U.S. markets close in 4 hours 55 minutes
  • S&P 500

    4,453.81
    -1.67 (-0.04%)
     
  • Dow 30

    34,962.09
    +164.09 (+0.47%)
     
  • Nasdaq

    14,990.80
    -56.90 (-0.38%)
     
  • Russell 2000

    2,282.54
    +34.46 (+1.53%)
     
  • Crude Oil

    75.35
    +1.37 (+1.85%)
     
  • Gold

    1,750.30
    -1.40 (-0.08%)
     
  • Silver

    22.69
    +0.27 (+1.18%)
     
  • EUR/USD

    1.1708
    -0.0010 (-0.08%)
     
  • 10-Yr Bond

    1.4840
    +0.0240 (+1.64%)
     
  • GBP/USD

    1.3708
    +0.0027 (+0.20%)
     
  • USD/JPY

    110.9330
    +0.2480 (+0.22%)
     
  • BTC-USD

    43,290.96
    -57.63 (-0.13%)
     
  • CMC Crypto 200

    1,077.03
    -24.49 (-2.22%)
     
  • FTSE 100

    7,070.74
    +19.26 (+0.27%)
     
  • Nikkei 225

    30,240.06
    -8.75 (-0.03%)
     

Allegheny (ATI) Employees Ratify New Labor Agreement With USW

  • Oops!
    Something went wrong.
    Please try again later.
  • Oops!
    Something went wrong.
    Please try again later.
  • Oops!
    Something went wrong.
    Please try again later.
  • Oops!
    Something went wrong.
    Please try again later.
·3 min read
In this article:
  • Oops!
    Something went wrong.
    Please try again later.
  • Oops!
    Something went wrong.
    Please try again later.
  • Oops!
    Something went wrong.
    Please try again later.
  • Oops!
    Something went wrong.
    Please try again later.

Allegheny Technologies Incorporated ATI declared that its employees have ratified a new four-year labor deal with United Steelworkers (“USW”), ending the strike that started on Mar 30, 2021.

The employees will commence their return to active employment in the week of Jul 19, 2021, with production accelerating in the future weeks. The new agreement provides a competitive wage and benefit package to roughly 1,300 represented employees, covering term from Mar 1, 2021 to Feb 28, 2025.

This contract rewards the employees for the important contributions they make to Allegheny's overall success, with higher wage as well as continued excellent and affordable health care. It also secures the controls Allegheny requires to reduce exposure to health care cost inflation, which is important for the long-term viability of its Specialty Rolled Products business, the company noted.

Shares of Allegheny have surged 108.6% in the past year compared with 79.4% rise of the industry.

Zacks Investment Research
Zacks Investment Research


Image Source: Zacks Investment Research

Allegheny, in its last earnings call, stated that it expects second-quarter results to benefit from modest recovery in demand for its jet engine products, backed by increasing domestic air travel rates in the United States and other parts of the world. Also, the company’s jet engine forging share gains are beginning to pay dividends with increase in industry production volumes.

The company expects continued margin improvement in the HPMC segment in 2021, accelerating in the second half, driven by aggressive cost-cutting measures undertaken in 2020.

This year, the company is focused on undertaking strategic business transformation efforts within the Advanced Alloys & Solutions segment to exit production of low-margin standard stainless sheet products as well as increasing revenues of profitable specialty products over time.

Allegheny Technologies Incorporated Price and Consensus

Allegheny Technologies Incorporated Price and Consensus
Allegheny Technologies Incorporated Price and Consensus

Allegheny Technologies Incorporated price-consensus-chart | Allegheny Technologies Incorporated Quote

Zacks Rank & Key Picks

Allegheny currently carries a Zacks Rank #3 (Hold).

Some better-ranked stocks in the basic materials space are Nucor Corporation NUE, Olin Corporation OLN and Cabot Corporation CBT.

Nucor has a projected earnings growth rate of around 381.7% for the current year. The company’s shares have surged 127.7% in a year. It currently flaunts a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

Olin has an expected earnings growth rate of around 506.7% for the current year. The company’s shares have skyrocketed 258% in the past year. It currently sports a Zacks Rank #1.

Cabot has an expected earnings growth rate of around 137.5% for the current fiscal. The company’s shares have surged 48.2% in the past year. It currently flaunts a Zacks Rank #1.


Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

Nucor Corporation (NUE) : Free Stock Analysis Report

Allegheny Technologies Incorporated (ATI) : Free Stock Analysis Report

Cabot Corporation (CBT) : Free Stock Analysis Report

Olin Corporation (OLN) : Free Stock Analysis Report

To read this article on Zacks.com click here.

Zacks Investment Research