Jefferies cuts ArcelorMittal following shares rally, cites tariffs uncertainties

ArcelorMittal SA

26/03/2025 06:29

** Jefferies downgrades ArcelorMittal MT.AS to "hold" from "buy" as it expects a near-term share price consolidation, after its rally

** The world's second-largest steelmaker has rallied 32% YTD, outperforming U.S. steel peers, Jefferies says

** The rally has been driven by inflection in +13% EU and +25% U.S. steel prices YTD and recovery in margins from cyclical lows, it adds

** The brokerage also flags uncertainties over Mexico and Canada due to tariffs

** And while EU mid-term steel outlook is better, Jefferies says it needs visible pricing and demand moving up to drive upgrades

** Jefferies keeps the PT at 33 euros

 (Reporting by Anna Peverieri)

 ((Anna.peverieri@thomsonreuters.com))