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

Steel Dynamics, Inc. (NASDAQ:STLD) has earned an average rating of “Moderate Buy” from the ten analysts that are currently covering the stock, MarketBeat Ratings reports. Five research analysts have rated the stock with a hold recommendation and five have given a buy recommendation to the company. The average 12 month price objective among analysts that have updated their coverage on the stock in the last year is $182.00.

STLD has been the subject of a number of research analyst reports. Morgan Stanley restated an “equal weight” rating and issued a $194.00 target price (up from $173.00) on shares of Steel Dynamics in a research note on Friday, January 9th. KeyCorp restated an “overweight” rating and issued a $190.00 price objective on shares of Steel Dynamics in a research note on Wednesday, January 7th. JPMorgan Chase & Co. lifted their target price on Steel Dynamics from $165.00 to $190.00 and gave the stock a “neutral” rating in a report on Friday, December 5th. Jefferies Financial Group increased their price target on shares of Steel Dynamics from $180.00 to $190.00 and gave the stock a “buy” rating in a report on Wednesday, December 10th. Finally, Wall Street Zen raised shares of Steel Dynamics from a “hold” rating to a “strong-buy” rating in a research report on Saturday, January 31st.

Institutional Investors Weigh In On Steel Dynamics

Hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Prosperity Bancshares Inc purchased a new position in shares of Steel Dynamics in the 4th quarter valued at $25,000. Cornerstone Planning Group LLC grew its holdings in shares of Steel Dynamics by 1,636.4% during the third quarter. Cornerstone Planning Group LLC now owns 191 shares of the basic materials company’s stock worth $27,000 after purchasing an additional 180 shares during the last quarter. MV Capital Management Inc. acquired a new stake in shares of Steel Dynamics during the fourth quarter worth about $27,000. Sound Income Strategies LLC lifted its holdings in shares of Steel Dynamics by 1,500.0% in the 4th quarter. Sound Income Strategies LLC now owns 160 shares of the basic materials company’s stock valued at $28,000 after purchasing an additional 150 shares during the last quarter. Finally, DV Equities LLC purchased a new stake in shares of Steel Dynamics in the 4th quarter valued at about $33,000. 82.41% of the stock is owned by institutional investors and hedge funds.

Steel Dynamics Price Performance

Shares of STLD stock opened at $193.13 on Monday. Steel Dynamics has a fifty-two week low of $103.17 and a fifty-two week high of $208.47. The firm has a market capitalization of $28.20 billion, a price-to-earnings ratio of 24.11, a PEG ratio of 0.52 and a beta of 1.43. The company has a debt-to-equity ratio of 0.48, a quick ratio of 1.29 and a current ratio of 3.06. The stock’s 50-day simple moving average is $182.38 and its 200-day simple moving average is $160.25.

Steel Dynamics (NASDAQ:STLD) last released its earnings results on Tuesday, January 27th. The basic materials company reported $1.82 earnings per share for the quarter, topping the consensus estimate of $1.72 by $0.10. The company had revenue of $4.41 billion for the quarter, compared to the consensus estimate of $4.62 billion. Steel Dynamics had a net margin of 6.52% and a return on equity of 13.56%. Steel Dynamics’s revenue was up 14.0% compared to the same quarter last year. During the same quarter in the previous year, the firm earned $1.36 EPS. As a group, equities analysts forecast that Steel Dynamics will post 9.01 earnings per share for the current fiscal year.

Steel Dynamics Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Friday, April 10th. Investors of record on Tuesday, March 31st will be issued a dividend of $0.53 per share. This represents a $2.12 annualized dividend and a dividend yield of 1.1%. This is a boost from Steel Dynamics’s previous quarterly dividend of $0.50. The ex-dividend date of this dividend is Tuesday, March 31st. Steel Dynamics’s dividend payout ratio is 24.97%.

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.