Genus Capital Management Inc. Reduces Position in Steel Dynamics, Inc. $STLD

Key Points

• Genus Capital Management cut its stake in Steel Dynamics by 28.9% in the fourth quarter, selling 20,915 shares and ending with 51,504 shares worth about $8.73 million.
• Wall Street sentiment remains mostly positive: analysts have an average “Moderate Buy” rating on STLD, with a consensus price target of $219.36, while Barclays initiated coverage with an Overweight rating and a $270 target.
• Steel Dynamics recently reported Q1 EPS of $2.78, just below estimates, on $5.20 billion in revenue, and also announced a quarterly dividend of $0.53 per share payable July 10.

Genus Capital Management Inc. cut its holdings in shares of Steel Dynamics, Inc. (NASDAQ:STLD - Free Report) by 28.9% during the 4th quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The fund owned 51,504 shares of the basic materials company's stock after selling 20,915 shares during the period. Genus Capital Management Inc.'s holdings in Steel Dynamics were worth $8,727,000 at the end of the most recent reporting period.

Other institutional investors also recently modified their holdings of the company. Lingohr Asset Management GmbH boosted its position in Steel Dynamics by 1,284.8% in the third quarter. Lingohr Asset Management GmbH now owns 40,423 shares of the basic materials company's stock worth $5,636,000 after purchasing an additional 37,504 shares during the last quarter. Mediolanum International Funds Ltd boosted its position in Steel Dynamics by 157.2% in the third quarter. Mediolanum International Funds Ltd now owns 206,140 shares of the basic materials company's stock worth $28,629,000 after purchasing an additional 125,981 shares during the last quarter. Fisher Asset Management LLC lifted its position in shares of Steel Dynamics by 47.2% during the 3rd quarter. Fisher Asset Management LLC now owns 34,878 shares of the basic materials company's stock valued at $4,863,000 after buying an additional 11,183 shares in the last quarter. Knights of Columbus Asset Advisors LLC lifted its position in shares of Steel Dynamics by 156.3% during the 3rd quarter. Knights of Columbus Asset Advisors LLC now owns 15,935 shares of the basic materials company's stock valued at $2,222,000 after buying an additional 9,717 shares in the last quarter. Finally, Concentric Capital Strategies LP purchased a new position in shares of Steel Dynamics during the 3rd quarter valued at about $24,349,000. 82.41% of the stock is owned by hedge funds and other institutional investors.

Wall Street Analyst Weigh In

A number of research analysts have recently weighed in on the company. Wells Fargo & Company lifted their price objective on Steel Dynamics from $207.00 to $235.00 and gave the company an "overweight" rating in a research report on Wednesday, April 22nd. Weiss Ratings raised Steel Dynamics from a "hold (c)" rating to a "buy (b-)" rating in a research report on Wednesday, April 29th. Barclays assumed coverage on Steel Dynamics in a research report on Thursday. They set an "overweight" rating and a $270.00 price objective on the stock. JPMorgan Chase & Co. lifted their price objective on Steel Dynamics from $192.00 to $205.00 and gave the company a "neutral" rating in a research report on Tuesday, April 14th. Finally, Wall Street Zen raised Steel Dynamics from a "hold" rating to a "buy" rating in a research report on Saturday, April 18th. One investment analyst has rated the stock with a Strong Buy rating, six have given a Buy rating, four have issued a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat.com, Steel Dynamics has an average rating of "Moderate Buy" and an average target price of $219.36.

Insider Activity at Steel Dynamics

In related news, SVP Miguel Alvarez sold 4,825 shares of Steel Dynamics stock in a transaction that occurred on Thursday, April 23rd. The stock was sold at an average price of $225.58, for a total transaction of $1,088,423.50. Following the sale, the senior vice president owned 122,257 shares of the company's stock, valued at approximately $27,578,734.06. This trade represents a 3.80% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, SVP Richard A. Poinsatte sold 2,300 shares of Steel Dynamics stock in a transaction that occurred on Tuesday, May 12th. The shares were sold at an average price of $234.11, for a total value of $538,453.00. Following the sale, the senior vice president directly owned 28,618 shares in the company, valued at $6,699,759.98. This trade represents a 7.44% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. In the last 90 days, insiders have sold 12,125 shares of company stock valued at $2,751,227. 6.60% of the stock is owned by company insiders.

Steel Dynamics Price Performance

Shares of STLD opened at $240.03 on Monday. The business's 50 day moving average is $202.58 and its 200 day moving average is $185.18. The company has a market capitalization of $34.74 billion, a PE ratio of 25.67, a price-to-earnings-growth ratio of 0.51 and a beta of 1.48. Steel Dynamics, Inc. has a 12-month low of $119.89 and a 12-month high of $243.73. The company has a current ratio of 3.13, a quick ratio of 1.33 and a debt-to-equity ratio of 0.46.

Steel Dynamics (NASDAQ:STLD - Get Free Report) last issued its earnings results on Tuesday, April 21st. The basic materials company reported $2.78 earnings per share (EPS) for the quarter, missing the consensus estimate of $2.79 by ($0.01). The business had revenue of $5.20 billion for the quarter, compared to the consensus estimate of $5.39 billion. Steel Dynamics had a net margin of 7.22% and a return on equity of 15.54%. The firm's revenue for the quarter was up 19.1% compared to the same quarter last year. During the same period last year, the business posted $1.44 EPS. Research analysts expect that Steel Dynamics, Inc. will post 14.77 earnings per share for the current fiscal year.

Steel Dynamics Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Friday, July 10th. Investors of record on Tuesday, June 30th will be paid a dividend of $0.53 per share. This represents a $2.12 annualized dividend and a yield of 0.9%. The ex-dividend date of this dividend is Tuesday, June 30th. Steel Dynamics's dividend payout ratio (DPR) is 22.67%.

Steel Dynamics Profile

Steel Dynamics, Inc is a U.S.-based, diversified steel producer and metals recycler that operates an integrated network of mini-mills, finishing lines and fabrication facilities. Founded in 1993 and headquartered in Fort Wayne, Indiana, the company manufactures a broad range of steel products and provides downstream processing, coating and fabrication services to industrial customers. Its operations combine steelmaking using electric-arc furnaces with extensive metals recycling capabilities, allowing Steel Dynamics to convert scrap ferrous and nonferrous materials into finished steel products.

The company's product portfolio includes flat-rolled steel (coiled and sheet products), structural steel and fabricated components, along with coated and painted steel used in consumer, industrial and construction applications.

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