ArcelorMittal 'pauses' production at some European steel plants

  • ArcelorMittal (MT) has temporarily stopped production at some of its plants at peak times "in response to high energy prices, which are making it very challenging to produce steel at economical costs," according to the Financial Times.
  • Europe's largest steelmaker says it was forced to implement "short, selective production pauses" at some of its electric arc furnaces that make commodity-based products typically used in the construction sector.
  • ArcelorMittal (NYSE:MT) does not expect the pauses to have a "meaningful impact" on production volumes or its ability to meet customer demand.
  • The company typically produces ~40M metric ton/year of steel in Europe, with 25% or so for the construction products affected.
  • Separately, Credit Suisse upgrades ArcelorMittal to Outperform from Neutral, with analyst Carsten Riek saying the stock's recent weakness creates an attractive entry point.

    Over the current book year the total revenue from the company in Luxembourg will be 75.87 billion euros (consensus estimates). This is quite more than 2021's revenue of 53.27 billion euros.

    Historical revenues and results ArcelorMittal plus estimates 2021

    historische koersen

    The analysts expect for 2021 a net profit of 13.48 billion euros. The majority of the analysts expects for this year a profit per share of 13.04 euros. Based on this the price/earnings-ratio is 2.08.

    For this year the analysts expect a dividend of 40 cents per share. ArcelorMittal 's dividend yield thus equals 1.47 percent. The average dividend yield of the industrial companies equals an attractive1.65 percent.

    Most recent target prices around 47 euros

    ABN AMRO , Deutsche Bank and Barclays recently provided recommendations for the stock.

    ArcelorMittal 's market capitalization is based on the number of outstanding shares around 27.51 billion euros. 119

    At 17.36 the stock trades 0.67 percent higher at 27.18 euros.

    Historical stock prices ArcelorMittal from 2007 till 2021

    stock arcelormittal

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