Steel Dynamics, Inc. (NASDAQ:STLD) Given Consensus Rating of “Moderate Buy” by Analysts

Steel Dynamics, Inc. (NASDAQ:STLD) has been given an average rating of “Moderate Buy” by the twelve ratings firms that are covering the firm, Marketbeat.com reports. Five investment analysts have rated the stock with a hold recommendation, six have given a buy recommendation and one has given a strong buy recommendation to the company. The average 12 month price target among brokers that have issued ratings on the stock in the last year is $236.3636.

A number of brokerages have recently issued reports on STLD. Wells Fargo & Company reduced their price objective on shares of Steel Dynamics from $293.00 to $291.00 and set an “overweight” rating for the company in a research note on Thursday, June 18th. Jefferies Financial Group restated a “buy” rating on shares of Steel Dynamics in a research note on Tuesday, March 17th. Morgan Stanley upped their target price on shares of Steel Dynamics from $227.00 to $270.00 and gave the stock an “equal weight” rating in a report on Monday, June 22nd. Weiss Ratings upgraded Steel Dynamics from a “buy (b-)” rating to a “buy (b)” rating in a research note on Thursday, June 18th. Finally, BMO Capital Markets raised their price target on Steel Dynamics from $195.00 to $240.00 and gave the company an “outperform” rating in a report on Wednesday, April 22nd.

Steel Dynamics Stock Performance

Steel Dynamics stock opened at $220.39 on Friday. The firm has a 50 day moving average of $245.84 and a 200 day moving average of $204.81. The firm has a market capitalization of $31.89 billion, a price-to-earnings ratio of 23.57, a P/E/G ratio of 0.43 and a beta of 1.53. Steel Dynamics has a 12-month low of $119.89 and a 12-month high of $288.74. The company has a current ratio of 3.13, a quick ratio of 1.33 and a debt-to-equity ratio of 0.46.

Steel Dynamics (NASDAQ:STLD) last released its earnings results on Tuesday, April 21st. The basic materials company reported $2.78 EPS for the quarter, missing analysts’ consensus estimates of $2.79 by ($0.01). Steel Dynamics had a return on equity of 15.54% and a net margin of 7.22%.The firm had revenue of $5.20 billion for the quarter, compared to the consensus estimate of $5.39 billion. During the same quarter in the previous year, the business posted $1.44 EPS. Steel Dynamics’s revenue was up 19.1% on a year-over-year basis. As a group, research analysts predict that Steel Dynamics will post 16.78 earnings per share for the current year.

Steel Dynamics Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Friday, July 10th. Investors of record on Tuesday, June 30th will be given a dividend of $0.53 per share. The ex-dividend date is Tuesday, June 30th. This represents a $2.12 annualized dividend and a dividend yield of 1.0%. Steel Dynamics’s dividend payout ratio (DPR) is currently 22.67%.

Insiders Place Their Bets

In other Steel Dynamics news, SVP Miguel Alvarez sold 4,825 shares of the company’s stock in a transaction that occurred on Thursday, April 23rd. The stock was sold at an average price of $225.58, for a total value of $1,088,423.50. Following the completion of the transaction, the senior vice president directly owned 122,257 shares in the company, valued at $27,578,734.06. This represents a 3.80% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through the SEC website. Also, Director Kenneth W. Cornew sold 5,000 shares of the stock in a transaction that occurred on Thursday, April 23rd. The shares were sold at an average price of $224.87, for a total transaction of $1,124,350.00. Following the sale, the director directly owned 31,299 shares of the company’s stock, valued at approximately $7,038,206.13. This trade represents a 13.77% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold a total of 22,125 shares of company stock worth $5,438,226 over the last quarter. Company insiders own 6.60% of the company’s stock.

Hedge Funds Weigh In On Steel Dynamics

Several hedge funds have recently modified their holdings of STLD. NewEdge Advisors LLC increased its holdings in Steel Dynamics by 307.5% in the 1st quarter. NewEdge Advisors LLC now owns 819 shares of the basic materials company’s stock valued at $102,000 after acquiring an additional 618 shares during the last quarter. Acadian Asset Management LLC boosted its holdings in shares of Steel Dynamics by 82.7% during the 1st quarter. Acadian Asset Management LLC now owns 3,485 shares of the basic materials company’s stock valued at $435,000 after purchasing an additional 1,578 shares during the last quarter. Jump Financial LLC bought a new position in shares of Steel Dynamics during the 2nd quarter valued at about $1,019,000. Qube Research & Technologies Ltd purchased a new position in shares of Steel Dynamics during the second quarter valued at about $48,746,000. Finally, Sei Investments Co. grew its position in shares of Steel Dynamics by 7.9% during the second quarter. Sei Investments Co. now owns 105,051 shares of the basic materials company’s stock valued at $13,447,000 after purchasing an additional 7,712 shares in the last quarter. Hedge funds and other institutional investors own 82.41% of the company’s stock.

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.