Steel Dynamics, Inc. (NASDAQ:STLD) Given Consensus Recommendation of "Moderate Buy" by Analysts

Key Points

• Analysts maintain a “Moderate Buy” consensus on Steel Dynamics, with 8 buy ratings and 4 holds among 12 analysts. The average 12-month price target is $258.45.
• Steel Dynamics exceeded quarterly expectations, reporting $3.69 in EPS versus the $3.63 consensus and $6.09 billion in revenue, up 33.4% year over year.
• The company declared a quarterly dividend of $0.53 per share, equivalent to $2.12 annually and a 0.9% yield; institutional investors own 82.41% of the stock.

Shares of Steel Dynamics, Inc. (NASDAQ:STLD - Get Free Report) have been given a consensus recommendation of "Moderate Buy" by the twelve analysts that are presently covering the company, Marketbeat.com reports. Four investment analysts have rated the stock with a hold recommendation and eight have assigned a buy recommendation to the company. The average 1-year target price among analysts that have issued a report on the stock in the last year is $258.4545.

STLD has been the topic of several recent analyst reports. KeyCorp reaffirmed an "overweight" rating on shares of Steel Dynamics in a research note on Wednesday, July 22nd. Bank of America decreased their price target on Steel Dynamics from $280.00 to $260.00 and set a "neutral" rating for the company in a research note on Thursday, July 9th. JPMorgan Chase & Co. raised their price target on Steel Dynamics from $260.00 to $273.00 and gave the company a "neutral" rating in a report on Wednesday, September 9th. UBS Group lifted their price objective on shares of Steel Dynamics from $165.00 to $276.00 and gave the company a "neutral" rating in a research note on Monday, August 10th. Finally, Barclays upped their price objective on shares of Steel Dynamics from $270.00 to $272.00 and gave the stock an "overweight" rating in a report on Wednesday, July 22nd.

Institutional Inflows and Outflows

A number of hedge funds have recently made changes to their positions in the stock. Meeder Asset Management Inc. bought a new position in Steel Dynamics during the 2nd quarter valued at $26,000. NBH Bank acquired a new position in Steel Dynamics during the second quarter worth about $31,000. Caitlin John LLC acquired a new position in Steel Dynamics during the second quarter worth about $35,000. MV Capital Management Inc. bought a new stake in Steel Dynamics in the fourth quarter worth about $27,000. Finally, Cedar Mountain Advisors LLC acquired a new stake in Steel Dynamics in the 1st quarter valued at about $31,000. Institutional investors and hedge funds own 82.41% of the company's stock.

Steel Dynamics Trading Up 3.0%

Shares of NASDAQ:STLD opened at $245.35 on Friday. The company has a market cap of $35.17 billion, a PE ratio of 22.24, a P/E/G ratio of 0.42 and a beta of 1.50. The company's 50-day moving average price is $243.93 and its 200 day moving average price is $228.26. Steel Dynamics has a fifty-two week low of $134.87 and a fifty-two week high of $288.74. The company has a quick ratio of 1.45, a current ratio of 3.18 and a debt-to-equity ratio of 0.45.

Steel Dynamics (NASDAQ:STLD - Get Free Report) last posted its earnings results on Tuesday, July 21st. The basic materials company reported $3.69 EPS for the quarter, topping the consensus estimate of $3.63 by $0.06. The firm had revenue of $6.09 billion during the quarter, compared to analysts' expectations of $5.56 billion. Steel Dynamics had a net margin of 7.83% and a return on equity of 18.12%. Steel Dynamics's quarterly revenue was up 33.4% on a year-over-year basis. During the same quarter in the prior year, the firm earned $2.01 EPS. Sell-side analysts anticipate that Steel Dynamics will post 18.58 earnings per share for the current year.

Steel Dynamics Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Friday, October 9th. Shareholders of record on Wednesday, September 30th will be given a dividend of $0.53 per share. This represents a $2.12 dividend on an annualized basis and a dividend yield of 0.9%. The ex-dividend date is Wednesday, September 30th. Steel Dynamics's payout ratio is 19.22%.

Steel Dynamics Company Profile

Steel Dynamics, Inc is a steel producer and metals recycler headquartered in Fort Wayne, Indiana. Founded in 1993, the company operates electric arc furnaces that use recycled steel and other metallic inputs to manufacture a broad range of steel products. Its customers include companies in the construction, automotive, manufacturing, transportation, energy and appliance industries.

Steel Dynamics' steel operations produce flat-rolled steel, structural steel, rail, engineered bar products and other specialty steel products.

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