BlueScope Loses Bull as U.S. Conditions 'as Good as They Get'

Dow Jones
08/19

0213 GMT - While BlueScope Steel is delivering good cost savings, Macquarie questions what will drive its stock from here. "U.S. conditions are as good as they get," while conditions in Australia and New Zealand are weak, Macquarie says. BlueScope's execution is strong and the prospect of capital returns is attractive, "however we think these factors are largely discounted" in the steelmaker's share price, it says. The bank trims its target on the stock to A$34.35 from A$35.95 and downgrades to neutral from outperform. Shares are up 2.5% at A$32.29.

 

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