BlueScope Steel (BSL) Stock Recommendation

BlueScope Steel (BSL) has a Reduce 2 stock recommendation with a price target of $6.20 from investment banker and stock analyst UBS. UBS values the steelmaker at $7.66 based on DCF and their share price target is based on 15 percent premium to global peers' FY07 EV/EBITDA. UBS is maintaining their Reduce 2 stock recommendation rating for BSL because they continue to believe that the steel pricing environment is set to weaken beyond wider expectations, driven initially by destocking in the US which we believe may continue into 2007, this is likely to have a negative impact on US pricing, pushing out imports, subsequently creating supply concerns in other regions.

BlueScope Steel Limited is listed on the Australian Stock Exchange (ASX) under stock code BSL. You can view their investor website here. Find out the meaning of the recommendations in this primer. Browse for other stockbroker recommendations. A previous BlueScope Steel Share recommendation. Check your charts and good luck with your share trading!