Seaport Res Ptn Lowers Earnings Estimates for Steel Dynamics

Key Points

• Seaport Res Ptn has lowered its Q1 2026 earnings per share estimate for Steel Dynamics to $3.04, down from $3.15, indicating a need for investors to reassess expectations.
• In its latest earnings report, Steel Dynamics missed consensus estimates with earnings of $2.01 per share while revenue fell 1.5% year-over-year to $4.57 billion.
• Despite the earnings downgrade, several analysts have issued positive ratings for Steel Dynamics, with target prices ranging from $145 to $150, reflecting confidence in the company's long-term prospects.

Steel Dynamics, Inc. (NASDAQ:STLD - Free Report) - Equities researchers at Seaport Res Ptn cut their Q1 2026 EPS estimates for shares of Steel Dynamics in a research note issued to investors on Wednesday, September 10th. Seaport Res Ptn analyst M. Englert now forecasts that the basic materials company will earn $3.04 per share for the quarter, down from their previous forecast of $3.15. The consensus estimate for Steel Dynamics' current full-year earnings is $9.01 per share.

Steel Dynamics (NASDAQ:STLD - Get Free Report) last issued 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). Steel Dynamics had a return on equity of 11.88% and a net margin of 6.07%.The business had revenue of $4.57 billion during the quarter, compared to the consensus estimate of $4.82 billion. During the same quarter last year, the company earned $2.72 EPS. Steel Dynamics's revenue for the quarter was down 1.5% on a year-over-year basis.

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

Steel Dynamics Price Performance

NASDAQ STLD opened at $132.72 on Thursday. Steel Dynamics has a 12 month low of $103.17 and a 12 month high of $155.56. The stock has a market cap of $19.54 billion, a price-to-earnings ratio of 19.35, a PEG ratio of 1.05 and a beta of 1.40. The company's 50 day moving average is $129.57 and its two-hundred day moving average is $128.08. 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 Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Friday, October 10th. Investors of record on Tuesday, September 30th will be given a $0.50 dividend. This represents a $2.00 annualized dividend and a yield of 1.5%. The ex-dividend date is Tuesday, September 30th. Steel Dynamics's payout ratio is currently 29.15%.

Insiders Place Their Bets

In related news, SVP Christopher A. Graham sold 12,000 shares of the business's stock in a transaction on Wednesday, July 30th. The shares were sold at an average price of $126.71, for a total value of $1,520,520.00. Following the sale, the senior vice president owned 66,738 shares in the company, valued at approximately $8,456,371.98. The trade was a 15.24% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Corporate insiders own 6.30% of the company's stock.

Hedge Funds Weigh In On Steel Dynamics

A number of large investors have recently made changes to their positions in STLD. State Street Corp grew its holdings in Steel Dynamics by 3.3% during the 2nd quarter. State Street Corp now owns 7,300,813 shares of the basic materials company's stock valued at $938,196,000 after purchasing an additional 230,582 shares during the last quarter. Price T Rowe Associates Inc. MD grew its holdings in Steel Dynamics by 25.5% during the 1st quarter. Price T Rowe Associates Inc. MD now owns 7,066,300 shares of the basic materials company's stock valued at $883,854,000 after purchasing an additional 1,437,897 shares during the last quarter. Norges Bank bought a new position in Steel Dynamics during the 2nd quarter valued at about $339,769,000. Nordea Investment Management AB grew its holdings in Steel Dynamics by 43.3% during the 2nd quarter. Nordea Investment Management AB now owns 2,088,372 shares of the basic materials company's stock valued at $271,238,000 after purchasing an additional 630,935 shares during the last quarter. Finally, Victory Capital Management Inc. grew its holdings in Steel Dynamics by 433.1% during the 1st 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 during the last quarter. 82.41% of the stock is owned by hedge funds and other institutional investors.

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.

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