Capital Research Global Investors Raises Position in Steel Dynamics, Inc. (NASDAQ:STLD)

Capital Research Global Investors raised its holdings in shares of Steel Dynamics, Inc. (NASDAQ:STLD - Free Report) by 29.4% in the 4th quarter, according to its most recent Form 13F filing with the Securities & Exchange Commission. The fund owned 3,592,670 shares of the basic materials company's stock after purchasing an additional 815,629 shares during the quarter. Capital Research Global Investors owned 2.36% of Steel Dynamics worth $409,816,000 as of its most recent filing with the Securities & Exchange Commission.

A number of other institutional investors also recently bought and sold shares of STLD. Wilmington Savings Fund Society FSB purchased a new stake in Steel Dynamics during the 3rd quarter worth approximately $25,000. ORG Wealth Partners LLC acquired a new position in shares of Steel Dynamics in the fourth quarter worth about $28,000. IAG Wealth Partners LLC acquired a new position in shares of Steel Dynamics during the 4th quarter worth approximately $39,000. Avalon Trust Co purchased a new position in Steel Dynamics during the fourth quarter valued at $42,000. Finally, Golden State Wealth Management LLC purchased a new stake in Steel Dynamics during the 4th quarter worth approximately $48,000. 82.41% of the stock is currently owned by institutional investors.

Insider Activity at Steel Dynamics

In other Steel Dynamics news, SVP Glenn Pushis sold 23,649 shares of the firm's stock in a transaction on Tuesday, February 11th. The stock was sold at an average price of $134.67, for a total value of $3,184,810.83. Following the transaction, the senior vice president now owns 122,140 shares in the company, valued at approximately $16,448,593.80. This trade represents a 16.22 % decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through the SEC website. 6.30% of the stock is currently owned by insiders.

Steel Dynamics Stock Performance

Shares of STLD traded up $5.08 during mid-day trading on Wednesday, reaching $122.47. The company's stock had a trading volume of 2,021,368 shares, compared to its average volume of 1,508,908. The company has a current ratio of 2.53, a quick ratio of 1.08 and a debt-to-equity ratio of 0.32. Steel Dynamics, Inc. has a 1-year low of $103.17 and a 1-year high of $155.56. The business has a 50-day simple moving average of $124.41 and a two-hundred day simple moving average of $128.19. The stock has a market cap of $18.36 billion, a P/E ratio of 12.50, a PEG ratio of 1.05 and a beta of 1.35.

Steel Dynamics (NASDAQ:STLD - Get Free Report) last released its quarterly earnings results on Tuesday, April 22nd. The basic materials company reported $1.44 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $1.40 by $0.04. Steel Dynamics had a return on equity of 17.32% and a net margin of 8.76%. The business had revenue of $4.37 billion during the quarter, compared to the consensus estimate of $4.17 billion. During the same quarter in the previous year, the business earned $3.67 EPS. As a group, equities research analysts anticipate that Steel Dynamics, Inc. will post 9.01 earnings per share for the current fiscal year.

Steel Dynamics declared that its board has initiated a share buyback program on Monday, February 24th that authorizes the company to buyback $1.50 billion in outstanding shares. This buyback authorization authorizes the basic materials company to buy up to 7.4% of its shares through open market purchases. Shares buyback programs are typically an indication that the company's leadership believes its stock is undervalued.

Steel Dynamics Increases Dividend

The company also recently disclosed a quarterly dividend, which was paid on Friday, April 11th. Investors of record on Monday, March 31st were paid a dividend of $0.50 per share. This represents a $2.00 annualized dividend and a dividend yield of 1.63%. The ex-dividend date was Monday, March 31st. This is a positive change from Steel Dynamics's previous quarterly dividend of $0.46. Steel Dynamics's payout ratio is 20.41%.

Analyst Ratings Changes

Several research firms have issued reports on STLD. UBS Group raised Steel Dynamics from a "neutral" rating to a "buy" rating and set a $149.00 target price for the company in a research note on Monday, March 24th. Morgan Stanley raised shares of Steel Dynamics from an "equal weight" rating to an "overweight" rating and lifted their target price for the company from $145.00 to $158.00 in a report on Friday, March 7th. Jefferies Financial Group raised Steel Dynamics from a "hold" rating to a "buy" rating and upped their target price for the company from $125.00 to $145.00 in a report on Friday, January 24th. Wolfe Research upgraded Steel Dynamics from an "underperform" rating to a "peer perform" rating in a research report on Thursday, February 27th. Finally, BMO Capital Markets upgraded Steel Dynamics from a "market perform" rating to an "outperform" rating and upped their price target for the stock from $135.00 to $145.00 in a report on Monday, March 31st. Four analysts have rated the stock with a hold rating and eight have issued a buy rating to the stock. According to MarketBeat.com, Steel Dynamics currently has an average rating of "Moderate Buy" and a consensus price target of $149.11.

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.