Algoma Steel Group (NASDAQ:ASTL) Shares Gap Up – Should You Buy?

Algoma Steel Group Inc. (NASDAQ:ASTL)’s share price gapped up before the market opened on Friday . The stock had previously closed at $4.30, but opened at $4.67. Algoma Steel Group shares last traded at $4.7650, with a volume of 1,478,120 shares.

Wall Street Analyst Weigh In

Several equities research analysts have commented on the company. Weiss Ratings restated a “sell (d-)” rating on shares of Algoma Steel Group in a research report on Monday, December 29th. Zacks Research raised shares of Algoma Steel Group from a “hold” rating to a “strong-buy” rating in a report on Monday, January 12th. Finally, Jefferies Financial Group initiated coverage on shares of Algoma Steel Group in a report on Friday, January 2nd. They issued a “hold” rating for the company. One research analyst has rated the stock with a Strong Buy rating, four have issued a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat.com, Algoma Steel Group has an average rating of “Hold”.

Algoma Steel Group Stock Performance

The company has a current ratio of 2.29, a quick ratio of 0.76 and a debt-to-equity ratio of 0.72. The firm’s fifty day moving average is $4.37 and its 200 day moving average is $4.29. The company has a market cap of $506.10 million, a PE ratio of -1.01 and a beta of 1.56.

Institutional Investors Weigh In On Algoma Steel Group

Several large investors have recently bought and sold shares of the company. Scheer Rowlett & Associates Investment Management Ltd. boosted its position in Algoma Steel Group by 34.0% during the second quarter. Scheer Rowlett & Associates Investment Management Ltd. now owns 3,898,205 shares of the company’s stock worth $26,983,000 after acquiring an additional 989,633 shares during the last quarter. TD Asset Management Inc boosted its holdings in shares of Algoma Steel Group by 712.0% during the 2nd quarter. TD Asset Management Inc now owns 1,363,300 shares of the company’s stock worth $9,402,000 after purchasing an additional 1,195,416 shares during the last quarter. NewGen Asset Management Ltd grew its position in shares of Algoma Steel Group by 54.7% in the second quarter. NewGen Asset Management Ltd now owns 1,132,909 shares of the company’s stock valued at $7,806,000 after purchasing an additional 400,409 shares in the last quarter. Amitell Capital Pte Ltd purchased a new stake in shares of Algoma Steel Group in the second quarter valued at approximately $7,441,000. Finally, Aegis Financial Corp increased its holdings in shares of Algoma Steel Group by 22.3% in the second quarter. Aegis Financial Corp now owns 1,786,122 shares of the company’s stock valued at $12,306,000 after purchasing an additional 326,219 shares during the last quarter. 72.00% of the stock is currently owned by hedge funds and other institutional investors.

About Algoma Steel Group

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.