MTL Stock Forecast: 48.78% Gain In 14 Days

100975209-523b025a6aefbbed00a5231082468b294ed04ef1.530x298Mechel OAO (MTL) was a Small Stock pick based on predictive algorithm recommended to I Know First subscribers on January 21st for the 14-days time horizon. MTL had a signal of 340.16 and a predictability of 0.19. In accordance with the algorithm, the company reported short-term capital gains of 48.78%.

MTL was part of the stock forecast that can be found in the “Small Cap Stocks” Package.

The full Top 10 Small Cap Stocks forecast includes a daily prediction for a total of 20 stocks with bullish and bearish signals:

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MTL Stock Forecast

Mechel OAO is one of Russia’s leading mining and metals companies, comprising producers of coal, iron ore in concentrate, steel, rolled steel products. Headquartered in Moscow, it sells its products in Russia and overseas, and is formally known as Open Joint Stock Company Mechel.

The company’s shares are up these last couple of days after the Russia’s industry minister announced that the struggling Russian coal and steel producer would be added to the list of companies receiving state aid as Russia fights to stave off an economic crisis. The companies on the list who will receive state aid have been designated as being integral to the country’s economy and will have their loans guaranteed by the state.

The guaranteed loans are part of a $35 billion cash infusion by the state as it suffers from the economic after effects of falling world crude prices as well as increased sanctions from the West over the country’s involvement in the Ukraine border dispute. In addition to the guaranteed loans, Russia plans to use the money to recapitalize its banks, finance investment projects and pay for the state pension program, according to the BBC.

The plan also calls for public sector spending cuts of 10% and 5% over the next two years respectively, though the spending cuts have not yet been approved by the country’s parliament.