Here's Why Allegheny Technologies Incorporated Gained 13.3% in August

Here's Why Allegheny Technologies Incorporated Gained 13.3% in August

Shares of specialty materials manufacturer Allegheny Technologies Incorporated (NYSE: ATI) continued the rally that began in mid-May by surging over 13% last month. Fresh off promising second-quarter 2017 results announced in the final week of July, the stock found another catalyst in the form of a bullish analyst.

Chris Olin at Longbow raised his 2018 earnings-per-share estimate slightly and reiterated a buy rating and $24-per-share price target for Allegheny Technologies. That represented a nearly 29% premium to the closing price on Aug. 21, the day of the analyst's note to investors, which sent shares markedly higher the following day. What supports the analyst's optimism?

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Source: Fool.com