AK Steel Upgraded: What You Need to Know
Every day, Wall Street analysts upgrade some stocks, downgrade others, and "initiate coverage" on a few more. But do these analysts even know what they're talking about? Today, we're taking one high-profile Wall Street pick and putting it under the microscope...
2017 has not been kind to investors in AK Steel (NYSE: AKS) stock. Over the past 12 months, shares of AK Steel have lost more than 42% of their value, and badly lagged the S&P 500, which is up 18%. On Halloween, AK played an especially nasty trick on its shareholders, reporting a reversal of last year's third-quarter profit in Q3 2017. According to data from StreetInsider.com, two analysts quickly cut their price targets on AK Steel stock (with top-15%-rated Cowen & Co. in particular cutting as low as $4 a share), while a third analyst downgraded the stock.
But could things finally be looking up for AK Steel? This morning, Swiss megabanker Credit Suisse announced it is upgrading AK Steel to outperform and assigning the stock a $7 price target. If Credit Suisse is right about this, it means that new investors today stand to earn as much as a 51% profit on AK Steel.
Source: Fool.com
