Worthington Steel (NYSE:WS) Stock Rating Lowered by Wall Street Zen

Key Points

• Wall Street Zen downgraded Worthington Steel from a "buy" to a "hold," and MarketBeat data shows a consensus rating of Hold with a $46.00 consensus price target (one Buy, two Hold ratings overall).
• On March 26 the company missed earnings estimates, reporting $0.27 EPS vs. $0.47 expected and $769.8M revenue vs. $882.95M expected, though revenue was up 12% year-over-year.
• Company insiders increased their holdings (e.g., purchases by directors Scott J. Kelly and Jon J. Bowsher), institutional investors own about 45.4%, and the stock trades with a $1.78B market cap and a one‑year range of $23.10–$49.17.

Worthington Steel (NYSE:WS - Get Free Report) was downgraded by stock analysts at Wall Street Zen from a "buy" rating to a "hold" rating in a research report issued on Saturday.

A number of other research firms have also commented on WS. KeyCorp started coverage on Worthington Steel in a research note on Wednesday, March 25th. They set an "overweight" rating and a $46.00 price objective on the stock. Weiss Ratings restated a "hold (c)" rating on shares of Worthington Steel in a research note on Wednesday, January 21st. Finally, Zacks Research upgraded Worthington Steel from a "strong sell" rating to a "hold" rating in a research note on Monday, February 16th. One analyst has rated the stock with a Buy rating and two have assigned a Hold rating to the company's stock. Based on data from MarketBeat.com, Worthington Steel currently has a consensus rating of "Hold" and a consensus price target of $46.00.

Worthington Steel Stock Performance

NYSE:WS opened at $35.07 on Friday. The stock has a market cap of $1.78 billion, a P/E ratio of 20.63 and a beta of 2.06. The stock has a 50 day simple moving average of $38.13 and a 200 day simple moving average of $35.44. The company has a current ratio of 1.48, a quick ratio of 0.90 and a debt-to-equity ratio of 0.03. Worthington Steel has a 1-year low of $23.10 and a 1-year high of $49.17.

Worthington Steel (NYSE:WS - Get Free Report) last released its quarterly earnings results on Thursday, March 26th. The company reported $0.27 earnings per share for the quarter, missing the consensus estimate of $0.47 by ($0.20). The firm had revenue of $769.80 million for the quarter, compared to analyst estimates of $882.95 million. Worthington Steel had a return on equity of 10.12% and a net margin of 3.64%.The business's revenue for the quarter was up 12.0% on a year-over-year basis. During the same period in the previous year, the business posted $0.35 earnings per share. Research analysts anticipate that Worthington Steel will post 2.26 earnings per share for the current year.

Insiders Place Their Bets

In related news, Director Scott J. Kelly acquired 7,000 shares of the stock in a transaction on Tuesday, January 27th. The shares were purchased at an average price of $39.11 per share, for a total transaction of $273,770.00. Following the purchase, the director directly owned 16,157 shares in the company, valued at approximately $631,900.27. The trade was a 76.44% increase in their ownership of the stock. The purchase was disclosed in a legal filing with the SEC, which is available through this hyperlink. Also, Director Jon J. Bowsher purchased 2,500 shares of the firm's stock in a transaction dated Friday, January 30th. The stock was acquired at an average price of $40.15 per share, for a total transaction of $100,375.00. Following the purchase, the director owned 17,893 shares in the company, valued at approximately $718,403.95. The trade was a 16.24% increase in their position. The disclosure for this purchase is available in the SEC filing. 2.60% of the stock is owned by company insiders.

Hedge Funds Weigh In On Worthington Steel

Hedge funds and other institutional investors have recently modified their holdings of the business. Rockefeller Capital Management L.P. increased its stake in shares of Worthington Steel by 1,239.3% in the 4th quarter. Rockefeller Capital Management L.P. now owns 750 shares of the company's stock valued at $26,000 after purchasing an additional 694 shares during the last quarter. Hantz Financial Services Inc. increased its stake in shares of Worthington Steel by 56.4% in the 4th quarter. Hantz Financial Services Inc. now owns 910 shares of the company's stock valued at $32,000 after purchasing an additional 328 shares during the last quarter. MAI Capital Management increased its stake in shares of Worthington Steel by 39.8% in the 3rd quarter. MAI Capital Management now owns 1,404 shares of the company's stock valued at $43,000 after purchasing an additional 400 shares during the last quarter. Torren Management LLC bought a new position in shares of Worthington Steel in the 4th quarter valued at $48,000. Finally, Caldwell Trust Co bought a new position in shares of Worthington Steel in the 2nd quarter valued at $52,000. Institutional investors own 45.41% of the company's stock.

About Worthington Steel

Worthington Steel NYSE: WS is a leading North American steel processor specializing in the production of flat-rolled, coated and painted sheet and coil products. Operating as a wholly owned subsidiary of Worthington Industries, the company serves a broad range of industries, including construction, automotive, appliance, energy and agricultural equipment. Its core business activities encompass the processing, finishing and distribution of carbon and advanced high-strength steels, aluminum and stainless products to manufacturers across the continent.

The company’s product portfolio includes hot-dip galvanizing, galvannealed, aluminized and pre-painted steel products, as well as cold-rolled and hot-rolled coil.

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