Morgan Stanley upgraded Ternium to overweight from equal weight and raised its price target to $65 from $55, implying roughly 20% upside from Thursday’s close. Analyst Carlos De Alba expects U.S. tariff reductions on Mexican steel as part of USMCA negotiations, which would drive up domestic Mexican steel prices and boost Ternium’s profitability. Mexico is also expected to raise its own steel import tariffs to 50% from the current 25% to 35% range, tightening the domestic market and pushing local prices closer to U.S. levels. The stock has risen 42% year to date. Of the 16 analysts covering Ternium, seven have a buy rating and six have a hold rating.
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