Renta 4 continues to believe in ArcelorMittal. The private banking entity maintains its advice to 'overweight' the listed steelmaker of the Ibex 35, which also reiterates a target price of 12.40 euros, a figure that anticipates a bullish 32% trend in value.
"Despite the strong deterioration, we highlight its high liquidity from the capital increase in May, low level of net debt and effective plans to reduce operating expenses and conserve cash, widely cutting your capital needs"explains Renta 4.
"We expect a strong deterioration at the operational level in 2020 as a result of CV19, which has aggravated the situation of demand and prices in the sector," acknowledges the private banking entity in its report.
"We expect a less intense recovery in the coming years and high exposure to Europe, with a demanding competitive environment (restructuring, import pressure with less effective anti-dumping measures) and emerging countries, fundamentally, they advise us to be more cautious ", Apostille.
From a technical point of view, Bolsamanía analyst J.M. Rodríguez recently highlighted that the title "has been choked by the weekly bearish gap in mid-March." In mid-June, the company was down 40% on the year.
. (tagsToTranslate) Arcelor (t) maintains (t) confidence (t) Income (t) "endure (t) temporary (t) a lot of (t) liquidity" (t) Category: All (t) Category: Market Report (t ) Category: Company News (t) Category: Pulsos (t) Category: Market Pulse