Steel Dynamics, Inc., together with its subsidiaries, operates as a steel producer and metal recycler in the United States. It operates through three segments: Steel Operations, Metals Recycling Operations, and Steel Fabrication Operations. The Steel Operations segment offers hot roll, cold roll, and coated steel products; parallel flange beams and channel sections, flat bars, large unequal leg angles, and reinforcing bars, as well as standard strength carbon, intermediate alloy hardness, and premium grade rail products; and engineered special-bar-quality products, merchant-bar-quality products, and other engineered round steel bars. The company also engages in turning, polishing, straightening, chamfering, threading, precision saw-cutting, and heat treating of bar products; and cutting to length, straightening, hole punching, shot blasting, welding, galvanizing, and coating of specialty products. Its products are used in construction, automotive, manufacturing, transportation, heavy and agriculture equipment, and pipe and tube markets. This segment sells directly to end-users, steel fabricators, and service centers. The Metals Recycling Operations segment purchases, processes, and resells ferrous and nonferrous scrap metals into reusable forms and grades. Its ferrous products include heavy melting steel, busheling, bundled scrap, shredded scrap, steel turnings, and cast-iron products; and nonferrous products comprise aluminum, brass, copper, stainless steel, and other nonferrous metals. This segment also provides transportation logistics, marketing, brokerage, and scrap management services. The Steel Fabrication Operations segment produces non-residential steel building components, such as steel joists, girders, trusses, and steel deck products. The company also exports its products. Steel Dynamics, Inc. was incorporated in 1993 and is headquartered in Fort Wayne, Indiana.
Wall Street Analyst Weigh In
Several equities analysts have recently weighed in on the stock. UBS Group set a $95.00 target price on shares of Steel Dynamics in a research note on Monday, June 20th. The Goldman Sachs Group cut shares of Steel Dynamics from a "buy" rating to a "neutral" rating and lowered their target price for the company from $114.00 to $92.00 in a report on Tuesday, May 31st. BMO Capital Markets raised their price target on Steel Dynamics from $95.00 to $104.00 in a report on Friday, April 22nd. JPMorgan Chase & Co. reduced their price target on Steel Dynamics from $129.00 to $110.00 in a research report on Tuesday, June 14th. Finally, Morgan Stanley dropped their price objective on Steel Dynamics from $94.00 to $78.00 and set an "equal weight" rating on the stock in a report on Wednesday, July 6th. One investment analyst has rated the stock with a sell rating, two have issued a hold rating and five have assigned a buy rating to the company's stock. Based on data from MarketBeat.com, the stock has an average rating of "Moderate Buy" and an average price target of $89.00.
Steel Dynamics Trading Up 1.3 %
Shares of STLD opened at $84.65 on Wednesday. The business's 50-day moving average price is $71.98 and its 200-day moving average price is $75.63. Steel Dynamics has a twelve month low of $50.54 and a twelve month high of $100.37. The stock has a market cap of $15.46 billion, a PE ratio of 3.76 and a beta of 1.41. The company has a quick ratio of 1.87, a current ratio of 3.52 and a debt-to-equity ratio of 0.41.
Steel Dynamics (NASDAQ:STLD - Get Rating) last announced its quarterly earnings results on Wednesday, July 20th. The basic materials company reported $6.73 earnings per share for the quarter, beating the consensus estimate of $6.34 by $0.39. Steel Dynamics had a return on equity of 71.50% and a net margin of 19.81%. The firm had revenue of $6.21 billion for the quarter, compared to analysts' expectations of $5.93 billion. During the same period in the prior year, the business posted $3.40 earnings per share. The company's revenue was up 39.1% on a year-over-year basis. On average, equities analysts forecast that Steel Dynamics will post 21.07 EPS for the current fiscal year.
Insider Activity
In related news, Director Keith E. Busse sold 5,040 shares of Steel Dynamics stock in a transaction on Friday, June 3rd. The shares were sold at an average price of $83.51, for a total value of $420,890.40. Following the transaction, the director now owns 724,034 shares in the company, valued at approximately $60,464,079.34. The sale was disclosed in a filing with the SEC, which is available through the SEC website. Corporate insiders own 5.40% of the company's stock.