S&P 500 (NYSE:SPY) component AK Steel Holding Corp (NYSE:AKS) will unveil its latest earnings on Tuesday, July 26, 2011. AK Steel Holding Corporation is a holding company of AK Steel Corporation. The steelmaker’s main products include flat-rolled carbon, stainless and electrical steels, and aluminum-coated stainless steel. The company has seven plants in Indiana, Kentucky, Ohio and Pennsylvania. Inside United States Steel Corp’s Upcoming Second Quarter Earnings Release>>
AK Steel Holding Corp Earnings Preview Cheat Sheet
Wall St. Earnings Expectations: The average estimate of analysts is for profit of 50 cents per share, a rise of 47.1% from the company’s actual earnings for the same quarter a year ago. During the past three months, the average estimate has moved up from 41 cents. Between one and three months ago, the average estimate moved up, but has dropped from 51 cents during the last month. For the year, analysts are projecting net income of $1.21 per share, a swing from a loss of 54 cents last year.
Past Earnings Performance: The company has beaten estimates the last two quarters and is coming off a quarter where it topped the forecasts by 9 cents, reporting profit of 8 cents per share against a mean estimate of net loss of one cent. In the fourth quarter of the last fiscal year, the company exceeded forecasts by 14 cents with a loss of 49 cents versus a mean estimate of net loss of 63 cents.
Wall St. Revenue Expectations: On average, analysts predict $1.81 billion in revenue this quarter, a rise of 13.1% from the year ago quarter. Analysts are forecasting total revenue of $6.83 billion for the year, a rise of 14.4% from last year’s revenue of $5.97 billion.
Analyst Ratings: Analysts are bullish on AK Steel as six analysts rate it as a buy, two rate it as a sell and four rate it as a hold.
Revenue has risen the past four quarters. Revenue increased 12.5% to $1.58 billion in first quarter. The figure rose 5.4% in the fourth quarter of the last fiscal year from the year earlier, climbed 51.4% in the third quarter of the last fiscal year from the year-ago quarter and more than twofold in the second quarter of the last fiscal year.
AK Steel’s profit in the latest quarter follows losses in the previous two quarters. The company reported a profit of $8.7 million in the first quarter, a loss of $98.3 million in the fourth quarter of the last fiscal year and a loss of $59.2 million in the third quarter of the last fiscal year.
Competitors to Watch: Steel Dynamics, Inc. (NASDAQ:STLD), United States Steel Corp. (NYSE:X), Nucor Corporation (NYSE:NUE), Ternium S.A. (NYSE:TX), Commercial Metals Company (NYSE:CMC), Universal Stainless & Alloy Products (NASDAQ:USAP), Allegheny Tech. Inc. (NYSE:ATI), Ampco-Pittsburgh Corp. (NYSE:AP), ArcelorMittal (NYSE:MT), and Schnitzer Steel Industries, Inc. (NASDAQ:SCHN).
Stock Price Performance: During May 23, 2011 to July 20, 2011, the stock price had risen $1.43 (10.2%) from $14.08 to $15.51. The stock price saw one of its best stretches over the last year between October 28, 2010 and November 8, 2010 when shares rose for eight-straight days, rising 13.7% (+$1.67) over that span. It saw one of its worst periods between August 18, 2010 and August 26, 2010 when shares fell for seven-straight days, falling 14.8% (-$2.08) over that span. Shares are down 75 cents (-4.6%) year to date.
(Source: Xignite Financials)
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