Steel Dynamics (NASDAQ:STLD) Sets New 1-Year High – What’s Next?

Steel Dynamics, Inc. (NASDAQ:STLD) reached a new 52-week high during mid-day trading on Thursday . The stock traded as high as $281.59 and last traded at $279.6190, with a volume of 535635 shares. The stock had previously closed at $268.34.

Analysts Set New Price Targets

Several research firms have issued reports on STLD. Wells Fargo & Company boosted their price objective on Steel Dynamics from $235.00 to $293.00 and gave the stock an “overweight” rating in a report on Thursday, June 4th. Weiss Ratings upgraded Steel Dynamics from a “hold (c)” rating to a “buy (b-)” rating in a report on Wednesday, April 29th. Jefferies Financial Group restated a “buy” rating on shares of Steel Dynamics in a report on Tuesday, March 17th. JPMorgan Chase & Co. upped their target price on Steel Dynamics from $192.00 to $205.00 and gave the company a “neutral” rating in a report on Tuesday, April 14th. Finally, Bank of America downgraded Steel Dynamics from a “buy” rating to a “neutral” rating and set a $250.00 target price on the stock. in a report on Thursday, April 30th. One investment analyst has rated the stock with a Strong Buy rating, six have assigned a Buy rating, four have assigned a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and a consensus price target of $224.64.

Steel Dynamics Trading Up 1.1%

The firm has a market cap of $40.92 billion, a P/E ratio of 30.24, a PEG ratio of 0.57 and a beta of 1.50. The company has a 50 day moving average of $230.74 and a 200 day moving average of $196.69. The company has a debt-to-equity ratio of 0.46, a quick ratio of 1.33 and a current ratio of 3.13.

Steel Dynamics (NASDAQ:STLD) last announced its quarterly earnings results on Tuesday, April 21st. The basic materials company reported $2.78 EPS for the quarter, missing the consensus estimate of $2.79 by ($0.01). The firm had revenue of $5.20 billion during the quarter, compared to the consensus estimate of $5.39 billion. Steel Dynamics had a net margin of 7.22% and a return on equity of 15.54%. The company’s quarterly revenue was up 19.1% compared to the same quarter last year. During the same period in the previous year, the firm posted $1.44 EPS. Analysts predict that Steel Dynamics, Inc. will post 15.32 EPS for the current fiscal year.

Steel Dynamics Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Friday, July 10th. Investors of record on Tuesday, June 30th will be issued a $0.53 dividend. This represents a $2.12 annualized dividend and a yield of 0.7%. The ex-dividend date is Tuesday, June 30th. Steel Dynamics’s payout ratio is 22.67%.

Insider Buying and Selling

In related news, Director Kenneth W. Cornew sold 5,000 shares of the business’s stock in a transaction that occurred on Thursday, April 23rd. The stock was sold at an average price of $224.87, for a total value of $1,124,350.00. Following the completion of the sale, the director directly owned 31,299 shares in the company, valued at approximately $7,038,206.13. The trade was a 13.77% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, SVP James Stanley Anderson sold 10,000 shares of the business’s stock in a transaction that occurred on Friday, June 5th. The stock was sold at an average price of $268.70, for a total value of $2,687,000.00. Following the completion of the sale, the senior vice president owned 102,837 shares of the company’s stock, valued at approximately $27,632,301.90. This trade represents a 8.86% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders have sold a total of 22,125 shares of company stock valued at $5,438,227 in the last quarter. Company insiders own 6.60% of the company’s stock.

Institutional Investors Weigh In On Steel Dynamics

Several institutional investors and hedge funds have recently added to or reduced their stakes in STLD. Fisher Asset Management LLC lifted its holdings in shares of Steel Dynamics by 47.2% during the third quarter. Fisher Asset Management LLC now owns 34,878 shares of the basic materials company’s stock worth $4,863,000 after buying an additional 11,183 shares during the last quarter. Strs Ohio lifted its holdings in shares of Steel Dynamics by 7.3% during the fourth quarter. Strs Ohio now owns 153,878 shares of the basic materials company’s stock worth $26,075,000 after buying an additional 10,519 shares during the last quarter. Concentric Capital Strategies LP acquired a new position in shares of Steel Dynamics during the third quarter worth approximately $24,349,000. Robeco Institutional Asset Management B.V. lifted its holdings in shares of Steel Dynamics by 3.7% during the fourth quarter. Robeco Institutional Asset Management B.V. now owns 2,008,199 shares of the basic materials company’s stock worth $340,289,000 after buying an additional 72,122 shares during the last quarter. Finally, Lansforsakringar Fondforvaltning AB publ lifted its holdings in shares of Steel Dynamics by 16.4% during the third quarter. Lansforsakringar Fondforvaltning AB publ now owns 47,912 shares of the basic materials company’s stock worth $6,680,000 after buying an additional 6,738 shares during the last quarter. 82.41% of the stock is currently owned by institutional investors and hedge funds.

Steel Dynamics Company Profile

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.