ternium to a “strong-buy” rating in a research report on Friday, October 17th. Wall Street Zen cut Ternium from a “buy” rating to a “hold” rating in a research report on Saturday, November 1st. Wells Fargo & Company boosted their price objective on shares of Ternium from $30.00 to $34.00 and gave the stock an “underweight” rating in a research note on Wednesday, January 21st. Finally, Weiss Ratings restated a “hold (c)” rating on shares of Ternium in a research note on Wednesday, January 21st. One investment analyst has rated the stock with a Strong Buy rating, four have issued a Buy rating, four have assigned a Hold rating and two have given a Sell rating to the company. Based on data from MarketBeat, the company presently has a consensus rating of “Hold” and a consensus target price of $36.06.

Ternium Price Performance

NYSE TX opened at $41.82 on Thursday. The company has a fifty day simple moving average of $39.42 and a 200 day simple moving average of $36.01. The company has a market cap of $8.38 billion, a P/E ratio of 14.08 and a beta of 1.36. The company has a current ratio of 2.46, a quick ratio of 1.42 and a debt-to-equity ratio of 0.10. Ternium has a 1 year low of $24.00 and a 1 year high of $44.16.

Ternium (NYSE:TX) last posted its earnings results on Tuesday, October 28th. The basic materials company reported $0.10 earnings per share for the quarter, missing analysts’ consensus estimates of $0.78 by ($0.68). Ternium had a net margin of 3.72% and a return on equity of 1.89%. The business had revenue of $3.95 billion during the quarter, compared to the consensus estimate of $4.02 billion. During the same period in the previous year, the firm earned $0.16 EPS. The business’s revenue was down 11.7% compared to the same quarter last year. On average, sell-side analysts predict that Ternium will post 4.37 EPS for the current year.

Hedge Funds Weigh In On Ternium

A number of institutional investors have recently modified their holdings of the company. Lazard Asset Management LLC lifted its position in shares of Ternium by 8.5% during the 3rd quarter. Lazard Asset Management LLC now owns 5,813,570 shares of the basic materials company’s stock worth $201,905,000 after buying an additional 454,798 shares in the last quarter. Donald Smith & CO. Inc. boosted its stake in shares of Ternium by 10.1% in the 2nd quarter. Donald Smith & CO. Inc. now owns 3,412,385 shares of the basic materials company’s stock valued at $102,713,000 after purchasing an additional 312,595 shares in the last quarter. Schroder Investment Management Group grew its position in Ternium by 4.7% during the 3rd quarter. Schroder Investment Management Group now owns 2,279,273 shares of the basic materials company’s stock worth $79,159,000 after acquiring an additional 101,748 shares during the last quarter. Oaktree Capital Management LP increased its position in shares of Ternium by 13.2% in the second quarter. Oaktree Capital Management LP now owns 919,709 shares of the basic materials company’s stock valued at $27,683,000 after acquiring an additional 107,100 shares during the period. Finally, Prudential PLC raised its holdings in shares of Ternium by 5.5% during the third quarter. Prudential PLC now owns 717,593 shares of the basic materials company’s stock valued at $24,922,000 after acquiring an additional 37,408 shares in the last quarter. 11.98% of the stock is owned by institutional investors and hedge funds.

About Ternium

Ternium SA (NYSE:TX) is a leading vertically integrated steel producer with operations across the Americas. The company manufactures a broad range of flat and long steel products, including hot‐rolled and cold‐rolled coils, galvanized and tin-coated sheets, plates, rebars, wire rods, bars and structural sections. These products serve diverse end markets such as automotive, construction, energy, industrial machinery, home appliances and packaging.

Established in 2005 through the consolidation of steel assets in Argentina and Mexico, Ternium has grown to operate major production facilities in Argentina, Brazil, Mexico, Colombia, Central America and the United States.