Steel Dynamics, Inc. $STLD Stock: Ritholtz Wealth Management Increases Holdings

Ritholtz Wealth Management lifted its stake in Steel Dynamics, Inc. (NASDAQ:STLD) by 57.7% during the 3rd quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission. The fund owned 8,875 shares of the basic materials company’s stock after acquiring an additional 3,246 shares during the period. Ritholtz Wealth Management’s holdings in Steel Dynamics were worth $1,967,000 at the end of the most recent reporting period.

A number of other institutional investors and hedge funds have also bought and sold shares of the stock. BlackRock Inc. acquired a new position in Steel Dynamics during the 2nd quarter valued at $2,844,501,000. Bank of America Corp DE acquired a new stake in Steel Dynamics in the 2nd quarter worth $264,212,000. Bank of New York Mellon Corp acquired a new stake in Steel Dynamics in the 2nd quarter worth $211,159,000. Deutsche Bank AG acquired a new stake in Steel Dynamics in the 2nd quarter worth $126,579,000. Finally, Sapient Capital LLC increased its holdings in shares of Steel Dynamics by 34.6% during the 2nd quarter. Sapient Capital LLC now owns 447,664 shares of the basic materials company’s stock worth $102,958,000 after purchasing an additional 115,080 shares during the period. Institutional investors own 82.41% of the company’s stock.

Wall Street Analysts Forecast Growth

STLD has been the subject of a number of research analyst reports. Wall Street Zen lowered shares of Steel Dynamics from a “strong-buy” rating to a “buy” rating in a research report on Sunday, September 20th. JPMorgan Chase & Co. reduced their target price on shares of Steel Dynamics from $272.00 to $260.00 and set a “neutral” rating for the company in a research note on Friday, October 9th. BNP Paribas Exane lifted their target price on Steel Dynamics from $275.00 to $276.00 and gave the stock an “outperform” rating in a research report on Wednesday, October 21st. BMO Capital Markets decreased their target price on Steel Dynamics from $296.00 to $290.00 and set an “outperform” rating on the stock in a research report on Tuesday, September 29th. Finally, Wells Fargo & Company boosted their price target on Steel Dynamics from $257.00 to $271.00 and gave the company an “overweight” rating in a research note on Wednesday, October 21st. Nine investment analysts have rated the stock with a Buy rating and four have given a Hold rating to the stock. According to MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and an average price target of $276.83.

Steel Dynamics Stock Performance

STLD traded down $7.68 during trading on Friday, reaching $229.43. 699,941 shares of the company’s stock were exchanged, compared to its average volume of 1,060,069. Steel Dynamics, Inc. has a fifty-two week low of $151.21 and a fifty-two week high of $288.74. The company has a quick ratio of 1.48, a current ratio of 3.14 and a debt-to-equity ratio of 0.43. The business has a 50 day moving average price of $237.86 and a 200 day moving average price of $226.29. The company has a market capitalization of $32.63 billion, a P/E ratio of 16.93, a PEG ratio of 0.34 and a beta of 1.45.

Steel Dynamics (NASDAQ:STLD) last announced its quarterly earnings results on Tuesday, October 20th. The basic materials company reported $5.26 earnings per share (EPS) for the quarter, missing the consensus estimate of $5.48 by ($0.22). Steel Dynamics had a net margin of 8.82% and a return on equity of 21.57%. The business had revenue of $6.51 billion during the quarter, compared to the consensus estimate of $6.43 billion. During the same period last year, the firm earned $2.74 EPS. The company’s quarterly revenue was up 34.8% compared to the same quarter last year. As a group, analysts predict that Steel Dynamics, Inc. will post 18.12 earnings per share for the current fiscal year.

Steel Dynamics Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Friday, January 8th. Stockholders of record on Thursday, December 31st will be given a dividend of $0.53 per share. This represents a $2.12 annualized dividend and a dividend yield of 0.9%. The ex-dividend date is Thursday, December 31st. Steel Dynamics’s payout ratio is 15.65%.

Steel Dynamics declared that its Board of Directors has approved a share repurchase program on Monday, November 9th that allows the company to repurchase $3 billion in outstanding shares. This buyback authorization allows the basic materials company to buy up to 8.8% of its shares through open market purchases. Stock buyback programs are typically a sign that the company’s management believes its stock is undervalued.

Insider Buying and Selling at Steel Dynamics

In other news, EVP Barry Schneider sold 50,000 shares of Steel Dynamics stock in a transaction dated Tuesday, November 3rd. The shares were sold at an average price of $248.91, for a total transaction of $12,445,500.00. Following the sale, the executive vice president directly owned 196,399 shares in the company, valued at approximately $48,885,675.09. The trade was a 20.29% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Company insiders own 6.60% of the company’s stock.

Steel Dynamics Profile

Steel Dynamics, Inc. is a U.S.-based steel producer and metals recycler founded in 1993. The company operates electric-arc-furnace steel mills and produces flat-rolled, structural, engineered bar, merchant bar and rail products for customers across a range of industries. Its businesses also include metals recycling, steel fabrication and aluminum operations. Through these activities, Steel Dynamics collects and processes scrap metal, manufactures steel components and supplies products used in construction, automotive manufacturing, energy and other markets.