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MTS - ArcelorMittal SA News Story

€25.21 0.8  3.1%

Last Trade - 16/04/21

Sector
Basic Materials
Size
Large Cap
Market Cap £23.62bn
Enterprise Value £29.90bn
Revenue £38.52bn
Position in Universe 12th / 729

BUZZ-ArcelorMittal: Auto restocking to drive steel demand, BofA ups

Thu 17th September, 2020 11:49am
** BofA Global Research upgrades ArcelorMittal  MT.AS  to
"buy" from "neutral", looking past trough profitability to
improving shipments going into Q4 2020 and H1 2021
    ** With retail sales outperforming wholesale for five
months, broker expects auto makers, a key market for Arcelor, to
restock in Q4 and higher production to drive up steel volumes
    ** Restocking could tighten up steel supply demand
near-term, potentially giving steelmakers a little pricing power
for the first time in many months, it adds, easing raw
materials/steel demand spread pressures
    ** BofA also says European Q3 construction's been "less bad"
than feared, as projects seek to catch-up on COVID-19 delays,
with major infrastructure projects underway
    ** European PMIs are still positive and suggest further
economic recovery from here, which should support general steel
demand, adds broker
    ** Separately, Jefferies shares the view, saying leading
indicators are positive, auto demand is improving, while
near-term pricing risk is to the upside
    ** ArcelorMittal, the world's largest steelmaker, shares
rise 3% to end-March highs

 ((sarah.morland@thomsonreuters.com; +48 58 778 53 35;))
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