Morningstar lifts BlueScope forecasts on stronger US steel spreads

By Reuters News

** Morningstar raises BlueScope's BSL.AX FY27 and FY28 adjusted EBIT forecasts, says US steel tariffs are driving stronger steel spreads than expected

** Now expects the company to report FY27 EBITDA of A$3.06 bln ($2.15 bln), above its prior forecast of A$2.46 bln

** Steel products maker upgraded its first-half underlying EBIT to A$1.1 bln on Monday, from previous guidance range of A$860 to A$960 mln

** Investment research provider sees low steel prices from an influx of cheap Asian steel, but expects stronger spreads

** Expects revenue growth in North American buildings to be supported by demand from data centres and warehouses

** Maintains A$26 fair value estimate but says shares are expensive

** Stock up 45.8% YTD, as of last close


($1 = 1.4229 Australian dollars)

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