Bloomberg the Company & Products

Bloomberg Anywhere Login

Bloomberg

Connecting decision makers to a dynamic network of information, people and ideas, Bloomberg quickly and accurately delivers business and financial information, news and insight around the world.

Company

Financial Products

Enterprise Products

Media

Customer Support

  • Americas

    +1 212 318 2000

  • Europe, Middle East, & Africa

    +44 20 7330 7500

  • Asia Pacific

    +65 6212 1000

Communications

Industry Products

Media Services

Follow Us

TMK Advances Most in Three Months on Sberbank Buy: Moscow Mover

Oct. 31 (Bloomberg) -- OAO TMK, Russia’s largest producer of steel pipes for the oil and gas industry, jumped the most in three months after Sberbank CIS recommended buying the company’s depositary receipts.

TMK surged as much as 5.4 percent, the most since July 27, and traded up 5.2 percent to $14.56 by 2:09 p.m. in London, paring its monthly loss to 4.3 percent. Sberbank set the target price at $19.43, according to a note emailed today.

Prices for hot rolled coil, a benchmark steel product for the industry, slumped 5.6 percent in October after falling 3.1 percent in September, according to Metal Bulletin data on Bloomberg. TMK, which benefits from lower steel prices, has a “dominant” 60 percent to 65 percent share of Russia’s seamless pipe market and “established a long term relationship” with oil and gas customers, Sberbank CIS said.

“The company has been gradually expanding its product offering into high value-added products, which should assist top line growth,” analysts including Mikhail Stiskin in Moscow said in the note. “Softening prices for ferrous inputs is another positive factor.”

To contact the reporter on this story: Maria Levitov in London at mlevitov@bloomberg.net

To contact the editor responsible for this story: Gavin Serkin at gserkin@bloomberg.net

Please upgrade your Browser

Your browser is out-of-date. Please download one of these excellent browsers:

Chrome, Firefox, Safari, Opera or Internet Explorer.