Short Interest in Steel Dynamics, Inc. (NASDAQ:STLD) Increases By 30.5%

Steel Dynamics, Inc. (NASDAQ:STLD) saw a significant growth in short interest in December. As of December 31st, there was short interest totaling 4,101,431 shares, a growth of 30.5% from the December 15th total of 3,142,490 shares. Approximately 3.0% of the company’s stock are short sold. Based on an average trading volume of 1,243,292 shares, the short-interest ratio is currently 3.3 days. Based on an average trading volume of 1,243,292 shares, the short-interest ratio is currently 3.3 days. Approximately 3.0% of the company’s stock are short sold.

Insider Activity

In related news, SVP Miguel Alvarez sold 8,251 shares of the business’s stock in a transaction dated Wednesday, October 29th. The stock was sold at an average price of $162.79, for a total value of $1,343,180.29. Following the transaction, the senior vice president owned 117,068 shares in the company, valued at approximately $19,057,499.72. The trade was a 6.58% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. Insiders own 6.30% of the company’s stock.

Institutional Trading of Steel Dynamics

Several hedge funds have recently made changes to their positions in the stock. Ninety One UK Ltd lifted its holdings in Steel Dynamics by 33.5% in the 3rd quarter. Ninety One UK Ltd now owns 119,863 shares of the basic materials company’s stock valued at $16,712,000 after acquiring an additional 30,102 shares during the last quarter. Allworth Financial LP grew its stake in shares of Steel Dynamics by 119.3% in the 2nd quarter. Allworth Financial LP now owns 11,012 shares of the basic materials company’s stock worth $1,410,000 after purchasing an additional 5,991 shares during the last quarter. Generali Asset Management SPA SGR bought a new stake in shares of Steel Dynamics in the 3rd quarter worth approximately $1,315,000. Nomura Asset Management Co. Ltd. raised its holdings in shares of Steel Dynamics by 21.9% in the 2nd quarter. Nomura Asset Management Co. Ltd. now owns 88,558 shares of the basic materials company’s stock worth $11,336,000 after purchasing an additional 15,931 shares in the last quarter. Finally, VCI Wealth Management LLC acquired a new stake in Steel Dynamics during the third quarter valued at approximately $957,000. Institutional investors own 82.41% of the company’s stock.

Wall Street Analyst Weigh In

STLD has been the topic of a number of recent analyst reports. KeyCorp reaffirmed an “overweight” rating and issued a $190.00 target price on shares of Steel Dynamics in a research report on Wednesday, January 7th. Citigroup lifted their price target on shares of Steel Dynamics from $150.00 to $180.00 and gave the stock a “buy” rating in a research note on Wednesday, October 29th. Wells Fargo & Company increased their price objective on shares of Steel Dynamics from $172.00 to $190.00 and gave the company an “overweight” rating in a research note on Monday, December 15th. The Goldman Sachs Group set a $172.00 price objective on shares of Steel Dynamics and gave the stock a “neutral” rating in a report on Friday, October 31st. Finally, Jefferies Financial Group upped their target price on shares of Steel Dynamics from $180.00 to $190.00 and gave the company a “buy” rating in a research note on Wednesday, December 10th. Five investment analysts have rated the stock with a Buy rating and six have assigned a Hold rating to the company. According to data from MarketBeat, the company currently has an average rating of “Hold” and a consensus price target of $182.00.

Steel Dynamics Stock Performance

Steel Dynamics stock traded down $1.53 during mid-day trading on Friday, reaching $173.58. The company’s stock had a trading volume of 1,022,038 shares, compared to its average volume of 1,109,933. The company has a current ratio of 3.11, a quick ratio of 1.47 and a debt-to-equity ratio of 0.43. Steel Dynamics has a twelve month low of $103.17 and a twelve month high of $178.36. The business has a 50 day moving average price of $167.46 and a 200-day moving average price of $147.52. The firm has a market cap of $25.35 billion, a price-to-earnings ratio of 22.99, a PEG ratio of 0.72 and a beta of 1.48.

Steel Dynamics (NASDAQ:STLD) last posted its quarterly earnings results on Tuesday, October 21st. The basic materials company reported $2.74 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $2.63 by $0.11. Steel Dynamics had a net margin of 6.39% and a return on equity of 12.89%. The company had revenue of $4.83 billion for the quarter, compared to the consensus estimate of $4.74 billion. During the same period last year, the firm posted $2.05 EPS. The company’s revenue for the quarter was up 11.2% on a year-over-year basis. Sell-side analysts predict that Steel Dynamics will post 9.01 EPS for the current fiscal year.

Steel Dynamics Dividend Announcement

The business also recently announced a quarterly dividend, which was paid on Friday, January 9th. Shareholders of record on Wednesday, December 31st were paid a $0.50 dividend. This represents a $2.00 dividend on an annualized basis and a yield of 1.2%. The ex-dividend date was Wednesday, December 31st. Steel Dynamics’s payout ratio is presently 26.49%.

Steel Dynamics Company Profile

Steel Dynamics, Inc is a U.S.-based, diversified steel producer and metals recycler that operates an integrated network of mini-mills, finishing lines and fabrication facilities. Founded in 1993 and headquartered in Fort Wayne, Indiana, the company manufactures a broad range of steel products and provides downstream processing, coating and fabrication services to industrial customers. Its operations combine steelmaking using electric-arc furnaces with extensive metals recycling capabilities, allowing Steel Dynamics to convert scrap ferrous and nonferrous materials into finished steel products.

The company’s product portfolio includes flat-rolled steel (coiled and sheet products), structural steel and fabricated components, along with coated and painted steel used in consumer, industrial and construction applications.