Catalyst Funds Management Pty Ltd Acquires New Position in Steel Dynamics, Inc. (NASDAQ:STLD)

Catalyst Funds Management Pty Ltd acquired a new position in shares of Steel Dynamics, Inc. (NASDAQ:STLD - Free Report) in the fourth quarter, according to its most recent disclosure with the Securities and Exchange Commission. The fund acquired 3,000 shares of the basic materials company's stock, valued at approximately $342,000.

Several other hedge funds and other institutional investors also recently added to or reduced their stakes in STLD. Holocene Advisors LP lifted its stake in Steel Dynamics by 85.8% during the third quarter. Holocene Advisors LP now owns 2,295,365 shares of the basic materials company's stock worth $289,400,000 after purchasing an additional 1,060,007 shares during the last quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC lifted its position in Steel Dynamics by 6.6% in the 3rd quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 1,546,104 shares of the basic materials company's stock worth $194,933,000 after buying an additional 96,122 shares during the last quarter. Nordea Investment Management AB boosted its stake in Steel Dynamics by 22.4% in the fourth quarter. Nordea Investment Management AB now owns 1,384,526 shares of the basic materials company's stock worth $158,487,000 after buying an additional 253,802 shares in the last quarter. Charles Schwab Investment Management Inc. grew its position in Steel Dynamics by 0.9% during the fourth quarter. Charles Schwab Investment Management Inc. now owns 1,374,907 shares of the basic materials company's stock valued at $156,836,000 after acquiring an additional 11,672 shares during the last quarter. Finally, Bank of New York Mellon Corp raised its stake in shares of Steel Dynamics by 12.5% during the fourth quarter. Bank of New York Mellon Corp now owns 1,027,341 shares of the basic materials company's stock worth $117,189,000 after acquiring an additional 114,485 shares in the last quarter. 82.41% of the stock is currently owned by hedge funds and other institutional investors.

Remove Ads

Steel Dynamics Trading Down 1.5 %

Shares of STLD traded down $1.88 during trading hours on Thursday, reaching $126.64. 1,762,900 shares of the company traded hands, compared to its average volume of 1,368,634. Steel Dynamics, Inc. has a 12 month low of $104.60 and a 12 month high of $155.56. The company has a market capitalization of $19.02 billion, a price-to-earnings ratio of 12.92, a price-to-earnings-growth ratio of 1.05 and a beta of 1.34. The company's fifty day moving average price is $127.89 and its two-hundred day moving average price is $127.99. The company has a quick ratio of 1.08, a current ratio of 2.53 and a debt-to-equity ratio of 0.32.

Steel Dynamics (NASDAQ:STLD - Get Free Report) last posted its quarterly earnings data on Wednesday, January 22nd. The basic materials company reported $1.36 earnings per share for the quarter, missing the consensus estimate of $1.69 by ($0.33). Steel Dynamics had a net margin of 8.76% and a return on equity of 17.32%. During the same period in the prior year, the firm earned $2.61 EPS. Equities research analysts predict that Steel Dynamics, Inc. will post 9.01 earnings per share for the current fiscal year.

Steel Dynamics declared that its Board of Directors has initiated a share buyback plan on Monday, February 24th that authorizes the company to buyback $1.50 billion in shares. This buyback authorization authorizes the basic materials company to reacquire up to 7.4% of its stock through open market purchases. Stock buyback plans are usually a sign that the company's management believes its shares are undervalued.

Steel Dynamics Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Friday, April 11th. Shareholders of record on Monday, March 31st will be issued a $0.50 dividend. This is an increase from Steel Dynamics's previous quarterly dividend of $0.46. The ex-dividend date of this dividend is Monday, March 31st. This represents a $2.00 dividend on an annualized basis and a yield of 1.58%. Steel Dynamics's dividend payout ratio is 20.41%.

Insider Buying and Selling at Steel Dynamics

In other news, SVP Glenn Pushis sold 23,649 shares of Steel Dynamics stock in a transaction that occurred on Tuesday, February 11th. The shares were sold at an average price of $134.67, for a total transaction of $3,184,810.83. Following the completion of the transaction, the senior vice president now directly owns 122,140 shares in the company, valued at approximately $16,448,593.80. This trade represents a 16.22 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Insiders own 6.00% of the company's stock.

Wall Street Analysts Forecast Growth

Several research firms recently commented on STLD. KeyCorp raised shares of Steel Dynamics from a "sector weight" rating to an "overweight" rating and set a $155.00 target price on the stock in a report on Tuesday, February 11th. Wolfe Research raised Steel Dynamics from an "underperform" rating to a "peer perform" rating in a research note on Thursday, February 27th. Morgan Stanley upgraded Steel Dynamics from an "equal weight" rating to an "overweight" rating and raised their price target for the stock from $145.00 to $158.00 in a research report on Friday, March 7th. UBS Group reissued a "neutral" rating and set a $149.00 price objective (up previously from $145.00) on shares of Steel Dynamics in a research note on Thursday, December 12th. Finally, The Goldman Sachs Group assumed coverage on shares of Steel Dynamics in a research note on Monday, December 2nd. They issued a "neutral" rating and a $155.00 target price on the stock. Six research analysts have rated the stock with a hold rating and six have assigned a buy rating to the stock. According to MarketBeat.com, the stock has a consensus rating of "Moderate Buy" and a consensus price target of $148.56.

Steel Dynamics Company Profile

Steel Dynamics, Inc, together with its subsidiaries, operates as a steel producer and metal recycler in the United States. The Steel Operations segment offers hot rolled, cold rolled, and coated steel products; parallel flange beams and channel sections, flat bars, large unequal leg angles, and reinforcing steel bars, as well as standard strength carbon, intermediate alloy hardness, and premium grade rail products; engineered special-bar-quality products, merchant-bar-quality products, and other engineered round steel bars; channels, angles, flats, merchant rounds, and reinforcing steel bars; and specialty shapes and light structural steel products.