Worthington Steel Inc. (NYSE:WS) received a price target increase from KeyBanc Capital Markets, raising it to $39 from $31 while maintaining an Overweight rating. The revised target reflects KeyBanc's positive outlook on the company's financial health and growth prospects. Worthington Steel, a leading processor and distributor of value-added carbon sheet steel, was spun off from Worthington Industries (NYSE:WOR) in 2023. KeyBanc initiated coverage on December 3, 2023, with an Overweight rating and a $29 price target. The recent increase to $39 is attributed to an improved balance sheet, sustained confidence in the company's investments for future growth, and a modest expansion in multiples. KeyBanc believes that Worthington Steel's share price could potentially reach the $40-$50 range as the company continues to execute its strategic plans effectively. The company currently has a market capitalization of $1.69 billion, a price-to-earnings (P/E) ratio of 9.32, and a gross profit margin of 13.49%. The positive outlook and price target increase may impact investor sentiment and market activity surrounding Worthington Steel's stock.
KeyBanc Capital Markets has also adjusted its outlook on Materion Corp, reducing the price target on the company's shares to $156 from $157. The revision follows Materion's announcement of a sales shortfall due to operational challenges. KeyBanc sees potential in Materion's future, particularly in its connection to the semiconductor industry's recovery and unique growth drivers. Materion's strategic relevance in the tech landscape is underscored by KeyBanc's maintained Overweight rating. [69d832ed] [ad9731ee]