Gerdau S.A. (NYSE:GGB) Receives Average Rating of “Buy” from Brokerages

Gerdau S.A. (NYSE:GGBGet Rating) has earned a consensus rating of “Buy” from the six research firms that are covering the stock, MarketBeat reports. One investment analyst has rated the stock with a hold recommendation and five have assigned a buy recommendation to the company. The average twelve-month price target among analysts that have updated their coverage on the stock in the last year is $6.30.

Separately, Zacks Investment Research raised shares of Gerdau from a “hold” rating to a “buy” rating and set a $6.50 price objective for the company in a research report on Tuesday.

A number of hedge funds and other institutional investors have recently bought and sold shares of the business. Capital International Investors boosted its stake in Gerdau by 0.3% during the 4th quarter. Capital International Investors now owns 97,116,987 shares of the basic materials company’s stock valued at $477,802,000 after acquiring an additional 300,587 shares during the last quarter. Dimensional Fund Advisors LP lifted its position in shares of Gerdau by 7.1% in the 1st quarter. Dimensional Fund Advisors LP now owns 11,042,661 shares of the basic materials company’s stock worth $70,994,000 after buying an additional 734,515 shares during the last quarter. Itau Unibanco Holding S.A. lifted its position in shares of Gerdau by 126.1% in the 4th quarter. Itau Unibanco Holding S.A. now owns 10,036,257 shares of the basic materials company’s stock worth $48,378,000 after buying an additional 5,596,967 shares during the last quarter. Fisher Asset Management LLC lifted its position in shares of Gerdau by 7.2% in the 1st quarter. Fisher Asset Management LLC now owns 9,184,607 shares of the basic materials company’s stock worth $59,057,000 after buying an additional 614,373 shares during the last quarter. Finally, Morgan Stanley lifted its position in shares of Gerdau by 272.3% in the 2nd quarter. Morgan Stanley now owns 8,285,048 shares of the basic materials company’s stock worth $48,881,000 after buying an additional 6,059,718 shares during the last quarter.

Shares of GGB traded up $0.09 on Friday, hitting $6.18. 13,003,403 shares of the stock traded hands, compared to its average volume of 12,749,522. The company has a quick ratio of 1.26, a current ratio of 2.43 and a debt-to-equity ratio of 0.27. The firm has a market capitalization of $10.63 billion, a P/E ratio of 3.53, a P/E/G ratio of 0.16 and a beta of 1.53. The stock’s 50 day moving average is $5.93 and its two-hundred day moving average is $5.36. Gerdau has a 1 year low of $4.19 and a 1 year high of $6.69.

Gerdau (NYSE:GGBGet Rating) last issued its quarterly earnings results on Thursday, May 5th. The basic materials company reported $0.33 EPS for the quarter, missing the consensus estimate of $0.45 by ($0.12). Gerdau had a return on equity of 38.99% and a net margin of 19.44%. The company had revenue of $3.89 billion for the quarter. Research analysts forecast that Gerdau will post 1.57 EPS for the current year.

The company also recently declared a quarterly dividend, which will be paid on Thursday, June 2nd. Investors of record on Wednesday, May 18th will be issued a dividend of $0.116 per share. This represents a $0.46 dividend on an annualized basis and a yield of 7.51%. This is a positive change from Gerdau’s previous quarterly dividend of $0.04. The ex-dividend date is Tuesday, May 17th. Gerdau’s dividend payout ratio (DPR) is presently 18.86%.

About Gerdau (Get Rating)

Gerdau SA provides steel products and services. The company operates through Brazil Business, North America Business, South America Business, and Special Steel Business segments. It offers semi-finished products, including billets, blooms, and slabs; common long rolled products, such as rebars, wire rods, merchant bars, light shapes, and profiles to the construction and manufacturing industries; finished industrial products, including commercial rolled-steel bars, and light profiles and wires; agricultural products that include stakes and smooth wire products; and drawn products comprises barbed and barbless fence wires, galvanized wires, fences, concrete reinforcing wire meshes, nails, and clamps.

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Analyst Recommendations for Gerdau (NYSE:GGB)

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