Algoma Steel Group (NASDAQ:ASTL) Cut to “Hold” at Zacks Research

Zacks Research lowered shares of Algoma Steel Group (NASDAQ:ASTL) from a strong-buy rating to a hold rating in a report issued on Monday morning,Zacks.com reports.

Several other equities research analysts also recently commented on ASTL. Jefferies Financial Group initiated coverage on shares of Algoma Steel Group in a report on Friday, January 2nd. They set a “hold” rating on the stock. Weiss Ratings reissued a “sell (d-)” rating on shares of Algoma Steel Group in a research report on Monday, December 29th. Five investment analysts have rated the stock with a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat, the stock presently has a consensus rating of “Reduce”.

Algoma Steel Group Stock Up 0.7%

ASTL stock opened at $4.33 on Monday. The stock has a fifty day moving average of $4.49 and a 200-day moving average of $4.28. Algoma Steel Group has a fifty-two week low of $3.02 and a fifty-two week high of $7.24. The company has a market capitalization of $454.65 million, a price-to-earnings ratio of -0.91 and a beta of 1.54. The company has a debt-to-equity ratio of 0.72, a quick ratio of 0.76 and a current ratio of 2.29.

Hedge Funds Weigh In On Algoma Steel Group

Hedge funds have recently bought and sold shares of the company. Maple Rock Capital Partners Inc. lifted its stake in Algoma Steel Group by 38.3% in the 4th quarter. Maple Rock Capital Partners Inc. now owns 14,430,818 shares of the company’s stock worth $59,166,000 after purchasing an additional 4,000,000 shares in the last quarter. MMCAP International Inc. SPC grew its position in shares of Algoma Steel Group by 42.2% during the 4th quarter. MMCAP International Inc. SPC now owns 11,487,861 shares of the company’s stock valued at $47,111,000 after purchasing an additional 3,409,033 shares in the last quarter. TD Asset Management Inc increased its holdings in shares of Algoma Steel Group by 1,351.7% in the fourth quarter. TD Asset Management Inc now owns 1,687,420 shares of the company’s stock worth $6,955,000 after purchasing an additional 1,571,184 shares during the period. Connor Clark & Lunn Investment Management Ltd. bought a new position in shares of Algoma Steel Group in the second quarter worth $10,874,000. Finally, Quadrature Capital Ltd raised its position in shares of Algoma Steel Group by 14,366.4% in the third quarter. Quadrature Capital Ltd now owns 1,529,100 shares of the company’s stock worth $5,439,000 after buying an additional 1,518,530 shares in the last quarter. Hedge funds and other institutional investors own 72.00% of the company’s stock.

Key Algoma Steel Group News

Here are the key news stories impacting Algoma Steel Group this week:

• Positive Sentiment: Management completed the blast-furnace shutdown and fully transitioned to EAF steelmaking, a long-term structural change that should lower future carbon intensity and operating costs. Algoma Steel Group Inc. Reports Financial Results
• Positive Sentiment: Some analysts and institutional investors remain committed: recent analyst targets center around $6 and several funds added shares in recent quarters — these endorsements can support the stock despite short-term pain. Algoma Steel Group Inc. (ASTL) Stock Falls on Q3 2026 Earnings
• Neutral Sentiment: The company said fourth-quarter results were in line with previously announced expectations, which may have tempered surprise reaction from investors compared with an unexpected miss. Algoma Steel Group Inc. Reports Financial Results
• Negative Sentiment: Algoma reported a sharply widened Q4 loss (C$364.7M) versus C$66.5M a year earlier, driven by tariff costs and transition-related items — a major near-term hit to earnings and equity. Algoma Steel Fourth-Quarter Loss Widens With Tariff Costs
• Negative Sentiment: EPS missed expectations badly: a reported quarterly loss per share of about $2.11 versus an estimate near $0.32 — this magnitude of miss typically pressures the share price and investor confidence. Algoma Steel Group Inc. (ASTL) Reports Q4 Loss, Lags Revenue Estimates
• Negative Sentiment: Prior-quarter operational losses and a sharp drop in cash balances raised balance-sheet concerns (large net losses, falling cash, and higher liabilities), which could keep volatility high until cash flow stabilizes. Algoma Steel Group Inc. (ASTL) Stock Falls on Q3 2026 Earnings
• Negative Sentiment: Zacks downgraded Algoma from “strong-buy” to “hold,” removing a bullish catalyst and potentially reducing near-term buy-side momentum. Zacks.com

Algoma Steel Group Company Profile

Algoma Steel Group Inc is a North American steel producer headquartered in Sault Ste. Marie, Ontario. The company operates a modern electric arc furnace (EAF) complex and an integrated rolling mill, enabling it to transform scrap and direct reduced iron into a wide range of steel products. Algoma Steel Group returned to public markets in 2021 with listings on both the Toronto Stock Exchange and the Nasdaq under the symbol ASTL.

Founded in 1901 as Algoma Steel Corporation, the company grew to become one of Canada’s leading steelmakers before undergoing restructuring in the early 2000s.