Schnitzer Steel Adjusted Q1 Net Beats View (SCHN)

in Gold Gold Investing by admin — January 8, 2010 7:13 am | no comments

Metals recycler Schnitzer Steel Industries, Inc. ( SCHN ) on Thursday posted an adjusted first quarter profit that beat analyst expectations, sending its shares higher. The Portland, Oregon-based company reported a fiscal first quarter net loss of $9 million, or 30 cents per share, compared with a net loss of $34 million, or $1.21 per share, in the year-ago period. Excluding one-time items, the company posted an adjusted profit from continuing operations of 23 cents per share. Revenue plunged 17% from last year, to $394 million, hurt by lower average net ferrous metals prices. On average, Wall Street analysts expected a much smaller adjusted profit of 14 cents per share, albeit on higher revenue of $402.5 million. Schnitzer Steel shares rose $1.56, or +3%, in premarket trading Friday. The Bottom Line We had removed shares of SCHN from our “recommended” list on July 24, when the stock was trading at $79.57. The company has a .13% dividend yield, based on last night’s closing stock price of $52.69. The stock has technical support in the $46-48 price area. If the shares can rebound we see overhead resistance around the $55-$61 price levels. We would remain on the sidelines for now. Schnitzer Steel Industries, Inc. ( SCHN ) is not recommended at this time, holding a Dividend.com DARS™ Rating of 3.4 out of 5 stars. Be sure to visit our complete recommended list of the Best Dividend Stocks , as well as a detailed explanation of our ratings system here .