AKS - AK Steel Holding Corporation

NYSE - NYSE Delayed price. Currency in USD
2.9400
-0.1000 (-3.29%)
At close: 4:02PM EST
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Previous close3.0400
Open3.0500
Bid2.9200 x 28000
Ask2.9300 x 43500
Day's range2.9200 - 3.0500
52-week range1.6600 - 3.5900
Volume10,535,713
Avg. volume7,776,578
Market cap927.694M
Beta (5Y monthly)3.04
PE ratio (TTM)9.42
EPS (TTM)N/A
Earnings dateN/A
Forward dividend & yieldN/A (N/A)
Ex-dividend date10 May 2012
1y target estN/A
  • AK Steel (AKS) Expected to Beat Earnings Estimates: Should You Buy?
    Zacks

    AK Steel (AKS) Expected to Beat Earnings Estimates: Should You Buy?

    AK Steel (AKS) possesses the right combination of the two key ingredients for a likely earnings beat in its upcoming report. Get prepared with the key expectations.

  • Is AK Steel (AKS) Stock a Suitable Pick for Value Investors?
    Zacks

    Is AK Steel (AKS) Stock a Suitable Pick for Value Investors?

    Let's see if AK Steel Holding Corporation (AKS) stock is a good choice for value-oriented investors right now, or if investors subscribing to this methodology should look elsewhere for top picks.

  • CF Industries (CF) to Post Q4 Earnings: What's in the Cards?
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    CF Industries (CF) to Post Q4 Earnings: What's in the Cards?

    Benefits from higher nitrogen fertilizer prices are likely to get reflected in CF Industries' (CF) Q4 results.

  • Will Nevada Gold Mines Support Barrick's (GOLD) Q4 Earnings?
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    Will Nevada Gold Mines Support Barrick's (GOLD) Q4 Earnings?

    Strong performance from Nevada Gold Mines and higher gold prices are likely to get reflected in Barrick's (GOLD) Q4 results.

  • Royal Gold (RGLD) to Report Q2 Earnings: What's in Store?
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    Royal Gold (RGLD) to Report Q2 Earnings: What's in Store?

    Royal Gold's (RGLD) second-quarter results will likely reflect impact of higher gold prices.

  • FMC Corp (FMC) to Post Q4 Earnings: What's in the Cards?
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    FMC Corp (FMC) to Post Q4 Earnings: What's in the Cards?

    Our proven model does not conclusively predict an earnings beat for FMC Corp (FMC) this time around.

  • LyondellBasell (LYB) to Post Q4 Earnings: Is a Beat in Store?
    Zacks

    LyondellBasell (LYB) to Post Q4 Earnings: Is a Beat in Store?

    LyondellBasell's (LYB) Q4 results are likely to reflect benefits from low-cost natural gas, synergies from the A. Schulman acquisition and improved performance at Houston refinery.

  • US Steel Stocks' Q4 Earnings: Will Lower Prices be a Drag?
    Zacks

    US Steel Stocks' Q4 Earnings: Will Lower Prices be a Drag?

    Lower U.S. steel prices might have hurt shipments and selling prices of American steel companies in Q4.

  • A Tough Year for Steel Stocks: Will 2020 Bring Good Tidings?
    Zacks

    A Tough Year for Steel Stocks: Will 2020 Bring Good Tidings?

    A recovery in steel prices and easing U.S.-China trade tensions are likely provide a respite to American steel makers next year.

  • Company News for Dec 4, 2019
    Zacks

    Company News for Dec 4, 2019

    Companies In The News Are: UNH,PEP,CLF,AKS,BOLD.

  • Cleveland-Cliffs’ ‘Whatever’ Cheers AK Steel’s Bondholders
    Bloomberg

    Cleveland-Cliffs’ ‘Whatever’ Cheers AK Steel’s Bondholders

    (Bloomberg Opinion) -- An otherwise fairly unremarkable Tuesday morning thankfully delivered one of the more memorable answers on an M&A call. Lourenco Goncalves, CEO of Cleveland-Cliffs Inc., was asked a sensible question about the risks around transfer pricing in the just-announced acquisition of AK Steel Corp., to which he delivered this bracing dose of honesty:It’s our company after we close, so we can do whatever we want at the end of the day.Except, of course, the “our” there includes the investors who own Cliffs. Some of them didn’t really agree with the spirit of Goncalves’s take. By midmorning in New York, Cliffs shares were down more than 12%, all but wiping out the premium AK Steel’s own shareholders were being offered in the all-stock deal. Indeed, the immediate winners here aren’t the shareholders of either company, but rather AK Steel’s bondholders.That question about transfer pricing was aimed at one of the main stated rationales for the deal: namely, that combining Cliffs’ iron-ore pellets business with AK Steel’s furnaces would boost the latter’s margins per ton. But that’s the age-old fallacy of vertical integration: Favorable pricing from one part of the merged business to another may optically boost profitability for one, but that comes at the expense of the other.To be fair, Goncalves went on to say people shouldn’t expect Cliffs to cross-subsidize in that way. Unfortunately, the market’s reaction suggests investors may be focused more on the “we can do whatever we want” bit.With the long-term benefits of vertical integration questionable, this deal looks more like an alloy of defensiveness and opportunism.AK Steel is under pressure on two fronts. First, almost two-thirds of its sales are tied to the automotive industry. That is a great business for any steelmaker — except when U.S. auto sales look set to plateau or decline and major overseas markets such as China are struggling already. Steel prices have dropped sharply from the tariff-induced highs of 2018.Second, the continued shift in market share toward electric-arc furnaces using recycled steel represents a structural problem for traditional producers such as AK Steel. This is also why Cliffs is investing in facilities producing more hot-briquetted iron, which targets arc furnaces. Wen Li, an analyst at CreditSights, points out that AK Steel’s leverage — net debt of 3.7 times adjusted Ebitda at the end of September —remained elevated even when steel pricing was good, and was likely to rise as automotive contracts get reset at lower prices.In buying AK Steel, therefore, Cliffs provides support — including refinancing of near-term debt maturities — to a major customer that accounted for a quarter of its product revenue in 2018. Hence, even as Cliffs’ stock plunged and AK Steel’s battered stock ticked up a little on Tuesday morning, the target’s bondholders were high-fiving:The opportunist aspect of the deal reflects AK Steel’s pricing. Cliffs has a literal moat in the form of its positioning in the Great Lakes region, shielding it from foreign competition. However, it also limits growth prospects; consensus forecasts imply earnings per share will fall almost 30% in 2020 and by 2022 will be merely flat with 2019’s level. Even if AK Steel’s vertical integration is of dubious benefit, it offers the possibility of cutting costs to boost the bottom line. At $120 million a year, the touted savings target equates to just under 40% of AK Steel’s trailing selling, general and administrative expenses, which seems like a reasonable target. Taxed, it would also boost pro-forma net income by 16%, all else equal. With the exchange ratio having halved since the start of 2018, that may have been too tempting for Cliffs to pass up.As it stands, against the notional $800 million or so of present value associated with such potential savings, almost $300 million has been wiped off the value of Cliffs’ stock. It doesn’t help that two commodity producers announced a surprise deal just as we are undergoing yet another trade tantrum. Neither does the questionable vertical-integration story. This will ultimately all come down to how much cost can really be cut. On that front, at least, investors will hope management does whatever it takes.To contact the author of this story: Liam Denning at ldenning1@bloomberg.netTo contact the editor responsible for this story: Mark Gongloff at mgongloff1@bloomberg.netThis column does not necessarily reflect the opinion of the editorial board or Bloomberg LP and its owners.Liam Denning is a Bloomberg Opinion columnist covering energy, mining and commodities. He previously was editor of the Wall Street Journal's Heard on the Street column and wrote for the Financial Times' Lex column. He was also an investment banker.For more articles like this, please visit us at bloomberg.com/opinion©2019 Bloomberg L.P.

  • U.S. Steel Imports Down YTD: Are Tariffs Really Helping?
    Zacks

    U.S. Steel Imports Down YTD: Are Tariffs Really Helping?

    Despite the benefits of steel tariffs, shares of most U.S. steel companies remain subdued this year as weak demand and prices hurt their earnings.

  • Reuters - UK Focus

    US STOCKS-U.S. stocks retreat on economy and trade jitters

    Wall Street stepped back from last week's record highs on Monday, with weak U.S. manufacturing data and fresh trade worries keeping buyers on the sidelines. All three major U.S. stock averages began the last month of the year in the red as investors returned from the long holiday weekend. A report from the Institute for Supply Management (ISM) showed U.S. manufacturing activity contracted in November for the fourth consecutive month, stoking concerns that the longest period of economic expansion in U.S. history could be losing steam.

  • Reuters - UK Focus

    US STOCKS-Wall St falls on weak manufacturing data, trade woes

    Wall Street retreated on Monday as disappointing U.S. economic data and fresh trade worries dampened investor risk appetite. The S&P 500 posted 16 new 52-week highs and 2 new lows; the Nasdaq Composite recorded 62 new highs and 33 new lows.

  • Investing.com

    Steel Companies Jump After Trump Hits Brazil and Argentina with Tariffs

    Investing.com - Steel and mining companies were higher in midday trade on Monday after U.S. President Donald Trump said he was re-implementing steel tariffs on imports from Brazil and Argentina.

  • Global Steel Output Drops as China Loses Steam: What's Ahead?
    Zacks

    Global Steel Output Drops as China Loses Steam: What's Ahead?

    Chinese steel production slipped 0.6% year over year to 81.5 Mt in October amid Beijing's anti-pollution drive.

  • AK Steel Purchases Group Annuity Contract From MassMutual
    Zacks

    AK Steel Purchases Group Annuity Contract From MassMutual

    AK Steel (AKS) transfers aggregate pension obligations of $1.1 billion to highly-rated annuity providers for around 20,000 retirees since 2016.

  • What Awaits U.S. Steel Stocks After an Uninspiring Q3?
    Zacks

    What Awaits U.S. Steel Stocks After an Uninspiring Q3?

    While demand weakness is likely to continue, it remains to be seen if the recent recovery in steel prices is short-lived or more sustainable heading into 2020.

  • How Much Did AK Steel Holding Corporation's (NYSE:AKS) CEO Pocket Last Year?
    Simply Wall St.

    How Much Did AK Steel Holding Corporation's (NYSE:AKS) CEO Pocket Last Year?

    In 2016 Roger Newport was appointed CEO of AK Steel Holding Corporation (NYSE:AKS). This report will, first, examine...

  • CLF, U.S. Steel Corporation Read the Writing on the Wall
    Market Realist

    CLF, U.S. Steel Corporation Read the Writing on the Wall

    CLF and U.S. Steel Corporation are looking at electric arc furnaces, whose variable cost dynamics make them suitable for the cyclical steel industry.

  • Citi Has Some Bad News for CLF Stock and US Steel
    Market Realist

    Citi Has Some Bad News for CLF Stock and US Steel

    Citi is bearish on iron ore and steel prices, expecting bad news for Cleveland-Cliffs (CLF) and US steel companies. This year, CLF stock is trading almost flat.

  • Two Reasons US Steel Stock Is Surging Today
    Market Realist

    Two Reasons US Steel Stock Is Surging Today

    U.S. Steel stock (X) is trading with sharp gains today after the company released its Q3 earnings. Here's why the market is so optimistic about X.

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