Investors Buy Large Volume of Algoma Steel Group Call Options (NASDAQ:ASTL)

Algoma Steel Group Inc. (NASDAQ:ASTL) was the target of unusually large options trading on Tuesday. Investors purchased 20,493 call options on the stock. This represents an increase of approximately 616% compared to the typical daily volume of 2,861 call options.

Algoma Steel Group Stock Down 2.9%

Shares of NASDAQ:ASTL opened at $6.69 on Thursday. Algoma Steel Group has a 52-week low of $4.17 and a 52-week high of $12.14. The firm has a market capitalization of $701.98 million, a P/E ratio of -4.34 and a beta of 1.56. The stock has a 50 day moving average price of $5.69 and a 200-day moving average price of $6.92. The company has a debt-to-equity ratio of 0.42, a quick ratio of 1.47 and a current ratio of 3.10.

Algoma Steel Group (NASDAQ:ASTL) last issued its earnings results on Tuesday, April 29th. The company reported ($0.33) EPS for the quarter, beating the consensus estimate of ($0.69) by $0.36. The business had revenue of $359.30 million for the quarter, compared to the consensus estimate of $327.56 million. Algoma Steel Group had a negative return on equity of 12.98% and a negative net margin of 8.15%. As a group, equities research analysts anticipate that Algoma Steel Group will post -0.63 EPS for the current fiscal year.

Algoma Steel Group Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Friday, May 30th. Stockholders of record on Tuesday, May 13th were issued a $0.05 dividend. The ex-dividend date of this dividend was Tuesday, May 13th. This represents a $0.20 dividend on an annualized basis and a dividend yield of 2.99%. Algoma Steel Group’s dividend payout ratio (DPR) is presently -12.99%.

Analysts Set New Price Targets

Several brokerages have recently commented on ASTL. Royal Bank Of Canada raised Algoma Steel Group to a “hold” rating in a research note on Tuesday, April 22nd. Stifel Canada lowered Algoma Steel Group from a “strong-buy” rating to a “hold” rating in a research note on Thursday, April 17th. Finally, BMO Capital Markets lowered Algoma Steel Group from a “strong-buy” rating to a “hold” rating in a research note on Monday, June 2nd.

Institutional Trading of Algoma Steel Group

A number of large investors have recently made changes to their positions in the business. Donald Smith & CO. Inc. boosted its position in Algoma Steel Group by 0.3% in the 1st quarter. Donald Smith & CO. Inc. now owns 8,088,120 shares of the company’s stock valued at $43,838,000 after buying an additional 20,517 shares during the period. MMCAP International Inc. SPC lifted its position in shares of Algoma Steel Group by 0.3% in the 1st quarter. MMCAP International Inc. SPC now owns 6,641,417 shares of the company’s stock worth $35,996,000 after purchasing an additional 21,414 shares during the period. Woodline Partners LP lifted its position in Algoma Steel Group by 59.2% during the fourth quarter. Woodline Partners LP now owns 2,844,439 shares of the company’s stock valued at $27,819,000 after acquiring an additional 1,057,517 shares during the last quarter. Scheer Rowlett & Associates Investment Management Ltd. lifted its position in Algoma Steel Group by 1.0% during the fourth quarter. Scheer Rowlett & Associates Investment Management Ltd. now owns 2,179,362 shares of the company’s stock valued at $21,320,000 after acquiring an additional 22,049 shares during the last quarter. Finally, Intact Investment Management Inc. increased its stake in Algoma Steel Group by 24.6% during the 1st quarter. Intact Investment Management Inc. now owns 1,463,761 shares of the company’s stock valued at $7,945,000 after purchasing an additional 288,861 shares in the last quarter. 72.00% of the stock is currently owned by institutional investors.

Algoma Steel Group Company Profile

Algoma Steel Group Inc produces and sells steel products primarily in North America. The company provides flat/sheet steel products, including temper rolling, cold rolled, hot-rolled pickled and oiled products, floor plate, and cut-to-length products for the automotive industry, hollow structural product manufacturers, and the light manufacturing and transportation industries; and plate steel products that consist of rolled, hot-rolled, and heat-treated for use in the construction or manufacture of railcars, buildings, bridges, off-highway equipment, storage tanks, ships, and military applications.