Ninety One UK Ltd Grows Stock Holdings in Steel Dynamics, Inc. $STLD

Key Points

• Ninety One UK Ltd increased its stake in Steel Dynamics by 11.9% in Q4 to 134,186 shares (about $22.74M), and other institutions (e.g., Boston Partners, AQR, Caisse) also made large purchases—about 82.41% of the stock is institutionally held.
• Analyst views are mixed: the consensus rating is Hold with an average target of $185.11, although KeyCorp and Jefferies are bullish while Morgan Stanley maintains an underperform view and JPMorgan raised its target to $205.
• Steel Dynamics beat EPS estimates ($1.82 vs. $1.72) with revenue up 14% year-over-year despite missing top-line expectations, and it recently raised its quarterly dividend to $0.53 (annualized $2.12), a ~1.1% yield.

Ninety One UK Ltd grew its holdings in Steel Dynamics, Inc. (NASDAQ:STLD - Free Report) by 11.9% during the 4th quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The fund owned 134,186 shares of the basic materials company's stock after acquiring an additional 14,323 shares during the period. Ninety One UK Ltd owned about 0.09% of Steel Dynamics worth $22,738,000 at the end of the most recent quarter.

Several other large investors have also made changes to their positions in STLD. Boston Partners purchased a new stake in shares of Steel Dynamics in the 3rd quarter valued at $101,254,000. Qube Research & Technologies Ltd purchased a new stake in shares of Steel Dynamics in the 2nd quarter valued at $48,746,000. Caisse de depot et placement du Quebec boosted its holdings in shares of Steel Dynamics by 134.9% in the 3rd quarter. Caisse de depot et placement du Quebec now owns 493,290 shares of the basic materials company's stock valued at $68,779,000 after acquiring an additional 283,300 shares during the last quarter. AQR Capital Management LLC boosted its holdings in shares of Steel Dynamics by 79.1% in the 2nd quarter. AQR Capital Management LLC now owns 627,542 shares of the basic materials company's stock valued at $80,332,000 after acquiring an additional 277,166 shares during the last quarter. Finally, Schonfeld Strategic Advisors LLC boosted its holdings in shares of Steel Dynamics by 6,163.9% in the 3rd quarter. Schonfeld Strategic Advisors LLC now owns 274,861 shares of the basic materials company's stock valued at $38,324,000 after acquiring an additional 270,473 shares during the last quarter. 82.41% of the stock is owned by hedge funds and other institutional investors.

Analyst Ratings Changes

Several analysts have recently commented on STLD shares. KeyCorp initiated coverage on shares of Steel Dynamics in a report on Wednesday, March 25th. They issued an "overweight" rating and a $190.00 price objective on the stock. JPMorgan Chase & Co. boosted their target price on shares of Steel Dynamics from $192.00 to $205.00 and gave the company a "neutral" rating in a research note on Tuesday, April 14th. Morgan Stanley reiterated an "underperform" rating and issued a $190.00 target price on shares of Steel Dynamics in a research note on Tuesday, March 17th. Jefferies Financial Group reiterated a "buy" rating on shares of Steel Dynamics in a research note on Tuesday, March 17th. Finally, Wall Street Zen upgraded shares of Steel Dynamics from a "hold" rating to a "buy" rating in a research note on Saturday. Five research analysts have rated the stock with a Buy rating, four have assigned a Hold rating and one has issued a Sell rating to the company's stock. According to MarketBeat, the company has a consensus rating of "Hold" and an average target price of $185.11.

Steel Dynamics Price Performance

Shares of STLD stock opened at $200.32 on Friday. The company has a debt-to-equity ratio of 0.48, a current ratio of 3.06 and a quick ratio of 1.29. The firm's 50-day moving average is $185.69 and its two-hundred day moving average is $171.97. Steel Dynamics, Inc. has a 12 month low of $112.72 and a 12 month high of $208.47. The company has a market capitalization of $28.99 billion, a PE ratio of 25.01, a price-to-earnings-growth ratio of 0.52 and a beta of 1.39.

Steel Dynamics (NASDAQ:STLD - Get Free Report) last announced its quarterly earnings results on Tuesday, January 27th. The basic materials company reported $1.82 earnings per share for the quarter, beating analysts' consensus estimates of $1.72 by $0.10. Steel Dynamics had a net margin of 6.52% and a return on equity of 13.56%. The business had revenue of $4.41 billion during the quarter, compared to analysts' expectations of $4.62 billion. During the same period last year, the business earned $1.36 earnings per share. The business's revenue for the quarter was up 14.0% on a year-over-year basis. Analysts predict that Steel Dynamics, Inc. will post 9.01 earnings per share for the current year.

Steel Dynamics Increases Dividend

The business also recently declared a quarterly dividend, which was paid on Friday, April 10th. Shareholders of record on Tuesday, March 31st were given a dividend of $0.53 per share. This is a boost from Steel Dynamics's previous quarterly dividend of $0.50. This represents a $2.12 dividend on an annualized basis and a dividend yield of 1.1%. The ex-dividend date was Tuesday, March 31st. Steel Dynamics's dividend payout ratio (DPR) is 26.47%.

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.

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.