Price T Rowe Associates Inc. MD Grows Stock Position in Steel Dynamics, Inc. $STLD

Key Points

• Price T Rowe Associates Inc. MD increased its stake in Steel Dynamics, Inc. by 25.5%, acquiring 1,437,897 additional shares during the first quarter, bringing its total holdings to approximately 7 million shares valued at $883.85 million.
• Steel Dynamics has a market capitalization of $18.51 billion and recently reported a quarterly revenue of $4.57 billion, which was below analysts' expectations, resulting in a miss of earnings per share estimates.
• The company declared a quarterly dividend of $0.50 per share, with the dividend yield standing at 1.6%, and the ex-dividend date is set for September 30th.

Price T Rowe Associates Inc. MD grew its holdings in shares of Steel Dynamics, Inc. (NASDAQ:STLD - Free Report) by 25.5% during the 1st quarter, according to its most recent Form 13F filing with the SEC. The firm owned 7,066,300 shares of the basic materials company's stock after buying an additional 1,437,897 shares during the period. Price T Rowe Associates Inc. MD owned 4.71% of Steel Dynamics worth $883,854,000 as of its most recent SEC filing.

Other hedge funds and other institutional investors also recently added to or reduced their stakes in the company. Victory Capital Management Inc. lifted its holdings in shares of Steel Dynamics by 433.1% during the first quarter. Victory Capital Management Inc. now owns 1,816,525 shares of the basic materials company's stock valued at $227,211,000 after purchasing an additional 1,475,767 shares in the last quarter. Robeco Institutional Asset Management B.V. grew its position in shares of Steel Dynamics by 531.0% during the first quarter. Robeco Institutional Asset Management B.V. now owns 1,191,669 shares of the basic materials company's stock worth $149,054,000 after purchasing an additional 1,002,813 shares in the last quarter. Nuveen LLC bought a new position in Steel Dynamics during the first quarter valued at approximately $62,470,000. GAMMA Investing LLC boosted its stake in Steel Dynamics by 18,398.4% during the first quarter. GAMMA Investing LLC now owns 447,661 shares of the basic materials company's stock valued at $55,993,000 after buying an additional 445,241 shares during the last quarter. Finally, Northern Trust Corp boosted its holdings in shares of Steel Dynamics by 17.1% in the 4th quarter. Northern Trust Corp now owns 1,775,286 shares of the basic materials company's stock worth $202,507,000 after purchasing an additional 259,361 shares during the period. 82.41% of the stock is owned by hedge funds and other institutional investors.

Steel Dynamics Stock Performance

NASDAQ STLD traded up $0.80 during trading hours on Wednesday, reaching $132.53. The company's stock had a trading volume of 172,944 shares, compared to its average volume of 1,609,838. The business has a 50-day simple moving average of $129.12 and a 200 day simple moving average of $128.26. The stock has a market cap of $19.51 billion, a PE ratio of 19.33, a PEG ratio of 1.08 and a beta of 1.38. The company has a current ratio of 3.13, a quick ratio of 1.34 and a debt-to-equity ratio of 0.43. Steel Dynamics, Inc. has a 52 week low of $103.17 and a 52 week high of $155.56.

Steel Dynamics (NASDAQ:STLD - Get Free Report) last posted its quarterly earnings data on Monday, July 21st. The basic materials company reported $2.01 earnings per share for the quarter, missing the consensus estimate of $2.05 by ($0.04). The firm had revenue of $4.57 billion for the quarter, compared to analysts' expectations of $4.82 billion. Steel Dynamics had a return on equity of 11.88% and a net margin of 6.07%.The company's revenue for the quarter was down 1.5% on a year-over-year basis. During the same quarter in the previous year, the firm posted $2.72 earnings per share. Equities research analysts predict that Steel Dynamics, Inc. will post 9.01 earnings per share for the current fiscal year.

Steel Dynamics Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Friday, October 10th. Stockholders of record on Tuesday, September 30th will be given a $0.50 dividend. This represents a $2.00 dividend on an annualized basis and a dividend yield of 1.5%. The ex-dividend date of this dividend is Tuesday, September 30th. Steel Dynamics's dividend payout ratio (DPR) is 29.15%.

Wall Street Analysts Forecast Growth

A number of equities research analysts have weighed in on STLD shares. JPMorgan Chase & Co. lifted their target price on Steel Dynamics from $138.00 to $150.00 and gave the company a "neutral" rating in a research report on Monday, July 14th. Morgan Stanley raised their target price on Steel Dynamics from $140.00 to $145.00 and gave the company an "overweight" rating in a research report on Friday, June 20th. Finally, Wells Fargo & Company raised Steel Dynamics to a "strong-buy" rating in a report on Thursday, August 14th. One research analyst has rated the stock with a Strong Buy rating, eight have assigned a Buy rating and three have issued a Hold rating to the company. According to MarketBeat.com, the company presently has an average rating of "Moderate Buy" and an average price target of $148.70.

Insider Transactions at Steel Dynamics

In other Steel Dynamics news, Director Gabriel Shaheen sold 1,254 shares of the stock in a transaction that occurred on Friday, June 6th. The shares were sold at an average price of $134.11, for a total transaction of $168,173.94. Following the transaction, the director owned 81,812 shares in the company, valued at $10,971,807.32. This represents a 1.51% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, SVP Christopher A. Graham sold 12,000 shares of the business's stock in a transaction that occurred on 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 sale, the senior vice president directly owned 66,738 shares in the company, valued at $8,456,371.98. The trade was a 15.24% decrease in their ownership of the stock. The disclosure for this sale can be found here. Company insiders own 6.30% of the company's stock.

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.