
EAF Stock Forecast & Price Target
EAF Analyst Ratings
Bulls say
GrafTech International Ltd is poised for a positive outlook due to anticipated sales volume growth of over 10% in FY25, driven by increased needle coke demand, higher steel production, and growing adoption of electric arc furnaces (EAF) as part of global decarbonization efforts. The company is implementing strategies to enhance margins by rebalancing its order book toward higher-margin customers, alongside a reported cost reduction of over 20% per ton in 2024 and targeted mid-single-digit reductions for 2025. Despite current pricing pressures, GrafTech remains optimistic about its ability to improve sales through strategic commercial initiatives and disciplined cost management, which positions it well in a tightening needle coke market.
Bears say
The negative outlook for GrafTech International's stock is primarily driven by declining average realized electrode prices and challenging market dynamics, with Q4 LTA pricing flat at $7,700/MT but down significantly from $8,763/MT for FY23. The company’s financial forecasts have been downgraded, with EBITDA estimates for 1Q/FY25/FY26 revised to -$12M, $10M, and $70M, respectively, reflecting expectations of continued production curtailments among EAF and electrode producers. Additionally, the pricing environment is under pressure, as indicated by further declines in spot prices during 4Q'24, contributing to a negative impact on margins and overall financial performance.
This aggregate rating is based on analysts' research of GrafTech International Ltd. and is not a guaranteed prediction by Public.com or investment advice.
EAF Analyst Forecast & Price Prediction
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