Analysts at Credit Suisse Group cut the recommendation on
preferred shares of Brazilian steelmaker Usinas Siderúrgicas de
Minas Gerais SA to "underperform" from "neutral,"
saying recent gains in the price of the stock are probably
overdone. A team of analysts led by Ivano Westin also cut the
price target for the stock to 9 reais from 12.20 reais.
The stock could underperform in coming months on the back of
weak fourth-quarter results, downward pressure on local flat
steel prices, uncertainty over a plan to renegotiate terms of
the company's debt and the impact of the sale of ThyssenKrupp
AG's Brazilian slab-making unit on the domestic flat