Zacks Research Reduces Earnings Estimates for Steel Dynamics

Steel Dynamics, Inc. (NASDAQ:STLD) – Equities researchers at Zacks Research lowered their FY2024 earnings per share estimates for shares of Steel Dynamics in a research report issued on Wednesday, November 27th. Zacks Research analyst R. Department now forecasts that the basic materials company will post earnings of $9.99 per share for the year, down from their prior estimate of $10.00. The consensus estimate for Steel Dynamics’ current full-year earnings is $10.10 per share. Zacks Research also issued estimates for Steel Dynamics’ Q4 2024 earnings at $1.55 EPS, Q1 2025 earnings at $2.23 EPS, Q4 2025 earnings at $2.18 EPS, FY2025 earnings at $9.18 EPS, Q1 2026 earnings at $3.09 EPS and FY2026 earnings at $10.46 EPS.

Steel Dynamics (NASDAQ:STLD) last posted its quarterly earnings results on Wednesday, October 16th. The basic materials company reported $2.05 earnings per share for the quarter, topping analysts’ consensus estimates of $1.98 by $0.07. The business had revenue of $4.34 billion during the quarter, compared to analyst estimates of $4.18 billion. Steel Dynamics had a net margin of 9.80% and a return on equity of 19.82%. The company’s revenue was down 5.4% on a year-over-year basis. During the same period in the prior year, the business posted $3.47 earnings per share.

STLD has been the topic of several other reports. JPMorgan Chase & Co. boosted their price objective on Steel Dynamics from $129.00 to $134.00 and gave the company a “neutral” rating in a research report on Friday, October 18th. The Goldman Sachs Group began coverage on Steel Dynamics in a report on Monday. They issued a “neutral” rating and a $155.00 price target on the stock. Morgan Stanley cut their price objective on shares of Steel Dynamics from $138.00 to $131.00 and set an “equal weight” rating for the company in a report on Wednesday, September 18th. BMO Capital Markets boosted their target price on shares of Steel Dynamics from $130.00 to $135.00 and gave the stock a “market perform” rating in a report on Friday, October 18th. Finally, Bank of America raised shares of Steel Dynamics from a “neutral” rating to a “buy” rating and raised their target price for the company from $140.00 to $155.00 in a research note on Tuesday, October 1st. Five equities research analysts have rated the stock with a hold rating and three have assigned a buy rating to the company’s stock. According to MarketBeat.com, the company presently has a consensus rating of “Hold” and a consensus price target of $145.63.

Steel Dynamics Trading Down 1.1 %

Shares of Steel Dynamics stock opened at $143.20 on Monday. Steel Dynamics has a fifty-two week low of $104.60 and a fifty-two week high of $155.56. The company has a debt-to-equity ratio of 0.31, a quick ratio of 1.26 and a current ratio of 2.39. The company has a market capitalization of $21.80 billion, a P/E ratio of 12.91 and a beta of 1.31. The company has a fifty day moving average of $135.54 and a 200 day moving average of $127.82.

Institutional Investors Weigh In On Steel Dynamics

Several institutional investors have recently made changes to their positions in STLD. Commerce Bank lifted its stake in shares of Steel Dynamics by 1.2% during the 3rd quarter. Commerce Bank now owns 5,981 shares of the basic materials company’s stock worth $754,000 after acquiring an additional 73 shares during the last quarter. Csenge Advisory Group grew its holdings in shares of Steel Dynamics by 2.8% in the second quarter. Csenge Advisory Group now owns 2,939 shares of the basic materials company’s stock worth $381,000 after purchasing an additional 81 shares during the last quarter. M&T Bank Corp increased its stake in Steel Dynamics by 0.9% in the 3rd quarter. M&T Bank Corp now owns 10,055 shares of the basic materials company’s stock worth $1,267,000 after buying an additional 88 shares during the period. Covestor Ltd lifted its holdings in Steel Dynamics by 10.8% during the 3rd quarter. Covestor Ltd now owns 951 shares of the basic materials company’s stock valued at $120,000 after buying an additional 93 shares in the last quarter. Finally, Dorsey Wright & Associates boosted its position in Steel Dynamics by 0.4% in the 2nd quarter. Dorsey Wright & Associates now owns 23,551 shares of the basic materials company’s stock valued at $3,050,000 after buying an additional 96 shares during the period. Institutional investors own 82.41% of the company’s stock.

Insider Activity at Steel Dynamics

In related news, SVP Miguel Alvarez sold 6,650 shares of the stock in a transaction on Wednesday, November 13th. The stock was sold at an average price of $143.00, for a total transaction of $950,950.00. Following the sale, the senior vice president now owns 116,949 shares in the company, valued at approximately $16,723,707. This represents a 5.38 % decrease in their position. The transaction was disclosed in a filing with the SEC, which is accessible through this hyperlink. Also, SVP Richard A. Poinsatte sold 2,000 shares of Steel Dynamics stock in a transaction on Friday, November 15th. The stock was sold at an average price of $138.75, for a total transaction of $277,500.00. Following the transaction, the senior vice president now directly owns 21,101 shares of the company’s stock, valued at $2,927,763.75. The trade was a 8.66 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold a total of 28,591 shares of company stock valued at $3,885,938 over the last 90 days. 6.10% of the stock is owned by corporate insiders.

Steel Dynamics Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Friday, January 10th. Investors of record on Tuesday, December 31st will be given a $0.46 dividend. This represents a $1.84 annualized dividend and a yield of 1.28%. The ex-dividend date is Tuesday, December 31st. Steel Dynamics’s dividend payout ratio is presently 16.65%.

About Steel Dynamics

Steel Dynamics, Inc, together with its subsidiaries, operates as a steel producer and metal recycler in the United States. The Steel Operations segment offers hot rolled, cold rolled, and coated steel products; parallel flange beams and channel sections, flat bars, large unequal leg angles, and reinforcing steel bars, as well as standard strength carbon, intermediate alloy hardness, and premium grade rail products; engineered special-bar-quality products, merchant-bar-quality products, and other engineered round steel bars; channels, angles, flats, merchant rounds, and reinforcing steel bars; and specialty shapes and light structural steel products.