Lombard Odier Asset Management Switzerland SA Acquires Shares of 28,233 Steel Dynamics, Inc. $STLD

Key Points

• Lombard Odier Asset Management Switzerland SA initiated a new position in Steel Dynamics, buying 28,233 shares worth about $4.78 million in the fourth quarter.
• Analysts remain mixed but generally constructive on STLD: the stock carries a Moderate Buy consensus with an average price target of $224.64, while recent targets from Barclays, BMO, and Wells Fargo ranged as high as $293.
• Steel Dynamics reported Q1 earnings of $2.78 per share, just below estimates, on $5.20 billion in revenue, and it also announced a quarterly dividend of $0.53 per share payable July 10.

Lombard Odier Asset Management Switzerland SA bought a new stake in shares of Steel Dynamics, Inc. (NASDAQ:STLD - Free Report) in the 4th quarter, according to its most recent disclosure with the Securities and Exchange Commission. The firm bought 28,233 shares of the basic materials company's stock, valued at approximately $4,784,000.

Several other large investors have also recently made changes to their positions in the business. State of Wisconsin Investment Board increased its position in shares of Steel Dynamics by 6.8% during the 4th quarter. State of Wisconsin Investment Board now owns 79,868 shares of the basic materials company's stock valued at $13,534,000 after purchasing an additional 5,054 shares during the last quarter. Captrust Financial Advisors increased its stake in shares of Steel Dynamics by 5.2% during the 4th quarter. Captrust Financial Advisors now owns 60,371 shares of the basic materials company's stock worth $10,230,000 after purchasing an additional 2,972 shares during the last quarter. &PARTNERS increased its stake in shares of Steel Dynamics by 7.7% during the 4th quarter. &PARTNERS now owns 6,543 shares of the basic materials company's stock worth $1,109,000 after purchasing an additional 467 shares during the last quarter. Fullerton Fund Management Co Ltd. purchased a new stake in shares of Steel Dynamics during the 4th quarter worth approximately $628,000. Finally, Peloton Wealth Strategists purchased a new stake in shares of Steel Dynamics during the 4th quarter worth approximately $208,000. 82.41% of the stock is owned by hedge funds and other institutional investors.

Analysts Set New Price Targets

Several equities research analysts have recently issued reports on STLD shares. Weiss Ratings upgraded shares of Steel Dynamics from a "hold (c)" rating to a "buy (b-)" rating in a research note on Wednesday, April 29th. Barclays started coverage on Steel Dynamics in a report on Thursday, May 21st. They issued an "overweight" rating and a $270.00 price objective for the company. BMO Capital Markets lifted their price objective on Steel Dynamics from $195.00 to $240.00 and gave the stock an "outperform" rating in a report on Wednesday, April 22nd. Morgan Stanley reissued an "underperform" rating and issued a $190.00 price objective on shares of Steel Dynamics in a report on Tuesday, March 17th. Finally, Wells Fargo & Company lifted their price objective on Steel Dynamics from $235.00 to $293.00 and gave the stock an "overweight" rating in a report on Thursday, June 4th. One equities research analyst has rated the stock with a Strong Buy rating, six have issued a Buy rating, four have issued a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat, Steel Dynamics presently has a consensus rating of "Moderate Buy" and an average price target of $224.64.

Steel Dynamics Stock Up 0.8%

Steel Dynamics stock opened at $274.29 on Wednesday. Steel Dynamics, Inc. has a 1-year low of $119.89 and a 1-year high of $288.74. The firm has a market capitalization of $39.70 billion, a price-to-earnings ratio of 29.34, a P/E/G ratio of 0.54 and a beta of 1.50. 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 firm has a 50 day simple moving average of $234.47 and a 200 day simple moving average of $198.46.

Steel Dynamics (NASDAQ:STLD - Get Free Report) last released its quarterly earnings data on Tuesday, April 21st. The basic materials company reported $2.78 earnings per share for the quarter, missing analysts' consensus estimates of $2.79 by ($0.01). The business had revenue of $5.20 billion during the quarter, compared to analysts' expectations of $5.39 billion. Steel Dynamics had a net margin of 7.22% and a return on equity of 15.54%. The firm's quarterly revenue was up 19.1% on a year-over-year basis. During the same quarter in the prior year, the firm posted $1.44 earnings per share. On average, analysts predict that Steel Dynamics, Inc. will post 15.85 earnings per share for the current year.

Steel Dynamics Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Friday, July 10th. Shareholders of record on Tuesday, June 30th will be issued a dividend of $0.53 per share. This represents a $2.12 dividend on an annualized basis and a yield of 0.8%. The ex-dividend date of this dividend is Tuesday, June 30th. Steel Dynamics's payout ratio is presently 22.67%.

Insider Buying and Selling

In other Steel Dynamics news, Director Kenneth W. Cornew sold 5,000 shares of Steel Dynamics stock in a transaction dated Thursday, April 23rd. The stock was sold at an average price of $224.87, for a total transaction of $1,124,350.00. Following the completion of the transaction, the director owned 31,299 shares of the company's stock, valued at $7,038,206.13. The trade was a 13.77% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. Also, SVP James Stanley Anderson sold 10,000 shares of Steel Dynamics 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 transaction, the senior vice president directly owned 102,837 shares of the company's stock, valued at $27,632,301.90. The trade was a 8.86% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold 22,125 shares of company stock worth $5,438,227 over the last quarter. 6.60% of the stock is owned by corporate insiders.

Steel Dynamics Company 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.

Want to see what other hedge funds are holding STLD? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Steel Dynamics, Inc. (NASDAQ:STLD - Free Report).

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.