Olympic Steel Inc. (ZEUS)
The company announced lower Q2:19 earnings, contrary to the stronger seasonality trend for the quarter. Following the results, we reduce our forecast to reflect weaker volume and acute margin pressure in the month of July. We decrease our target price to $12.50 per share (earlier $17. 00 ) and maintain our rating at Buy-Long-Term.
* Numbers may not add up due to rounding.
Q2:19 Highlights
- Q2:19 revenues were $429 million, down ~5% from Q2:18, impacted by a decline in shipping volumes (-10.5% YOY), partially offset by higher selling