Citi Group has a $6.40 price target on Bluescope shares. "BlueScope's upgrade to 2H16 guidance is not unexpected given the rally in steel prices over the past 4 months, but the magnitude of the upgrade is a positive surprise," CLSA analyst Scott Hudson told clients. "Many of the factors identified as the drivers of the better than expected performance should be supportive of upgrades to 1H17 consensus expectations. Today's announcement also reaffirms our view that the earnings growth that BlueScope's cost savings provides ensures that it remains our preferred steel exposure, even as global steel prices and spreads begin to roll-over."