Capital International Inc. CA Sells 428,477 Shares of Gerdau S.A. $GGB

Capital International Inc. CA lessened its holdings in shares of Gerdau S.A. (NYSE:GGB) by 66.5% during the 3rd quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The fund owned 216,167 shares of the basic materials company’s stock after selling 428,477 shares during the quarter. Capital International Inc. CA’s holdings in Gerdau were worth $670,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

A number of other hedge funds have also recently modified their holdings of the business. Capital International Investors increased its stake in shares of Gerdau by 1.9% in the 3rd quarter. Capital International Investors now owns 31,046,243 shares of the basic materials company’s stock worth $96,243,000 after purchasing an additional 581,958 shares in the last quarter. Bank of America Corp DE raised its holdings in Gerdau by 162.6% in the 2nd quarter. Bank of America Corp DE now owns 12,984,389 shares of the basic materials company’s stock worth $37,914,000 after purchasing an additional 8,039,814 shares during the period. Causeway Capital Management LLC lifted its position in Gerdau by 169.2% during the third quarter. Causeway Capital Management LLC now owns 7,189,270 shares of the basic materials company’s stock valued at $22,287,000 after purchasing an additional 4,519,092 shares in the last quarter. Donald Smith & CO. Inc. purchased a new position in Gerdau during the second quarter valued at $17,440,000. Finally, Optiver Holding B.V. grew its holdings in Gerdau by 47.6% during the third quarter. Optiver Holding B.V. now owns 5,435,331 shares of the basic materials company’s stock valued at $16,850,000 after purchasing an additional 1,752,282 shares during the period. Institutional investors own 1.49% of the company’s stock.

Gerdau Price Performance

NYSE:GGB opened at $3.60 on Thursday. The business’s 50-day simple moving average is $4.09 and its two-hundred day simple moving average is $3.63. Gerdau S.A. has a 52 week low of $2.27 and a 52 week high of $4.66. The stock has a market cap of $7.18 billion, a PE ratio of 29.97, a P/E/G ratio of 1.03 and a beta of 1.46. The company has a quick ratio of 1.40, a current ratio of 2.89 and a debt-to-equity ratio of 0.26.

Gerdau (NYSE:GGB) last released its quarterly earnings data on Monday, February 23rd. The basic materials company reported $0.07 earnings per share for the quarter, missing analysts’ consensus estimates of $0.11 by ($0.04). The business had revenue of $3.08 billion during the quarter, compared to the consensus estimate of $3.12 billion. Gerdau had a return on equity of 6.20% and a net margin of 1.93%. As a group, analysts forecast that Gerdau S.A. will post 0.46 EPS for the current fiscal year.

Gerdau Cuts Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Wednesday, March 25th. Shareholders of record on Thursday, March 12th will be issued a dividend of $0.0194 per share. This represents a $0.08 dividend on an annualized basis and a yield of 2.2%. The ex-dividend date of this dividend is Thursday, March 12th. Gerdau’s dividend payout ratio (DPR) is 166.67%.

Analyst Ratings Changes

GGB has been the subject of a number of analyst reports. UBS Group restated a “buy” rating and issued a $4.60 price target (up from $4.00) on shares of Gerdau in a research report on Monday, December 15th. Weiss Ratings reaffirmed a “hold (c)” rating on shares of Gerdau in a research report on Monday, December 29th. Finally, Zacks Research raised shares of Gerdau from a “strong sell” rating to a “hold” rating in a report on Tuesday, November 18th. One analyst has rated the stock with a Buy rating and three have issued a Hold rating to the stock. Based on data from MarketBeat.com, the company currently has an average rating of “Hold” and an average price target of $4.60.

Gerdau Company Profile

Gerdau SA is a Brazilian-based steel producer engaged in the manufacture and distribution of long steel products for the construction, industrial and agricultural sectors. Established in 1901, the company operates an integrated network of electric-arc furnaces and rolling mills, producing reinforcement bars, wire rod, merchant bars and structural shapes. Gerdau’s product portfolio also includes specialty long steel, high-yield reinforcement, rail, beams and steel coils, as well as value-added processing services such as cutting, bending and coating.

The company has expanded its footprint beyond Brazil, with significant operations in North America, South America and a presence in select European markets.