Seaport Res Ptn Expects Reduced Earnings for Steel Dynamics

Steel Dynamics, Inc. (NASDAQ:STLD - Free Report) - Analysts at Seaport Res Ptn decreased their Q4 2024 earnings per share (EPS) estimates for shares of Steel Dynamics in a research report issued on Sunday, December 15th. Seaport Res Ptn analyst M. Englert now forecasts that the basic materials company will post earnings of $1.41 per share for the quarter, down from their previous estimate of $1.54. The consensus estimate for Steel Dynamics' current full-year earnings is $10.09 per share.

Steel Dynamics (NASDAQ:STLD - Get Free Report) last issued its quarterly earnings results on Wednesday, October 16th. The basic materials company reported $2.05 earnings per share for the quarter, topping the consensus estimate of $1.98 by $0.07. Steel Dynamics had a net margin of 9.80% and a return on equity of 19.82%. The company had revenue of $4.34 billion for the quarter, compared to the consensus estimate of $4.18 billion. During the same quarter in the prior year, the company earned $3.47 EPS. Steel Dynamics's quarterly revenue was down 5.4% on a year-over-year basis.

Other equities analysts have also issued research reports about the company. Morgan Stanley reduced their price objective on Steel Dynamics from $138.00 to $131.00 and set an "equal weight" rating for the company in a research note on Wednesday, September 18th. BMO Capital Markets boosted their price target on Steel Dynamics from $130.00 to $135.00 and gave the company a "market perform" rating in a report on Friday, October 18th. The Goldman Sachs Group assumed coverage on shares of Steel Dynamics in a research note on Monday, December 2nd. They set a "neutral" rating and a $155.00 price objective on the stock. UBS Group reaffirmed a "neutral" rating and set a $149.00 target price (up from $145.00) on shares of Steel Dynamics in a report on Thursday, December 12th. Finally, Bank of America raised shares of Steel Dynamics from a "neutral" rating to a "buy" rating and increased their price target for the stock from $140.00 to $155.00 in a report on Tuesday, October 1st. Six equities research analysts have rated the stock with a hold rating and two have issued a buy rating to the stock. Based on data from MarketBeat.com, the stock presently has a consensus rating of "Hold" and an average target price of $146.13.

Steel Dynamics Stock Performance

Shares of Steel Dynamics stock traded down $3.13 during trading on Tuesday, hitting $118.58. 1,562,438 shares of the company's stock were exchanged, compared to its average volume of 1,286,711. Steel Dynamics has a 52-week low of $104.60 and a 52-week high of $155.56. The company has a debt-to-equity ratio of 0.31, a quick ratio of 1.26 and a current ratio of 2.39. The stock has a market capitalization of $18.05 billion, a price-to-earnings ratio of 10.73 and a beta of 1.31. The business has a 50-day simple moving average of $136.78 and a 200-day simple moving average of $127.75.

Steel Dynamics Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Friday, January 10th. Stockholders of record on Tuesday, December 31st will be given a $0.46 dividend. The ex-dividend date is Tuesday, December 31st. This represents a $1.84 annualized dividend and a dividend yield of 1.55%. Steel Dynamics's dividend payout ratio (DPR) is 16.65%.

Insiders Place Their Bets

In other news, VP Chad Bickford sold 2,000 shares of the business's stock in a transaction that occurred on Monday, October 28th. The stock was sold at an average price of $134.86, for a total transaction of $269,720.00. Following the transaction, the vice president now directly owns 17,100 shares in the company, valued at $2,306,106. The trade was a 10.47 % decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, SVP Glenn Pushis sold 17,941 shares of the stock in a transaction that occurred on Monday, October 21st. The shares were sold at an average price of $133.09, for a total value of $2,387,767.69. Following the completion of the sale, the senior vice president now directly owns 146,693 shares of the company's stock, valued at approximately $19,523,371.37. This represents a 10.90 % decrease in their position. The disclosure for this sale can be found here. In the last three months, insiders sold 28,591 shares of company stock worth $3,885,938. Corporate insiders own 6.00% of the company's stock.

Institutional Trading of Steel Dynamics

Hedge funds and other institutional investors have recently modified their holdings of the stock. Larson Financial Group LLC raised its position in Steel Dynamics by 9,465.5% in the third quarter. Larson Financial Group LLC now owns 18,844 shares of the basic materials company's stock valued at $2,376,000 after purchasing an additional 18,647 shares during the period. World Investment Advisors LLC purchased a new stake in Steel Dynamics in the 3rd quarter valued at about $15,880,000. Envestnet Asset Management Inc. lifted its position in Steel Dynamics by 9.4% in the second quarter. Envestnet Asset Management Inc. now owns 230,922 shares of the basic materials company's stock valued at $29,904,000 after buying an additional 19,853 shares during the last quarter. IFM Investors Pty Ltd boosted its stake in Steel Dynamics by 21.5% during the third quarter. IFM Investors Pty Ltd now owns 38,355 shares of the basic materials company's stock worth $4,836,000 after buying an additional 6,779 shares during the period. Finally, iA Global Asset Management Inc. raised its stake in shares of Steel Dynamics by 48.0% in the 3rd quarter. iA Global Asset Management Inc. now owns 13,262 shares of the basic materials company's stock valued at $1,672,000 after acquiring an additional 4,302 shares during the period. 82.41% of the stock is owned by institutional investors and hedge funds.

About Steel Dynamics

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.