Analysts Set Gerdau S.A. (NYSE:GGB) PT at $4.60

Gerdau S.A. (NYSE:GGB) has earned a consensus rating of “Moderate Buy” from the six brokerages that are presently covering the firm, Marketbeat.com reports. Three research analysts have rated the stock with a hold recommendation, two have issued a buy recommendation and one has issued a strong buy recommendation on the company. The average 1-year price objective among analysts that have updated their coverage on the stock in the last year is $4.60.

GGB has been the topic of a number of research analyst reports. UBS Group increased their price target on shares of Gerdau from $4.40 to $4.60 and gave the stock a “buy” rating in a report on Thursday. Scotiabank raised shares of Gerdau from a “hold” rating to a “strong-buy” rating in a report on Thursday, March 26th. Weiss Ratings reiterated a “hold (c)” rating on shares of Gerdau in a research report on Friday, March 27th. Finally, Itau BBA Securities raised Gerdau from a “market perform” rating to an “outperform” rating and set a $4.60 target price on the stock in a research note on Wednesday.

Gerdau Stock Down 0.1%

Shares of NYSE GGB opened at $3.78 on Wednesday. Gerdau has a 12 month low of $2.27 and a 12 month high of $4.66. The company has a current ratio of 2.89, a quick ratio of 1.40 and a debt-to-equity ratio of 0.26. The firm has a market capitalization of $7.54 billion, a price-to-earnings ratio of 31.46, a PEG ratio of 1.07 and a beta of 1.44. The business has a 50-day moving average of $3.88 and a 200-day moving average of $3.67.

Gerdau (NYSE:GGB) last announced its earnings results on Tuesday, February 24th. The basic materials company reported $0.07 earnings per share for the quarter, missing analysts’ consensus estimates of $0.11 by ($0.04). Gerdau had a net margin of 1.93% and a return on equity of 6.20%. The company had revenue of $3.08 billion during the quarter, compared to analysts’ expectations of $3.12 billion. Sell-side analysts expect that Gerdau will post 0.46 earnings per share for the current fiscal year.

Gerdau Cuts Dividend

The company also recently disclosed a quarterly dividend, which was paid on Wednesday, March 25th. Stockholders of record on Thursday, March 12th were given a dividend of $0.0194 per share. The ex-dividend date was Thursday, March 12th. This represents a $0.08 annualized dividend and a dividend yield of 2.1%. Gerdau’s dividend payout ratio is 50.00%.

Insider Buying and Selling at Gerdau

In related news, Chairman Guilherme Chagas G. Johannpeter sold 85,607 shares of the firm’s stock in a transaction dated Friday, March 20th. The stock was sold at an average price of $3.29, for a total transaction of $281,647.03. The sale was disclosed in a legal filing with the SEC, which is available through this link. Corporate insiders own 0.02% of the company’s stock.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently bought and sold shares of the business. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. raised its stake in shares of Gerdau by 68.9% during the second quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 9,634 shares of the basic materials company’s stock worth $28,000 after acquiring an additional 3,931 shares in the last quarter. EverSource Wealth Advisors LLC boosted its stake in shares of Gerdau by 95.3% in the 2nd quarter. EverSource Wealth Advisors LLC now owns 10,687 shares of the basic materials company’s stock valued at $31,000 after purchasing an additional 5,216 shares in the last quarter. Wealthstream Advisors Inc. bought a new position in shares of Gerdau during the 3rd quarter valued at $32,000. Aster Capital Management DIFC Ltd bought a new position in shares of Gerdau during the 3rd quarter valued at $34,000. Finally, Caitong International Asset Management Co. Ltd purchased a new position in Gerdau in the 3rd quarter worth $34,000. 1.49% of the stock is currently owned by institutional investors.

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.