Steel Dynamics (NASDAQ:STLD) Stock Gets Price Target Increase from KeyCorp

Key Points

• KeyCorp raised Steel Dynamics’ price target from $262 to $265 and maintained an “overweight” rating, implying 10.46% potential upside from the prior close.
• Analyst sentiment remains favorable overall, with eight Buy ratings and four Holds; the stock carries a “Moderate Buy” consensus and an average price target of $259.64.
• Steel Dynamics reported quarterly EPS of $5.26, missing estimates by $0.22, while revenue reached $6.51 billion and rose 34.8% year over year. Institutional investors own 82.41% of the company.

Steel Dynamics (NASDAQ:STLD - Get Free Report) had its price target boosted by investment analysts at KeyCorp from $262.00 to $265.00 in a research note issued to investors on Friday, Benzinga reports. The brokerage currently has an "overweight" rating on the basic materials company's stock. KeyCorp's price target suggests a potential upside of 10.46% from the company's previous close.

A number of other equities research analysts also recently issued reports on the stock. Barclays set a $280.00 price target on shares of Steel Dynamics in a research note on Friday. JPMorgan Chase & Co. cut their target price on Steel Dynamics from $272.00 to $260.00 and set a "neutral" rating on the stock in a research report on Friday, October 9th. Wells Fargo & Company upped their price target on Steel Dynamics from $257.00 to $271.00 and gave the stock an "overweight" rating in a research note on Wednesday. UBS Group raised their price target on Steel Dynamics from $165.00 to $276.00 and gave the stock a "neutral" rating in a research report on Monday, August 10th. Finally, Weiss Ratings cut Steel Dynamics from a "buy (b)" rating to a "buy (b-)" rating in a research note on Tuesday, October 13th. Eight investment analysts have rated the stock with a Buy rating and four have assigned a Hold rating to the stock. According to MarketBeat, the stock has an average rating of "Moderate Buy" and an average price target of $259.64.

Steel Dynamics Stock Performance

NASDAQ STLD opened at $239.90 on Friday. The stock has a market cap of $34.38 billion, a PE ratio of 17.70, a P/E/G ratio of 0.36 and a beta of 1.48. The company has a current ratio of 3.14, a quick ratio of 1.45 and a debt-to-equity ratio of 0.43. Steel Dynamics has a twelve month low of $148.13 and a twelve month high of $288.74. The stock has a fifty day simple moving average of $237.41 and a 200-day simple moving average of $238.44.

Steel Dynamics (NASDAQ:STLD - Get Free Report) last issued its quarterly earnings data on Monday, October 19th. The basic materials company reported $5.26 earnings per share (EPS) for the quarter, missing the consensus estimate of $5.48 by ($0.22). The company had revenue of $6.51 billion during the quarter, compared to analysts' expectations of $6.43 billion. Steel Dynamics had a net margin of 8.82% and a return on equity of 21.57%. The firm's quarterly revenue was up 34.8% on a year-over-year basis. During the same quarter last year, the firm posted $2.74 earnings per share. Equities analysts anticipate that Steel Dynamics will post 17.92 earnings per share for the current year.

Hedge Funds Weigh In On Steel Dynamics

Hedge funds and other institutional investors have recently added to or reduced their stakes in the business. Baird Financial Group Inc. raised its stake in shares of Steel Dynamics by 9.9% in the second quarter. Baird Financial Group Inc. now owns 187,906 shares of the basic materials company's stock valued at $43,117,000 after acquiring an additional 16,930 shares in the last quarter. Sapient Capital LLC grew its stake in Steel Dynamics by 34.6% during the 2nd quarter. Sapient Capital LLC now owns 447,664 shares of the basic materials company's stock worth $102,958,000 after purchasing an additional 115,080 shares in the last quarter. BlackRock Inc. acquired a new position in Steel Dynamics during the 2nd quarter worth $2,844,501,000. OP Asset Management Ltd purchased a new stake in Steel Dynamics during the 1st quarter worth about $2,568,000. Finally, Public Employees Retirement System of Ohio purchased a new stake in Steel Dynamics during the 2nd quarter worth about $10,169,000. Hedge funds and other institutional investors own 82.41% of the company's stock.

About Steel Dynamics

Steel Dynamics, Inc is a steel producer and metals recycler headquartered in Fort Wayne, Indiana. The company manufactures steel products using electric arc furnace technology and serves customers across industries such as construction, automotive, manufacturing, and energy.

Its operations include the production of flat rolled steel, long steel products, structural steel, rail, and specialty products. Steel Dynamics also provides steel processing and fabrication services, including the manufacture of steel joists, deck systems, and other components used in commercial and industrial construction.

The company operates metals recycling facilities that collect, process, and supply ferrous and nonferrous scrap to support its steelmaking operations.

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