Worthington Steel (NYSE:WS) Posts Earnings Results, Misses Estimates By $0.20 EPS

Worthington Steel (NYSE:WS) issued its earnings results on Wednesday. The company reported $0.27 earnings per share for the quarter, missing analysts’ consensus estimates of $0.47 by ($0.20), Briefing.com reports. The business had revenue of $769.80 million during the quarter, compared to analyst estimates of $882.95 million. Worthington Steel had a net margin of 3.64% and a return on equity of 10.19%. Worthington Steel’s revenue for the quarter was up 12.0% on a year-over-year basis. During the same quarter in the prior year, the company earned $0.35 EPS.

Worthington Steel Stock Performance

Shares of NYSE WS opened at $29.87 on Friday. The business’s 50-day simple moving average is $40.01 and its 200-day simple moving average is $35.58. The company has a debt-to-equity ratio of 0.04, a quick ratio of 1.09 and a current ratio of 1.80. Worthington Steel has a 52 week low of $21.30 and a 52 week high of $49.17. The firm has a market cap of $1.52 billion, a price-to-earnings ratio of 16.78 and a beta of 1.62.

Worthington Steel Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Friday, June 26th. Stockholders of record on Friday, June 12th will be paid a dividend of $0.16 per share. This represents a $0.64 annualized dividend and a dividend yield of 2.1%. The ex-dividend date is Friday, June 12th. Worthington Steel’s dividend payout ratio is 35.96%.

Wall Street Analysts Forecast Growth

A number of research analysts recently commented on the stock. Weiss Ratings reaffirmed a “hold (c)” rating on shares of Worthington Steel in a research report on Wednesday, January 21st. KeyCorp began coverage on shares of Worthington Steel in a research report on Wednesday. They issued an “overweight” rating and a $46.00 target price for the company. Zacks Research raised shares of Worthington Steel from a “strong sell” rating to a “hold” rating in a research note on Monday, February 16th. Finally, Wall Street Zen upgraded shares of Worthington Steel from a “buy” rating to a “strong-buy” rating in a report on Saturday, February 28th. One equities research analyst has rated the stock with a Buy rating and two have issued a Hold rating to the stock. According to MarketBeat, the stock presently has a consensus rating of “Hold” and a consensus target price of $46.00.

Key Headlines Impacting Worthington Steel

Here are the key news stories impacting Worthington Steel this week:

• Positive Sentiment: KeyCorp initiated coverage with an “Overweight” rating and a $46 price target, implying significant upside from current levels; this can attract investor interest and buy-side flows. KeyCorp Initiates Coverage on Worthington Steel
• Positive Sentiment: Management reiterated a plan to close the Kloeckner acquisition in H2 2026 and highlighted market share gains in automotive along with AI-driven operational initiatives—moves that could boost scale and margins if successfully executed. Worthington Steel targets closing Kloeckner acquisition
• Positive Sentiment: Worthington declared a quarterly cash dividend of $0.16 per share (payable June 26, 2026), supporting yield-oriented investor demand (≈2.1% yield). Worthington Steel Declares Quarterly Dividend
• Neutral Sentiment: Broader market weakness (futures down on geopolitical headlines) created a tougher trading backdrop that likely amplified the stock’s move after company-specific news. Stock Market Today: Dow Jones, S&P 500 Futures Fall
• Negative Sentiment: Q3 fiscal 2026 results missed estimates: EPS $0.27 vs. consensus $0.47 and revenue $769.8M vs. est. $882.95M. Management commentary and the earnings deck highlight weaker-than-expected margin/revenue drivers—this is the main catalyst behind the stock’s decline. Worthington Steel Reports Third Quarter Fiscal 2026 Results
• Negative Sentiment: Market coverage and analyst write-ups note the earnings miss triggered a sharp intraday sell-off (reports cite roughly a double-digit percentage decline), increasing near-term downside risk while investors reassess guidance and acquisition execution. Why WS Stock Is Down 11.98%

Insider Activity at Worthington Steel

In other news, Director Jon J. Bowsher bought 2,500 shares of the company’s stock in a transaction that occurred on Friday, January 30th. The shares were purchased at an average price of $40.15 per share, for a total transaction of $100,375.00. Following the acquisition, the director directly owned 17,893 shares of the company’s stock, valued at $718,403.95. The trade was a 16.24% increase in their position. The purchase was disclosed in a legal filing with the SEC, which is accessible through the SEC website. Also, Director Scott J. Kelly purchased 7,000 shares of the firm’s stock in a transaction on Tuesday, January 27th. The shares were purchased at an average price of $39.11 per share, with a total value of $273,770.00. Following the completion of the acquisition, the director directly owned 16,157 shares of the company’s stock, valued at approximately $631,900.27. This trade represents a 76.44% increase in their ownership of the stock. The SEC filing for this purchase provides additional information. 2.60% of the stock is currently owned by insiders.

Institutional Trading of Worthington Steel

Hedge funds have recently added to or reduced their stakes in the business. Kestra Advisory Services LLC acquired a new stake in Worthington Steel in the 4th quarter valued at approximately $67,000. Tower Research Capital LLC TRC lifted its holdings in shares of Worthington Steel by 149.9% during the second quarter. Tower Research Capital LLC TRC now owns 2,354 shares of the company’s stock worth $70,000 after buying an additional 1,412 shares during the last quarter. BNP Paribas Financial Markets boosted its position in shares of Worthington Steel by 50.9% in the second quarter. BNP Paribas Financial Markets now owns 3,492 shares of the company’s stock valued at $104,000 after acquiring an additional 1,178 shares during the period. Schroder Investment Management Group bought a new stake in shares of Worthington Steel in the fourth quarter valued at approximately $201,000. Finally, MML Investors Services LLC acquired a new stake in shares of Worthington Steel in the fourth quarter worth $208,000. Institutional investors own 45.41% of the company’s stock.

About Worthington Steel

Worthington Steel (NYSE: WS) is a leading North American steel processor specializing in the production of flat-rolled, coated and painted sheet and coil products. Operating as a wholly owned subsidiary of Worthington Industries, the company serves a broad range of industries, including construction, automotive, appliance, energy and agricultural equipment. Its core business activities encompass the processing, finishing and distribution of carbon and advanced high-strength steels, aluminum and stainless products to manufacturers across the continent.

The company’s product portfolio includes hot-dip galvanizing, galvannealed, aluminized and pre-painted steel products, as well as cold-rolled and hot-rolled coil.