ArcelorMittal SA (NYSE:MT) stock has been trending higher for close to a year but has recently hit a resistance line. If the stock breaks through this level, a breakout is expected. Read more to learn how to profit from this trade.ArcelorMittal SA (MT) is involved in the steel industry and generates most of its revenue from its Europe segment. This segment produces hot-rolled coil, cold-rolled coil, coated products, tinplate, plate, and slab. These products are sold primarily to customers in the automotive, general, and packaging sectors.
In the most recent quarter, sales were strong, driven by higher average steel selling prices and higher iron ore prices and shipments. The company is expanding its steel-making capacity and focused on shifting to high added value products. For instance, it is looking to expand its automotive steel line of products.
MT had $5.5 billion in cash on hand as of the most recent quarter. This is almost twice the amount of short-term debt the company holds. The company also has a low debt-to-equity ratio of 0.3. Analysts forecast a 71.5% year over year rise in sales in the current quarter. Earnings are expected to soar 1,100%.