ISG raises earnings outlook on higher steel prices

The Steubenville Herald-Star: “International Steel Group Inc. has become the second steel company to raise its third-quarter forecast because of higher steel prices.

Other steel companies could follow but steel prices could begin falling because of lower costs and weaker demand, said analyst Charles Bradford of Bradford Research.

Richfield-based ISG said Monday it expects earnings of $2 to $2.10 per share compared with the $1.70 per share consensus of analysts surveyed by Thomson First Call.

‘They’re going to beat us all,” said Bradford, who forecast ISG’s earnings at $1.90 per share. ‘Steel business is good.”

ISG shares were initially up on the news Monday, but closed down 13 cents at $33.95 on the New York Stock Exchange.

‘We are having a better-than-expected quarter because of the continuing strength of the steel market resulting in higher prices,” president and CEO Rodney B. Mott said. ‘We are optimistic that economic and steel market conditions will remain strong in North America and globally for the near term.” “

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