Steel Dynamics (NASDAQ:STLD) Posts Earnings Results, Beats Expectations By $0.16 EPS

Steel Dynamics (NASDAQ:STLD) posted its quarterly earnings results on Monday. The basic materials company reported $3.80 EPS for the quarter, topping analysts’ consensus estimates of $3.64 by $0.16, Zacks reports. Steel Dynamics had a return on equity of 15.54% and a net margin of 7.22%.

Steel Dynamics Stock Down 2.1%

NASDAQ:STLD traded down $5.02 on Monday, hitting $230.49. The stock had a trading volume of 1,761,631 shares, compared to its average volume of 1,250,451. Steel Dynamics has a 52 week low of $119.89 and a 52 week high of $288.74. The company has a market cap of $33.36 billion, a PE ratio of 24.65, a P/E/G ratio of 0.45 and a beta of 1.53. The company has a quick ratio of 1.33, a current ratio of 3.13 and a debt-to-equity ratio of 0.46. The business’s fifty day moving average is $245.95 and its 200 day moving average is $209.05.

Steel Dynamics Dividend Announcement

The firm also recently declared a quarterly dividend, which was paid on Friday, July 10th. Shareholders of record on Tuesday, June 30th were given a $0.53 dividend. This represents a $2.12 annualized dividend and a yield of 0.9%. The ex-dividend date was Tuesday, June 30th. Steel Dynamics’s dividend payout ratio is 22.67%.

Analysts Set New Price Targets

A number of brokerages recently weighed in on STLD. Wall Street Zen upgraded shares of Steel Dynamics from a “hold” rating to a “buy” rating in a report on Saturday, April 18th. Wells Fargo & Company reduced their price target on shares of Steel Dynamics from $293.00 to $291.00 and set an “overweight” rating for the company in a report on Thursday, June 18th. KeyCorp upped their target price on shares of Steel Dynamics from $241.00 to $262.00 and gave the company an “overweight” rating in a research note on Wednesday, June 24th. Morgan Stanley boosted their target price on shares of Steel Dynamics from $227.00 to $270.00 and gave the company an “equal weight” rating in a research note on Monday, June 22nd. Finally, BMO Capital Markets increased their target price on shares of Steel Dynamics from $195.00 to $240.00 and gave the stock an “outperform” rating in a research report on Wednesday, April 22nd. One analyst has rated the stock with a Strong Buy rating, six have assigned a Buy rating and five have given a Hold rating to the stock. According to data from MarketBeat.com, Steel Dynamics presently has an average rating of “Moderate Buy” and a consensus target price of $239.18.

Insiders Place Their Bets

In other Steel Dynamics news, SVP James Stanley Anderson sold 10,000 shares of the company’s stock in a transaction dated Friday, June 5th. The shares were sold at an average price of $268.70, for a total transaction of $2,687,000.00. Following the sale, the senior vice president directly owned 102,837 shares of the company’s stock, valued at $27,632,301.90. This represents a 8.86% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, SVP Richard A. Poinsatte sold 2,300 shares of Steel Dynamics stock in a transaction dated Tuesday, May 12th. The shares were sold at an average price of $234.11, for a total value of $538,453.00. Following the sale, the senior vice president owned 28,618 shares of the company’s stock, valued at approximately $6,699,759.98. This trade represents a 7.44% decrease in their position. The SEC filing for this sale provides additional information. Over the last 90 days, insiders have sold 22,125 shares of company stock valued at $5,438,226. 6.60% of the stock is currently owned by company insiders.

Institutional Trading of Steel Dynamics

Large investors have recently bought and sold shares of the company. Prosperity Bancshares Inc bought a new position in shares of Steel Dynamics in the 4th quarter worth approximately $25,000. DV Equities LLC bought a new stake in shares of Steel Dynamics during the 4th quarter valued at $33,000. Strive Financial Group LLC purchased a new stake in shares of Steel Dynamics in the 4th quarter worth about $34,000. Measured Wealth Private Client Group LLC bought a new position in shares of Steel Dynamics in the 3rd quarter worth about $46,000. Finally, MUFG Securities EMEA plc bought a new position in shares of Steel Dynamics in the 2nd quarter worth about $52,000. 82.41% of the stock is owned by institutional investors.

About Steel Dynamics

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.