Steel Dynamics, Inc. (NASDAQ:STLD) Given Average Recommendation of “Moderate Buy” by Brokerages

Steel Dynamics, Inc. (NASDAQ:STLD) has earned a consensus rating of “Moderate Buy” from the twelve research firms that are presently covering the firm, Marketbeat Ratings reports. Four analysts have rated the stock with a hold recommendation and eight have given a buy recommendation to the company. The average 12 month target price among brokerages that have issued ratings on the stock in the last year is $258.4545.

A number of equities analysts recently issued reports on STLD shares. The Goldman Sachs Group initiated coverage on Steel Dynamics in a report on Wednesday, July 29th. They issued a “buy” rating and a $300.00 target price on the stock. Wells Fargo & Company decreased their price target on Steel Dynamics from $275.00 to $255.00 and set an “overweight” rating for the company in a research report on Monday, August 24th. JPMorgan Chase & Co. lifted their price target on Steel Dynamics from $260.00 to $273.00 and gave the stock a “neutral” rating in a research note on Wednesday, September 9th. KeyCorp restated an “overweight” rating on shares of Steel Dynamics in a report on Wednesday, July 22nd. Finally, Barclays upped their price objective on shares of Steel Dynamics from $270.00 to $272.00 and gave the company an “overweight” rating in a research note on Wednesday, July 22nd.

Steel Dynamics Trading Up 3.0%

Shares of NASDAQ:STLD opened at $245.35 on Friday. The company has a debt-to-equity ratio of 0.45, a quick ratio of 1.45 and a current ratio of 3.18. The stock has a market capitalization of $35.17 billion, a price-to-earnings ratio of 22.24, a PEG ratio of 0.42 and a beta of 1.50. Steel Dynamics has a 1-year low of $134.87 and a 1-year high of $288.74. The company has a 50 day moving average price of $243.93 and a 200 day moving average price of $228.26.

Steel Dynamics (NASDAQ:STLD) last posted its quarterly earnings results on Tuesday, July 21st. The basic materials company reported $3.69 earnings per share (EPS) for the quarter, beating the consensus estimate of $3.63 by $0.06. Steel Dynamics had a return on equity of 18.12% and a net margin of 7.83%.The company had revenue of $6.09 billion for the quarter, compared to analysts’ expectations of $5.56 billion. During the same quarter in the prior year, the company earned $2.01 earnings per share. The firm’s revenue was up 33.4% on a year-over-year basis. On average, research analysts anticipate that Steel Dynamics will post 18.58 EPS for the current fiscal year.

Steel Dynamics Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Friday, October 9th. Stockholders of record on Wednesday, September 30th will be issued a dividend of $0.53 per share. The ex-dividend date is Wednesday, September 30th. This represents a $2.12 dividend on an annualized basis and a dividend yield of 0.9%. Steel Dynamics’s payout ratio is currently 19.22%.

Hedge Funds Weigh In On Steel Dynamics

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in STLD. BlackRock Inc. purchased a new position in shares of Steel Dynamics during the second quarter valued at $2,844,501,000. Life Cycle Investment Partners Ltd purchased a new stake in Steel Dynamics in the 4th quarter worth about $586,702,000. Norges Bank purchased a new stake in Steel Dynamics in the 4th quarter worth about $564,590,000. Bank of America Corp DE acquired a new stake in Steel Dynamics during the 2nd quarter worth about $264,212,000. Finally, Boston Partners grew its stake in Steel Dynamics by 147.9% during the 4th quarter. Boston Partners now owns 1,793,630 shares of the basic materials company’s stock valued at $303,970,000 after acquiring an additional 1,070,042 shares in the last quarter. Institutional investors and hedge funds own 82.41% of the company’s stock.

Steel Dynamics Company Profile

Steel Dynamics, Inc is a steel producer and metals recycler headquartered in Fort Wayne, Indiana. Founded in 1993, the company operates electric arc furnaces that use recycled steel and other metallic inputs to manufacture a broad range of steel products. Its customers include companies in the construction, automotive, manufacturing, transportation, energy and appliance industries.

Steel Dynamics’ steel operations produce flat-rolled steel, structural steel, rail, engineered bar products and other specialty steel products.