GGB Stock Forecast – Quick Win: 19.38% Return In 1 month
GGB Stock Forecast
On August 26th, 2015, The I Know First algorithm gave a bullish signal of 3.98 for the ticker GGB (Gerdau SA (ADR)), which had a predictability indicator of 0.49. In accordance with the algorithm’s prediction, GGB spiked 19.38% in the following month.
Gerdau SA is engaged in the production, commercialization, and supply of steel products. It operates through the following segments: Brazil, North America, Latin America, and Special Steel. The Brazil segment includes operations in Brazil except special steel; and the metallurgical and cooking coal operation of Colombia. Its products are rebar, bars, shapes, drawn products, billets, blooms, slabs, wire rod, and structural shapes. The North America segment deals with North American operations except those of Mexico and special steel. Its products are rebar, bars, wire rod, light, and heavy structural shapes. The Latin America segment involves Latin American operations except the operations in Brazil; and the metallurgical and cooking coal operation of Colombia. Its products are rebar, bars and drawn products. The Special Steel segment comprises special steel operations in Brazil, India, Spain, and U.S. Its products are stainless steel, round, square and flat bars, and wire rod. The company was founded on November 20, 1961 and is headquartered in Rio de Janeiro, Brazil.
On September 11th, The in the local steelworkers union in Pindamonhangaba it was announced that they have approved an accord that will result in the layoff of 200 workers for five months as a Brazilian economic recession cuts steel demand.
Brazilian economy weakened by a giant corruption scandal at state-run oil company Petrobras, has seen tens of thousands lose their jobs since late 2014. Gerdau is not the first or last layoff that they have done this year, also in May they had layoff 70 workers for a five month period.
Their stock has improved over the lapse of a month and the prediction was right on point. The Layoff helped the company cut costs and have a positive outcome in their stock price.
Business Disclosure: I Know First Research is the analytic branch of I Know First, a financial startup company that specializes in quantitatively predicting the stock market. We did not receive compensation for this article, and we have no business relationship with any company whose stock is mentioned in this article. Read More From I Know First Research :
