Angan Steel

Angang Steel (347, $24.05) 6M Target $33.0 Trading BUY

Even though steel industry in China is facing inflating cost pressure, we believe Angang is the best defender among its peers, as 1) 70% of its iron ore are provided by its parent Angang Holdings that are priced based on the average market price in the preceding half-year, thus create a 6-month lag; 2) Company focuses on producing high quality and high value-added specialized steel and thus is able to charge its products at premium prices; 3) Technological advancement enables it to produce in a more efficient way against its peers.

Company enjoys a relatively high gross profit margin in 1-3Q07 when compared to its peers (Angang- 27%, Baosteel- 15%, Chongqing Iron & Steel-11%, Maanshan Iron & Steel- 10%).

Company currently has an annual production capacity of 15mn tonne, and with the completion of Bayuquan project next year, the capacity is expected to increase by another 5mn tonne in 2009. The new products from Bayuquan project are heavy plates which will mainly be used for shipbuilding and automobile manufacturing.

Share price has dropped 14.5% after the company announced an 18% yoy drop in third quarter earnings on October 31, and was retreated by more than 38% since reaching new high in mid-October. 9-day RSI stands at 28. We believe the stock is set to be oversold and thus provide a good buying opportunity.

The counter is trading at PER of 15x in 2007 and 13x in 2008, with a two-year EPS CAGR of 22% between 2006-2008 that we think is undemanding.

We maintain our BUY recommendation with a 6-month target price at $33.0, representing a 21.5x and 18x 2007 and 2008 PERs.  

Angang Steel (00347) The share price fell sharply from its recent high of $39, losing almost half of its value. In fact, demand for steel in China is still very strong. We expect fourth quarter profit to rise again. Buy $20.50 Target $30.00 , Cut loss $12.00

HK Angang -0,1 = - 0,488%  =20,4h$  

Angang Steel (347, $21.8) announced that starting from next year, the iron concentrates it purchases from its parent company Angang Holding will be priced based on the average import price of the preceding half-year with a 5% discount, instead of a 10% discount previously.

We therefore revise our 2008 EPS forecast downwards to RMB1.63 to reflect the change. As we believe steel price will go up in 2008 in order to pass-on part of the surging costs to the customers and Angang is still having a comparative advantage on cost when compared to its peers,

we maintain our BUY rating, but revise our target price to $30.0 representing 18x 2008 PER and 15x 2009 PER.  

Angang Steel (347, $22.5) 6M Target $30.0 Trading BUY

As expected, company has adjusted the price of some of its steel products upward for January 2008. We continue to believe company’s focus on producing high value-added specialized steel products (92% of company’s production in 1H07) and its high self-sufficiency ratio of iron ore can help the company to sustain its high gross margin.

Bayuquan project is expected to boost company’s 2008 production volume by 20% in 2008 and another 11% in 2009. New products from the project are mainly used for shipbuilding, heavy machinery and energy sectors, which are still on their up-cycle.

Exports of China steel products dropped to 4.1mn tonne in November, the lowest level since September 2006. Meanwhile, yoy growth of steel products output also slowed from 17% in October to 12.7% in November. This shows the austerity measures that the Government took to curb exports and slow down industry’s capacity expansion is gradually taking effect, which will be beneficial to large scale steelmakers such as Angang.

Share price has been down 43% from record high of $39.3. Counter is trading at 13 x 2008 PER and 11x 2009 PER that we think is undemanding given its three-year EPS CAGR of 18% between 2006-2009.

Maintain BUY with a 6-month target price of $30.0, representing 17x and 14x 2008 and 2009 PE  

Angang Steel (347, $21.0) 6M Target $30.0 Trading BUY

China has announced a new set of export tariffs on some steel products, effective from January 1. The new export tariffs only affects semi-finished and low-end steel products, thus has little impact on Angang who is focused on producing high value-added specialized steel products. Meanwhile, we believe that there will be no further austerity measures to curb steel exports in near term.

Company has adjusted the price of some of its steel products upward for January 2008. We continue to believe company’s focus on producing high value-added specialized steel products (around 92% of company’s production) and its iron ore cost advantage can help the company to sustain its high gross margin.

Bayuquan project is expected to boost company’s 2008 production volume by 20% in 2008 and another 11% in 2009. New products from the project are mainly used for shipbuilding, railway, heavy machinery and energy sectors, which are still on their up-cycle.

Share price has been down 46% from record high of $39.3. Counter is trading at 12 x 2008 PER and 10x 2009 PER that we think is undemanding given its three-year EPS CAGR of 18% between 2006-2009.

Maintain BUY with a 6-month target price of $30.0, representing 17x and 14x 2008 and 2009 PERs  

Angang  6M Target $30.0 Trading BUY

China has announced a new set of export tariffs on some steel products, effective from January 1. The new export tariffs only affects semi-finished and low-end steel products, thus has little impact on Angang who is focused on producing high value-added specialized steel products. Meanwhile, we believe that there will be no further austerity measures to curb steel exports in near term.

Company has adjusted the selling price of some of its steel products upward for February 2008. We continue to believe company’s focus on producing high value-added specialized steel products (around 92% of company’s production) and its iron ore cost advantage can help the company to sustain its high gross margin.

Bayuquan project is expected to boost company’s 2008 production volume by 20% in 2008 and another 11% in 2009. New products from the project are mainly used for shipbuilding, railway, heavy machinery and energy sectors, which are still on their up-cycle.

Share price has been retreated by more than 15% year-to-date while HSCEI has only dropped 10% within the same period. Counter is trading at 11 x 2008 PER and 9x 2009 PER that we think is undemanding given its three-year EPS CAGR of 18% between 2006-2009.

Maintain BUY with a 6-month target price of $30.0, representing 17x and 14x 2008 and 2009 PERs.  

Mainland banks also drew renewed interest on hopes of strong 2007 earnings, while Angang Steel surged over 4.3 pct -- adding to yesterday's 5.8 pct gain -- after China's top steelmaker Baosteel raised its product prices.  

Angang Steel (0347) Steel prices rose 14% this year. The rise takes into account fully the effect of the 65% increase in iron ore. Demand for steel is rising. Angang share price will rise. Buy $19.90 Target $25.00 Cut loss $18.00

347 ANGANG STEEL 21.2 1.22 6.11 727,575 34,655  

Angang Steel (347, $18.94) 6M Target $21.0 BUY

Event: Merging between Anshan Iron & Steel Group and Benxi Iron & Steel Group may materialize soon.

Management of Benxi Iron & Steel Group mentioned yesterday that he expects the proposal for merger between the company and Anshan Iron & Steel Group will surface after the CPPCC and NPC, and real progress will be made within the year.

The two companies established Anben Steel Group in August 2005. Ever since then, the market has been speculating on the potential merger between the two major iron and steel companies in the Liaoning Province. After the merging at the parent level, we expect the consolidation between Angang Steel and Shenzhen-listed Bengang will follow via a share-swap.

Bengang is a high-end flat steel manufacturer with an annual production capacity of 9mn tonnes. Similar to Angang Steel, Bengang purchased around 70% of its iron ore needs from its parent Bengang Group. After the merging, Anben Steel Group will have a consolidated annual capacity of 30mn tonnes, catching up with Baosteel.

We believe the merging will be beneficial to both companies as it will bring synergy to the combined entity in terms of production efficiency, sourcing raw materials and also give the group a stronger pricing power.

Meanwhile, China Iron & Steel Association forecasts that output of China steel products will be up by 7%-12.4% this year, down from last year’s 22.7% growth, mainly due to surging raw material costs and power shortage. Meanwhile, demand of steel products remains strong, probably driven by booming economy of the emerging markets such as India and Vietnam. We believe these factors will provide strong support to global steel price.

Reiterate our BUY rating on Angang Steel with a 6-month target price of $21.0  

Angang Steel 2007 Revenue CNY65.50 Bln Vs CNY54.33 Bln  

 

 

Angang Steel (0347.HK) +3.7% at HK$8.02, has now nearly tripled from 52-week low of HK$2.73 hit Oct. 28  

 

00347.HK   ANGANG STEEL   8.280   +0.730   +9.669%

zu 14. doch  

 

Barcleys hebt Kursziel von Angang Steel von 0,74€ auf 0,86€.

Barclays Research lifted its target price for Angang

Steel (00347) to HK$7.5 from HK$6.5, and maintained its "overweight" rating.

The research house said Angang's 12% q/q decline in EBITDA/t (ex-SG&A) in 1Q was in line

with its expectations and more importantly the decline was significantly lower than that

reported by Maanshan ()0323).

Product prices for Angang's exposure (i.e. flat steel and plates) have been stabilising

since April 2015 and have registered a mild uptick towards end of the month. This is

likely to be supported by lower raw material costs, which Barclays believes will see the

tailwinds of Angang's T-2 supply contract with its parent company for iron ore.

The medium-term outlook for Anagang's profitability on a relative basis is strong with

its better positioned product mix, the research house said. It thinks valuation at a P/B

of 0.8x for 2015 remains attractive compared with Maanshan's P/B at 0.8x given relatively

better ROE profile for Angang. (KL)

Quelle: http://www.htisec.com/en/research/...sType=ETNET&newsid=250504140

 

Hier ne interessante Meldung aus dem Wallstreet-Online-Forum, die ich mal übernommen habe.

Thyssenkrupp investiert weiter in China - Joint Venture mit Angang Steel

Quelle: Reuters
http://in.reuters.com/article/2015/05/12/...ina-idINL5N0Y316T20150512

ThyssenKrupp expands steel investment in China

May 12 German industrial group ThyssenKrupp said it had agreed to buy a stake in a Chinese sheet steel company to strengthen its position with carmakers in southwestern China.

ThyssenKrupp said on Tuesday it was acquiring a 12.5 percent direct and a 37.5 percent indirect stake in a unit of China's Angang group which is building a hot-dip coating plant in Chongqing.

It already has a joint venture, Tagal, with Chinese steel producer Angang Steel, which is part of ThyssenKrupp's Steel Europe division.

"This agreement will enable ThyssenKrupp to further strengthen its position as an important supplier to the fast-growing Chinese auto industry, in particular in the premium segment," the company said in a statement.

It gave no financial details of the transaction.

ThyssenKrupp said it averaged growth of around 9 percent in China and increased its sales there to 2.5 billion euros ($2.8 billion) in its 2013/14 fiscal year to end September.

ThyssenKrupp's Steel Europe division accounted for 42 percent of the group's 1.26 billion euros in capital expenditure last fiscal year.

Grobe Übersetzung per Google Übersetzer:

Thyssenkrupp baut Stahl Investitionen in China

12. Mai deutschen Industriekonzern Thyssenkrupp sagte, es vereinbart hatten, eine Beteiligung zu kaufen in einem chinesischen Stahlblech Unternehmen seine Position mit Automobilherstellern im Südwesten von China zu stärken.

Thyssenkrupp sagte am Dienstag, es war eine 12,5 Prozent direkt und mit 37,5 Prozent indirekte Beteiligung an einer Einheit der chinesischen Angang-Gruppe, die den Aufbau einer Feuerbeschichtungsanlage in Chongqing zu erwerben.

Es hat bereits ein Joint Venture, Tagal, mit chinesischen Stahlhersteller Angang Steel, die Teil der Thyssenkrupp Steel Europe Division ist.

"Diese Vereinbarung ermöglicht es Thyssenkrupp seine Position als wichtiger Lieferant für die schnell wachsende chinesische Automobilindustrie weiter zu stärken, insbesondere im Premium-Segment", sagte das Unternehmen in einer Erklärung.

Es gab keine finanziellen Details der Transaktion.

Thyssenkrupp sagte, dass es im Durchschnitt ein Wachstum von rund 9 Prozent in China und steigerte den Umsatz dort auf 2,5 Milliarden Euro (2,8 Mrd. USD) in seinem Geschäftsjahr 2013/14 bis Ende September.

Steel Europe Division von Thyssenkrupp einen Anteil von 42 Prozent der Gruppe 1260000000 € der Investitionen im vergangenen Geschäftsjahr.

Thyssenkrupp nach der Prognose-schlagen Resultate des Zweiten Quartals früher erhöht das Gesamtjahr Gewinnaussichten. ($ 1 = 0,8939 €) (Bericht durch Georgina Prodhan; Schnitt Kirsti Knolle

 

Hier nochmal ein deutscher Artikel dazu:

ThyssenKrupp baut Aktivitäten im Wachstumsmarkt China aus

Essen: ThyssenKrupp erweitert erneut sein Engagement im Wachstumsmarkt

China: ThyssenKrupp Steel Europe stärkt mit einer neuen Vereinbarung ihre Marktposition bei hochwertigen feuerbeschichteten Blechen für die dortige Automobilindustrie. Das Unternehmen ist bereits über ein Gemeinschaftsunternehmen mit dem chinesischen Stahlhersteller Angang Steel, TKAS Auto Steel Co. (Tagal), in China aktiv. Zusätzlich beteiligt sich ThyssenKrupp Steel Europe nun an einem Unternehmen der Angang-Gruppe, das derzeit eine Feuerbeschichtungsanlage im südwestchinesischen Chongqing baut. ThyssenKrupp Steel Europe übernimmt an diesem Unternehmen einen direkten Anteil in Höhe von 12,5 Prozent und einen indirekten Anteil über Tagal in Höhe von 37,5 Prozent.

"Aufgrund der aktuellen positiven Lage auf dem chinesischen Absatzmarkt für feuerbeschichtete Stahlbleche im Automobilbereich und der Wachstumsaussichtenin diesem Segment sehen wir hier deutliche Potenziale und wollen daher die Position von Tagal auf diesem Markt weiter ausbauen", betont Dr. Heribert Fischer, Vorstand Vertrieb und Innovation bei ThyssenKrupp Steel Europe. Die Unterzeichnung der Verträge ist erfolgt, das Closing wird in den nächsten Monaten erwartet.

Durch diese Vereinbarung baut ThyssenKrupp seine Position als wichtiger Zulieferer der stark wachsenden Autoindustrie in China insbesondere im Premium-Segment weiter aus. Neben hochwertigen Stahlblechen beliefert ThyssenKrupp die Autohersteller in China auch zunehmend mit modernen Komponenten für Chassis und Antriebstechnik und treibt so seinen Wachstumskurs konsequent weiter voran. Weitere Technologien, mit denen ThyssenKrupp in China stark wächst und führende Marktpositionen besetzt, sind Großwälzlager für die Windenergie-Industrie sowie Aufzüge und Fahrtreppen für Gebäude und Infrastruktureinrichtungen. In China erwirtschaftet der Konzern ein durchschnittliches Wachstum von rund neun Prozent und steigerte dabei im Geschäftsjahr 2013/14 den Umsatz auf 2,5 Milliarden Euro.

Tagal wurde 2002 als ein 50/50 Joint-Venture mit Angang Steel im nordostchinesischen Dalian gegründet. Das Gemeinschaftsunternehmen betreibt zwei Feuerbeschichtungslinien und beschäftigt derzeit rund 320 Mitarbeiter. Das Produktportfolio umfasst hochwertige feuerverzinkte Feinbleche für die Automobilindustrie mit Schwerpunkt Außenkarosserie.
Tagal beliefert im Wesentlichen alle namhaften Pkw-Produzenten in China mit einem großen Anteil an europäischen Automobilherstellern und hat sich damit eine gute Wettbewerbsposition als lokaler Zulieferer von Premium-Flachstahl erarbeitet.

Tagal verfügt im Nordosten Chinas bereits über eine gute Marktposition. Um auch in anderen Regionen stärker vertreten zu sein, ist für die neue Anlage der Standort Chongqing im Südwesten in unmittelbarer Nähe zu den dort angesiedelten Automobilherstellern ausgewählt worden. Auf dieser Feuerbeschichtungslinie, die im Laufe des Jahres die Produktion aufnehmen soll, werden u. a. höherfeste Stahlsorten, Dualphasenstähle sowie feueraluminierte Warmumformgüten hergestellt.

Quelle: http://www.nordic-market.de/news/20962/...achstumsmarkt_china_aus.htm

http://www.welt.de/print/die_welt/wirtschaft/...oeherer-Prognose.html

 

Dem Stahlmarkt wird ein Wachstum von 2,16% bis 2020 vorausgesagt.

In Asien könnte das Wachstum noch deutlich kräftiger sein.

"The growth of the steel processing market accelerates due to huge demand for processed steel from emerging economies to infrastructural development and increasing industrialization"

Der komplette Bericht:

http://www.pressreleaserocket.net/steel-processing-market-growing-at-2-16-cagr-to-2020-new-research-available-at-rnrmarketresearch-com/210629/

 

In dem Bericht wird unter anderem Angang Steel aufgezählt.

 

Ansteel announced that it plans to build a steelmaking plant in Indonesia. The company will build a steelmaking plant with an annual output capacity of 5 million tons in Morowwali, Sulawesi Tengah

 

Quelle: http://www.bloomberg.com/news/articles/2016-07-08/...ay-nearly-double

Nach dem schwierigen letzten Jahr in dem Angang wegen des Überangebotes und des dadurch herrschenden Preiskampfes in der Stahlbranche schwer zu kämpfen hatte, kündigt Angang Steel in einem Forecast nun eine Gewinnsteigerung um 94% im Vergleich zur Vorjahresperiode an.

Diese Gewinnsteigerung ist laut Bericht durch gestiegende Margen in der gesamten Branche, Kosteneinsparungen und Steigerung der Effizienz möglich. Dieser Meilenstein steht für den Anfang eines Aufschwungs bzw eines Turnarounds.

Die genauen Zahlen werden am 15.08.2016 veröffentlicht.

Hier der Originaltext von Bloomberg:

Angang Steel Rises After Forecast That Profit May Nearly Double



   Mill benefits from steel price rally and cost cutting
   CISA members post surge in profits in first five months


Angang Steel Co. shares rose to their highest in more than two months after it forecast net profit could nearly double in the first half, as the steelmaker slashed costs and benefited from improving margins.

Net income may rise by 94 percent from a year ago to 300 million yuan ($45 million) in the six months through June, Angang said in a statement Thursday. Its Hong Kong-listed stock gained as much as 5.5 percent to HK$3.84, its highest since late April, before trading at HK$3.72 at 11:12 a.m. local time. Its shares in Shenzhen rose as much as 1.3 percent. Other large Chinese steelmakers fell.

Profits were lifted by a rally in China’s steel market that peaked in April. Member companies of the China Iron and Steel Association made 8.7 billion yuan in profit in the first five months, an eight-fold increase from a year earlier as steel prices outpaced the cost of iron ore, according to China’s state-run news agency Xinhua.

“Angang’s profit increase is partly due to the improved margin in the whole industry, and partly thanks to its own effort in actively slashing costs, reducing expenses and improving efficiency,” according to a report by Zhongtai Securities Co.

Angang, the biggest mill in the northeast of China and one of three steelmakers directly controlled by the central government, said it adjusted its product mix and lowered procurement and other costs in the first six months, according to its statement.

The company’s forecast result marks a dramatic turnaround from the prior six months, which saw a loss of 4.7 billion yuan as prices slumped amid oversupply and weak demand in the world’s largest producer and consumer of steel. Angang reports earnings on Aug. 15.


 

am 15.08 kommen die Zahlen!  

Quelle: http://www.finanznachrichten.de/...ten-aktien/angang-steel-co-ltd.htm