Ternium (NYSE:TX) Cut to Buy at Wall Street Zen

Wall Street Zen downgraded shares of Ternium (NYSE:TX) from a strong-buy rating to a buy rating in a report issued on Saturday,Wall Street Zen reports.

A number of other brokerages have also issued reports on TX. UBS Group raised their price target on Ternium from $56.00 to $59.00 and gave the stock a “neutral” rating in a research note on Thursday, August 27th. HSBC cut Ternium from a “buy” rating to a “hold” rating and boosted their price objective for the company from $53.00 to $55.00 in a report on Friday, August 21st. Zacks Research downgraded Ternium from a “strong-buy” rating to a “hold” rating in a research report on Tuesday, October 13th. JPMorgan Chase & Co. increased their target price on Ternium from $60.50 to $67.50 and gave the stock an “overweight” rating in a research note on Friday, September 4th. Finally, Weiss Ratings upgraded Ternium from a “buy (b-)” rating to a “buy (b)” rating in a research note on Thursday, September 10th. Six equities research analysts have rated the stock with a Buy rating and five have issued a Hold rating to the company’s stock. According to MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and a consensus target price of $57.17.

Ternium Stock Performance

Ternium stock opened at $51.23 on Friday. The company has a debt-to-equity ratio of 0.15, a current ratio of 2.55 and a quick ratio of 1.43. The firm has a market capitalization of $10.27 billion, a P/E ratio of 10.50, a price-to-earnings-growth ratio of 0.14 and a beta of 1.17. Ternium has a 1-year low of $35.12 and a 1-year high of $60.21. The company’s 50-day moving average is $55.84 and its 200 day moving average is $47.85.

Ternium (NYSE:TX) last announced its earnings results on Tuesday, November 3rd. The basic materials company reported $1.42 earnings per share (EPS) for the quarter, missing the consensus estimate of $1.79 by ($0.37). The business had revenue of $4.64 billion for the quarter, compared to analysts’ expectations of $4.65 billion. Ternium had a net margin of 5.74% and a return on equity of 5.77%. The firm’s quarterly revenue was up 17.4% on a year-over-year basis. During the same quarter last year, the firm earned $0.10 EPS. Research analysts forecast that Ternium will post 6.41 EPS for the current year.

Ternium Announces Dividend

The business also recently announced a dividend, which will be paid on Friday, November 20th. Shareholders of record on Monday, November 16th will be paid a $0.90 dividend. This represents a yield of 349.0%. The ex-dividend date is Monday, November 16th. Ternium’s dividend payout ratio is currently 53.28%.

Hedge Funds Weigh In On Ternium

A number of institutional investors have recently modified their holdings of TX. Donald Smith & CO. Inc. purchased a new position in Ternium during the 2nd quarter worth $134,131,000. Engineers Gate Manager LP raised its position in Ternium by 496.8% during the 2nd quarter. Engineers Gate Manager LP now owns 56,337 shares of the basic materials company’s stock valued at $2,406,000 after purchasing an additional 46,897 shares in the last quarter. Wellington Management Group LLP bought a new stake in Ternium during the 2nd quarter valued at $5,704,000. Militia Capital Management LLC bought a new stake in Ternium during the 1st quarter valued at $1,486,000. Finally, Nykredit A S purchased a new stake in shares of Ternium in the 2nd quarter worth $10,564,000. 11.98% of the stock is owned by hedge funds and other institutional investors.

Ternium Company Profile

Ternium is a steel producer serving customers across the Americas. Its operations span the steelmaking process, from iron ore extraction and processing to the manufacture and distribution of steel products.

The company produces flat and long steel products, including slabs, hot- and cold-rolled steel, coated steel, tinplate, and bars. These materials are used in industries such as construction, automotive manufacturing, appliances, energy, and packaging.

Ternium’s roots include steel businesses in Argentina and Mexico, and it was established in 2005.