Mechel stock looks red-hot on Monday. Image source: Getty Images.
Shares of Russian steelmaker-cum-coalminer Mechel PAO (NYSE: MTL) shot up nearly 19% in early Monday trading before retracing ever so little. As of 11:30 a.m. EST, Mechel stock was still holding onto a respectable 17.6% gain. But why?
Two possible answers suggest themselves. Firstly, there's the
But lacking identification of specific partners and specific deals (and specific numbers to hang a valuation on), it's hard to imagine that this simple press release could be responsible for driving a 19% gain in Mechel stock.
Of course, there's also Mechel's upcoming third-quarter earnings news, due out mid-December. Analysts are forecasting 39% sales growth for Mechel in this announcement, which would be terrific news. But even if they're right about that, that Q3 earnings report remains a month away. If this is the reason investors are excited, they may have begun celebrating a bit early.
Fact is, even
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