Caxton Associates LLP Buys New Holdings in Steel Dynamics, Inc. $STLD

Key Points

• Caxton Associates LLP acquired 4,154 shares of Steel Dynamics, Inc. for approximately $520,000 in its latest SEC filing.
• Analysts have set a consensus rating of "Moderate Buy" for Steel Dynamics, with a target price averaging $148.70, following several upgrades from firms like Morgan Stanley and JPMorgan Chase & Co.
• Steel Dynamics recently announced a quarterly dividend of $0.50 per share, representing an annual yield of 1.5%, with a payout ratio of 29.15%.

Caxton Associates LLP acquired a new position in Steel Dynamics, Inc. (NASDAQ:STLD - Free Report) in the first quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The institutional investor acquired 4,154 shares of the basic materials company's stock, valued at approximately $520,000.

Several other hedge funds have also recently bought and sold shares of STLD. Financial Gravity Asset Management Inc. bought a new stake in shares of Steel Dynamics during the 1st quarter worth about $25,000. Cary Street Partners Investment Advisory LLC lifted its holdings in Steel Dynamics by 493.9% in the 1st quarter. Cary Street Partners Investment Advisory LLC now owns 196 shares of the basic materials company's stock worth $25,000 after purchasing an additional 163 shares during the last quarter. Zions Bancorporation National Association UT bought a new position in shares of Steel Dynamics in the first quarter valued at approximately $32,000. WPG Advisers LLC acquired a new position in Steel Dynamics in the 1st quarter valued at $32,000. Finally, Grove Bank & Trust lifted its holdings in shares of Steel Dynamics by 194.7% during the first quarter. Grove Bank & Trust now owns 277 shares of the basic materials company's stock worth $35,000 after buying an additional 183 shares during the last quarter. 82.41% of the stock is owned by institutional investors and hedge funds.

Steel Dynamics Trading Down 0.7%

STLD stock traded down $0.92 during trading on Wednesday, hitting $138.76. The company had a trading volume of 244,057 shares, compared to its average volume of 1,572,273. The firm has a 50-day moving average price of $129.62 and a 200-day moving average price of $128.05. The stock has a market cap of $20.43 billion, a price-to-earnings ratio of 20.20, a PEG ratio of 1.07 and a beta of 1.40. Steel Dynamics, Inc. has a 12 month low of $103.17 and a 12 month high of $155.56. The company has a quick ratio of 1.34, a current ratio of 3.13 and a debt-to-equity ratio of 0.43.

Steel Dynamics (NASDAQ:STLD - Get Free Report) last issued its earnings results on Monday, July 21st. The basic materials company reported $2.01 EPS for the quarter, missing the consensus estimate of $2.05 by ($0.04). The business had revenue of $4.57 billion for the quarter, compared to the consensus estimate of $4.82 billion. Steel Dynamics had a net margin of 6.07% and a return on equity of 11.88%. The business's revenue was down 1.5% on a year-over-year basis. During the same quarter in the previous year, the firm posted $2.72 EPS. As a group, analysts predict that Steel Dynamics, Inc. will post 9.01 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 10th. Shareholders of record on Tuesday, September 30th will be paid a $0.50 dividend. The ex-dividend date of this dividend is Tuesday, September 30th. This represents a $2.00 dividend on an annualized basis and a yield of 1.4%. Steel Dynamics's payout ratio is presently 29.15%.

Insiders Place Their Bets

In related news, SVP Christopher A. Graham sold 12,000 shares of the stock in a transaction dated Wednesday, July 30th. The stock was sold at an average price of $126.71, for a total transaction of $1,520,520.00. Following the completion of the transaction, the senior vice president directly owned 66,738 shares in the company, valued at approximately $8,456,371.98. This trade represents a 15.24% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Insiders own 6.30% of the company's stock.

Wall Street Analysts Forecast Growth

A number of brokerages have weighed in on STLD. Wells Fargo & Company increased their price target on shares of Steel Dynamics from $143.00 to $150.00 and gave the company an "overweight" rating in a report on Monday. JPMorgan Chase & Co. increased their price objective on shares of Steel Dynamics from $138.00 to $150.00 and gave the company a "neutral" rating in a research note on Monday, July 14th. Finally, Morgan Stanley lifted their target price on shares of Steel Dynamics from $140.00 to $145.00 and gave the company an "overweight" rating in a research report on Friday, June 20th. Nine equities research analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the company's stock. Based on data from MarketBeat, the company currently has an average rating of "Moderate Buy" and an average target price of $149.40.

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.