TimkenSteel stock soars to pace NYSE gainers after KeyBanc analyst says it's time to buy
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Update time : 2021-02-24 19:43:44
Shares of TimkenSteel Corp. TMST, +26.83% shot up 32.5% on very heavy volume in afternoon trading Tuesday, enough to pace all of the NYSE's gainers, after KeyBanc Capital analyst Philip Gibbs said it's time to buy the steel maker's stock as the macro recovery is unfolding. Trading volume spiked up to 36.8 million shares, compared with the full-day average of about 372,200 shares. The rally put the stock on track to close at the highest level since May 2019. Gibbs raised his rating to overweight, after being at sector weight since July 2018, and set a $10 target for the stock, which is 19.8% above current levels. Gibbs said his new bullish view "post due diligence" reflects the macroeconomic recovery, better contract and spot pricing and widening raw material spreads, as well as "self-help," which includes cost cuts. The latest available data showed that short interest was 9.72% of the public float. The stock has soared 74.6% over the past three months, while the SPDR Materials Select Sector ETF XLB, +0.35% has tacked on 6.7% and the S&P 500 SPX, +0.13% has gained 8.0%.
