KBC Group NV Lowers Stake in Steel Dynamics, Inc. $STLD

Key Points

• KBC Group NV sharply reduced its stake in Steel Dynamics by 83.8% in the first quarter, selling 396,217 shares and leaving it with 76,828 shares worth about $13.8 million.
• Steel Dynamics posted a strong second quarter, with EPS of $3.69 topping estimates and revenue rising 33.4% year over year to $6.09 billion on record steel shipments of 3.7 million tons.
• Despite the beat, some analysts remain cautious due to valuation concerns, with Bank of America maintaining a Hold rating and a $260 price target even as the stock has drawn mostly Moderate Buy coverage overall.

KBC Group NV trimmed its holdings in Steel Dynamics, Inc. (NASDAQ:STLD - Free Report) by 83.8% during the 1st quarter, according to its most recent Form 13F filing with the Securities & Exchange Commission. The institutional investor owned 76,828 shares of the basic materials company's stock after selling 396,217 shares during the period. KBC Group NV owned about 0.05% of Steel Dynamics worth $13,829,000 as of its most recent filing with the Securities & Exchange Commission.

A number of other hedge funds have also recently made changes to their positions in STLD. SEB Asset Management AB bought a new stake in shares of Steel Dynamics during the first quarter valued at approximately $5,452,000. Swiss National Bank boosted its position in shares of Steel Dynamics by 6.2% during the first quarter. Swiss National Bank now owns 407,100 shares of the basic materials company's stock worth $73,278,000 after acquiring an additional 23,900 shares during the last quarter. SPX Gestao de Recursos Ltda purchased a new position in Steel Dynamics during the first quarter valued at $75,000. Kinsale Capital Group Inc. grew its stake in Steel Dynamics by 5.2% during the first quarter. Kinsale Capital Group Inc. now owns 50,558 shares of the basic materials company's stock valued at $9,101,000 after acquiring an additional 2,482 shares in the last quarter. Finally, Jennison Associates LLC increased its holdings in Steel Dynamics by 18.1% in the 1st quarter. Jennison Associates LLC now owns 110,030 shares of the basic materials company's stock valued at $19,805,000 after acquiring an additional 16,848 shares during the last quarter. Institutional investors own 82.41% of the company's stock.

Steel Dynamics News Roundup

Here are the key news stories impacting Steel Dynamics this week:

• Positive Sentiment: Steel Dynamics reported second-quarter EPS of $3.69 to $3.80, topping analyst estimates, while revenue rose about 33% year over year to roughly $6.1 billion on record steel shipments of 3.7 million tons. Steel Dynamics Reports Second Quarter 2026 Results
• Positive Sentiment: Management highlighted improved steel pricing, strong domestic steel and aluminum demand, continued ramp-up in aluminum flat-rolled sheet operations, and $200 million of share repurchases, all of which reinforce the company’s near-term momentum. Steel Dynamics' second-quarter profit jumps on record shipments, improved pricing
• Neutral Sentiment: Analysts remain constructive on the quarter but are flagging stretched valuation, with Bank of America maintaining a Hold rating and a $260 price target, suggesting much of the good news may already be reflected in the stock. Steel Dynamics: Solid Near-Term Beat but Stretched Valuation Keeps Neutral Rating and $260 Price Target Unchanged
• Negative Sentiment: Some investors are focusing on the company’s aluminum story and potential execution issues, including startup losses and a non-cash impairment tied to shifting a planned aluminum recycled slab center, which could temper enthusiasm despite the strong quarter. Steel Dynamics (STLD) Earnings Put Its Aluminum Story And Valuation Back In Focus

Steel Dynamics Price Performance

STLD stock opened at $233.52 on Wednesday. Steel Dynamics, Inc. has a 12 month low of $119.89 and a 12 month high of $288.74. The company has a current ratio of 3.13, a quick ratio of 1.33 and a debt-to-equity ratio of 0.46. The company has a 50-day moving average price of $245.85 and a 200 day moving average price of $209.92. The stock has a market cap of $33.80 billion, a PE ratio of 21.17, a P/E/G ratio of 0.44 and a beta of 1.53.

Steel Dynamics (NASDAQ:STLD - Get Free Report) last released its quarterly earnings data on Monday, July 20th. The basic materials company reported $3.69 earnings per share (EPS) for the quarter, beating the consensus estimate of $3.63 by $0.06. The company 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 18.30%. The firm's quarterly revenue was up 33.4% on a year-over-year basis. During the same period in the previous year, the company earned $2.01 EPS. Equities research analysts anticipate that Steel Dynamics, Inc. will post 16.92 earnings per share for the current year.

Steel Dynamics Announces Dividend

The business also recently announced a quarterly dividend, which was paid on Friday, July 10th. Shareholders of record on Tuesday, June 30th were issued a dividend of $0.53 per share. The ex-dividend date was Tuesday, June 30th. This represents a $2.12 dividend on an annualized basis and a yield of 0.9%. Steel Dynamics's dividend payout ratio is currently 22.67%.

Insider Buying and Selling

In other Steel Dynamics news, SVP James Stanley Anderson sold 10,000 shares of the business's stock in a transaction dated Friday, June 5th. The shares were sold at an average price of $268.70, for a total value of $2,687,000.00. Following the completion of the transaction, the senior vice president directly owned 102,837 shares in the company, valued at approximately $27,632,301.90. The trade was a 8.86% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Also, Director Kenneth W. Cornew sold 5,000 shares of the firm's stock in a transaction dated Thursday, April 23rd. The shares were sold at an average price of $224.87, for a total transaction of $1,124,350.00. Following the completion of the sale, the director owned 31,299 shares in the company, valued at $7,038,206.13. This represents a 13.77% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. In the last quarter, insiders sold 22,125 shares of company stock valued at $5,438,226. 6.60% of the stock is currently owned by insiders.

Wall Street Analysts Forecast Growth

Several analysts have commented on the stock. Bank of America decreased their price target on shares of Steel Dynamics from $280.00 to $260.00 and set a "neutral" rating on the stock in a research note on Thursday, July 9th. BMO Capital Markets raised their price target on Steel Dynamics from $195.00 to $240.00 and gave the company an "outperform" rating in a report on Wednesday, April 22nd. Morgan Stanley lifted their price objective on Steel Dynamics from $227.00 to $270.00 and gave the stock an "equal weight" rating in a research note on Monday, June 22nd. Citigroup upped their price objective on Steel Dynamics from $180.00 to $255.00 and gave the stock a "buy" rating in a report on Wednesday, April 22nd. Finally, Barclays began coverage on Steel Dynamics in a research report on Thursday, May 21st. They set an "overweight" rating and a $270.00 target price for the company. One research analyst has rated the stock with a Strong Buy rating, six have given a Buy rating and five have assigned a Hold rating to the company. According to MarketBeat.com, Steel Dynamics presently has an average rating of "Moderate Buy" and an average target price of $239.18.

About Steel Dynamics

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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