Gerdau (NYSE:GGB) Stock Rating Upgraded by Scotiabank

Gerdau (NYSE:GGB) was upgraded by Scotiabank from a “hold” rating to a “strong-buy” rating in a research report issued on Thursday,Zacks.com reports.

A number of other analysts also recently issued reports on the company. Weiss Ratings reaffirmed a “hold (c)” rating on shares of Gerdau in a report on Monday, December 29th. UBS Group reiterated a “buy” rating and issued a $4.60 price objective (up from $4.00) on shares of Gerdau in a report on Monday, December 15th. One investment analyst has rated the stock with a Strong Buy rating, one has issued a Buy rating and three have assigned a Hold rating to the stock. Based on data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and a consensus target price of $4.60.

Gerdau Trading Down 1.6%

Shares of NYSE:GGB opened at $3.42 on Thursday. Gerdau has a 52 week low of $2.27 and a 52 week high of $4.66. The company’s 50 day moving average is $3.94 and its two-hundred day moving average is $3.65. The company has a market cap of $6.82 billion, a PE ratio of 28.46, a P/E/G ratio of 0.98 and a beta of 1.46. The company has a current ratio of 2.89, a quick ratio of 1.40 and a debt-to-equity ratio of 0.26.

Gerdau (NYSE:GGB) last released its quarterly earnings data on Tuesday, February 24th. The basic materials company reported $0.07 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.11 by ($0.04). The firm had revenue of $3.08 billion for the quarter, compared to analysts’ expectations of $3.12 billion. Gerdau had a return on equity of 6.20% and a net margin of 1.93%. Equities analysts predict that Gerdau will post 0.46 earnings per share for the current fiscal year.

Insider Activity at Gerdau

In related news, Chairman Guilherme Chagas G. Johannpeter sold 85,607 shares of Gerdau stock in a transaction on Friday, March 20th. The shares were sold at an average price of $3.29, for a total transaction of $281,647.03. The sale was disclosed in a document filed with the SEC, which can be accessed through this link. 0.02% of the stock is owned by company insiders.

Hedge Funds Weigh In On Gerdau

Several large investors have recently bought and sold shares of GGB. Bank of America Corp DE increased its position in shares of Gerdau by 162.6% during the second quarter. Bank of America Corp DE now owns 12,984,389 shares of the basic materials company’s stock worth $37,914,000 after purchasing an additional 8,039,814 shares in the last quarter. Donald Smith & CO. Inc. lifted its holdings in shares of Gerdau by 49.2% in the 4th quarter. Donald Smith & CO. Inc. now owns 24,211,588 shares of the basic materials company’s stock valued at $89,341,000 after purchasing an additional 7,982,296 shares during the last quarter. Causeway Capital Management LLC boosted its position in shares of Gerdau by 169.2% in the 3rd quarter. Causeway Capital Management LLC now owns 7,189,270 shares of the basic materials company’s stock valued at $22,287,000 after purchasing an additional 4,519,092 shares during the period. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC boosted its position in shares of Gerdau by 821.1% in the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 2,344,175 shares of the basic materials company’s stock valued at $6,657,000 after purchasing an additional 2,089,675 shares during the period. Finally, Jump Financial LLC purchased a new position in Gerdau during the 4th quarter worth approximately $7,400,000. Institutional investors and hedge funds own 1.49% of the company’s stock.

Gerdau Company Profile

Gerdau SA is a Brazilian-based steel producer engaged in the manufacture and distribution of long steel products for the construction, industrial and agricultural sectors. Established in 1901, the company operates an integrated network of electric-arc furnaces and rolling mills, producing reinforcement bars, wire rod, merchant bars and structural shapes. Gerdau’s product portfolio also includes specialty long steel, high-yield reinforcement, rail, beams and steel coils, as well as value-added processing services such as cutting, bending and coating.

The company has expanded its footprint beyond Brazil, with significant operations in North America, South America and a presence in select European markets.