Steel Dynamics, Inc. (NASDAQ:STLD) Receives Consensus Recommendation of “Hold” from Analysts

Steel Dynamics, Inc. (NASDAQ:STLD) has received a consensus rating of “Hold” from the seven brokerages that are covering the company, MarketBeat Ratings reports. Five analysts have rated the stock with a hold recommendation and two have issued a buy recommendation on the company. The average 1-year target price among brokerages that have issued ratings on the stock in the last year is $141.29.

Several equities analysts recently commented on the company. BMO Capital Markets dropped their price objective on Steel Dynamics from $135.00 to $127.00 and set a “market perform” rating on the stock in a research note on Tuesday, September 17th. JPMorgan Chase & Co. upgraded Steel Dynamics from an “underweight” rating to a “neutral” rating and increased their target price for the stock from $120.00 to $131.00 in a research report on Monday, September 9th. UBS Group upgraded Steel Dynamics from a “neutral” rating to a “buy” rating and increased their target price for the stock from $129.00 to $145.00 in a research report on Tuesday, September 3rd. Bank of America dropped their target price on Steel Dynamics from $150.00 to $145.00 and set a “neutral” rating on the stock in a research report on Wednesday, June 26th. Finally, Morgan Stanley dropped their target price on Steel Dynamics from $138.00 to $131.00 and set an “equal weight” rating on the stock in a research report on Wednesday, September 18th.

Steel Dynamics Price Performance

Steel Dynamics stock opened at $119.83 on Monday. Steel Dynamics has a 12 month low of $98.25 and a 12 month high of $151.34. The company has a current ratio of 2.35, a quick ratio of 1.19 and a debt-to-equity ratio of 0.25. The business’s 50 day simple moving average is $120.11 and its 200 day simple moving average is $129.01. The company has a market cap of $18.83 billion, a price-to-earnings ratio of 8.23 and a beta of 1.32.

Steel Dynamics (NASDAQ:STLD) last posted its quarterly earnings data on Wednesday, July 17th. The basic materials company reported $2.72 EPS for the quarter, beating the consensus estimate of $2.67 by $0.05. Steel Dynamics had a return on equity of 22.89% and a net margin of 11.10%. The business had revenue of $4.63 billion for the quarter, compared to the consensus estimate of $4.43 billion. During the same quarter in the prior year, the business earned $4.81 earnings per share. Steel Dynamics’s revenue for the quarter was down 8.8% on a year-over-year basis. Sell-side analysts forecast that Steel Dynamics will post 10.57 EPS for the current year.

Steel Dynamics Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Friday, October 11th. Investors of record on Monday, September 30th will be given a $0.46 dividend. The ex-dividend date is Monday, September 30th. This represents a $1.84 dividend on an annualized basis and a dividend yield of 1.54%. Steel Dynamics’s dividend payout ratio (DPR) is presently 12.64%.

Institutional Investors Weigh In On Steel Dynamics

A number of institutional investors and hedge funds have recently made changes to their positions in the business. Sanctuary Advisors LLC purchased a new stake in shares of Steel Dynamics in the second quarter worth $2,049,000. New Century Financial Group LLC bought a new position in Steel Dynamics in the second quarter valued at $246,000. Ariadne Wealth Management LP bought a new position in Steel Dynamics in the second quarter valued at $267,000. Truist Financial Corp increased its stake in Steel Dynamics by 3.1% in the second quarter. Truist Financial Corp now owns 72,834 shares of the basic materials company’s stock valued at $9,432,000 after acquiring an additional 2,190 shares during the last quarter. Finally, Creative Planning increased its stake in Steel Dynamics by 2.6% in the second quarter. Creative Planning now owns 27,138 shares of the basic materials company’s stock valued at $3,514,000 after acquiring an additional 684 shares during the last quarter. Hedge funds and other institutional investors own 82.41% of the company’s stock.

About Steel Dynamics

Steel Dynamics, Inc, together with its subsidiaries, operates as a steel producer and metal recycler in the United States. The Steel Operations segment offers hot rolled, cold rolled, and coated steel products; parallel flange beams and channel sections, flat bars, large unequal leg angles, and reinforcing steel bars, as well as standard strength carbon, intermediate alloy hardness, and premium grade rail products; engineered special-bar-quality products, merchant-bar-quality products, and other engineered round steel bars; channels, angles, flats, merchant rounds, and reinforcing steel bars; and specialty shapes and light structural steel products.