CHICAGO, Nov. 10, 2011 /PRNewswire/ -- Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include AK Steel Holding Corporation (NYSE: AKS), Nucor Corporation (NYSE: NUE), U.S. Steel Corp. (NYSE: X), Steel Dynamics Inc. (Nasdaq: STLD) and The Dow Chemical Company (NYSE: DOW).

(Logo:  http://photos.prnewswire.com/prnh/20101027/ZIRLOGO)

Get the most recent insight from Zacks Equity Research with the free Profit from the Pros newsletter: http://at.zacks.com/?id=5513

Here are highlights from Wednesday's Analyst Blog:

AK Steel Raises Product Prices

Effective immediately, AK Steel Holding Corporation (NYSE: AKS) will increase the current spot market base prices by $50 per ton for all carbon flat-rolled steel products. 

Recently, AK Steel posted its third-quarter 2011 results, delivering net loss of $3.5 million or $0.03 cents compared with net loss of $59.2 million or $0.54 cents during the year-ago quarter. However, results were below the Zacks Consensus Estimate of $0.00 cents per share.

Third-quarter 2011 results include after-tax expenses of approximately $6.2 million, or $0.05 per diluted share, for costs related to the previously reported incident involving an electric steelmaking furnace at the Butler Works, which was damaged on July 1, 2011.

Net sales, as reported by the company, were $1,585.8 million on the shipments of 1,368,800 tons versus $1,575.9 million and 1,465,800 tons in the prior-year quarter. Net sales also missed the Zacks Consensus Estimate of $1,662 million. Average selling price for the third quarter of 2011 was $1,158 per ton, up 8% year over year, but down 2% sequentially.

Cash and cash equivalents reduced to $58.7 million as of September 30, 2011 versus $216.8 million as of December 31, 2010. Long-term debt of the company decreased marginally to $650.2 million as of September 30, 2011 versus $650.6 million as of December 31, 2010.

The debt-to-capitalization ratio stood at 50.8% as of September 2011 versus 50.2% as of June 30, 2010 and 50.2% as of December 31, 2010.

As of September 30, 2011, cash from operating activities was $355.4 million compared with $176.5 million as of September 30, 2010.

Due to continued uncertainty and volatility with respect to economic conditions in the U.S. and in other markets served by the company, AK Steel is not currently providing any outlook for the company's fourth-quarter results.  However, the company stated that it intends to provide fourth-quarter guidance later during the quarter.

AK Steel is uniquely positioned to focus on products with high margins. Electrical steel continues to be the company's strongest product line, with demand recovering in the U.S. and abroad, though at a slower rate. AK Steel is operating its plants at above 80% capacity and is well positioned to serve the end markets when the demand rebounds.

However, higher input costs, particularly iron ore, is eroding margins of the company. Iron ore pricing concerns have led to a negative outlook for steel manufacturers. A K Steel currently retains a Zacks #3 Rank (short-term Hold rating).

The company competes with Nucor Corporation (NYSE: NUE), U.S. Steel Corp. (NYSE: X) and Steel Dynamics Inc. (Nasdaq: STLD).

DOW, Mitsui Complete Joint Venture

The largest U.S. chemicals manufacturer, The Dow Chemical Company (NYSE: DOW) and Mitsui & Co., Ltd., of Japan, completed their previously announced 50:50 joint venture in Brazil after securing all necessary governmental and regulatory approvals. The makes Mitsui a 50% equity partner in Dow's operation in Santa Vitoria, Minas Gerais, Brazil.

The initial scope of the joint venture includes production of sugar cane-derived ethanol for use as a renewable feedstock source, bringing new, biomass-based feedstocks to Dow while diversifying the raw material streams from traditional fossil fuels.

The close of this transaction follows Dow's July 19 announcement of plans to form the new joint venture and of the execution of a Memorandum of Understanding (MoU) with Mitsui aimed at providing innovative and sustainable product solutions for global flexible packaging, hygiene and medical applications.

This represents the world's largest biopolymers play and Dow's largest investment in Brazil, a country in which Dow has operated successfully for more than 50 years.

Engineering and equipment fabrication for a new sugarcane-to-ethanol production facility in Santa Vitoria accelerated in the third quarter of 2011 and is proceeding according to schedule, with operations expected to commence in the second quarter of 2013.

Mitsui expects the joint venture to further enhance the development of important opportunities in securing sugar cane based resources for Mitsui's green chemical business.

Furthermore, Mitsui envisages developing a biomass-derived chemicals and biopolymers business through alliances with potential partners such as Dow with advanced technologies to utilize sugar cane based resources to create further value.

This investment also illustrates Dow's commitment to investing for growth in high-value, innovation-rich sectors through strategic partnerships. The project aligns with Dow's goal of developing low carbon solutions to meet the world's pressing energy and climate change challenges.

Want more from Zacks Equity Research? Subscribe to the free Profit from the Pros newsletter: http://at.zacks.com/?id=5515.

About Zacks Equity Research

Zacks Equity Research provides the best of quantitative and qualitative analysis to help investors know what stocks to buy and which to sell for the long-term.

Continuous coverage is provided for a universe of 1,150 publicly traded stocks. Our analysts are organized by industry which gives them keen insights to developments that affect company profits and stock performance. Recommendations and target prices are six-month time horizons.

Zacks "Profit from the Pros" e-mail newsletter provides highlights of the latest analysis from Zacks Equity Research. Subscribe to this free newsletter today: http://at.zacks.com/?id=5517

About Zacks

Zacks.com is a property of Zacks Investment Research, Inc., which was formed in 1978 by Leon Zacks. As a PhD from MIT Len knew he could find patterns in stock market data that would lead to superior investment results. Amongst his many accomplishments was the formation of his proprietary stock picking system; the Zacks Rank, which continues to outperform the market by nearly a 3 to 1 margin. The best way to unlock the profitable stock recommendations and market insights of Zacks Investment Research is through our free daily email newsletter; Profit from the Pros. In short, it's your steady flow of Profitable ideas GUARANTEED to be worth your time! Register for your free subscription to Profit from the Pros at http://at.zacks.com/?id=5518.

Visit http://www.zacks.com/performance for information about the performance numbers displayed in this press release.

Follow us on Twitter: http://twitter.com/zacksresearch

Join us on Facebook: http://www.facebook.com/home.php#/pages/Zacks-Investment-Research/57553657748?ref=ts

Disclaimer: Past performance does not guarantee future results. Investors should always research companies and securities before making any investments. Nothing herein should be construed as an offer or solicitation to buy or sell any security.

Media Contact
Zacks Investment Research
800-767-3771 ext. 9339
support@zacks.com
http://www.zacks.com

SOURCE Zacks Investment Research, Inc.

Back to top

RELATED LINKS
http://www.zacks.com