BlueScope Steel Expected to Benefit From Potential US Assets Divestment, Says Jefferies
MT Newswires Live
Apr 21
BlueScope Steel's (ASX:BSL) potential sale of US assets might unlock additional value above the existing bid from Seven Group Holdings and Steel Dynamics, based on sum-of-the-parts or break-up valuation, according to a Tuesday Jefferies note.
Jefferies has increased its forecast for the company's earnings before interest and tax for fiscal year 2027 by 15%.
The upgrade reflects higher expected steel spreads in Asia and the US during the first half of fiscal year 2027, the note added.
Jefferies kept a buy rating on Bluescope with a price target of AU$35.
The company's shares rose 2% in recent Tuesday trade.
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