Steel Dynamics (NASDAQ:STLD) Rating Increased to Strong-Buy at Barclays

Steel Dynamics (NASDAQ:STLD) was upgraded by equities researchers at Barclays to a “strong-buy” rating in a note issued to investors on Thursday,Zacks.com reports.

A number of other equities analysts have also recently weighed in on STLD. Wells Fargo & Company boosted their price target on Steel Dynamics from $207.00 to $235.00 and gave the stock an “overweight” rating in a report on Wednesday, April 22nd. Morgan Stanley reissued an “underperform” rating and issued a $190.00 price target on shares of Steel Dynamics in a report on Tuesday, March 17th. Jefferies Financial Group reissued a “buy” rating on shares of Steel Dynamics in a report on Tuesday, March 17th. Weiss Ratings raised Steel Dynamics from a “hold (c)” rating to a “buy (b-)” rating in a report on Wednesday, April 29th. Finally, Bank of America cut Steel Dynamics from a “buy” rating to a “neutral” rating and set a $250.00 price target for the company. in a report on Thursday, April 30th. One equities research analyst has rated the stock with a Strong Buy rating, six have issued a Buy rating, four have assigned a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat.com, Steel Dynamics has a consensus rating of “Moderate Buy” and an average target price of $219.36.

Steel Dynamics Price Performance

STLD stock opened at $240.03 on Thursday. Steel Dynamics has a 1 year low of $119.89 and a 1 year high of $243.73. The company has a debt-to-equity ratio of 0.46, a quick ratio of 1.33 and a current ratio of 3.13. The stock’s 50 day moving average price is $202.58 and its 200 day moving average price is $184.97. The firm has a market cap of $34.74 billion, a P/E ratio of 25.67, a PEG ratio of 0.49 and a beta of 1.48.

Steel Dynamics (NASDAQ:STLD) last posted its earnings results on Tuesday, April 21st. The basic materials company reported $2.78 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $2.79 by ($0.01). Steel Dynamics had a net margin of 7.22% and a return on equity of 15.54%. The company had revenue of $5.20 billion during the quarter, compared to analysts’ expectations of $5.39 billion. During the same period in the previous year, the company posted $1.44 EPS. Steel Dynamics’s quarterly revenue was up 19.1% compared to the same quarter last year. On average, sell-side analysts expect that Steel Dynamics will post 14.77 earnings per share for the current fiscal year.

Insider Activity at Steel Dynamics

In related news, SVP Richard A. Poinsatte sold 2,300 shares of the company’s stock in a transaction on Tuesday, May 12th. The stock was sold at an average price of $234.11, for a total value of $538,453.00. Following the completion of the transaction, the senior vice president directly owned 28,618 shares in the company, valued at approximately $6,699,759.98. This represents a 7.44% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Also, Director Kenneth W. Cornew sold 5,000 shares of the company’s stock in a transaction on Thursday, April 23rd. The shares were sold at an average price of $224.87, for a total value of $1,124,350.00. Following the completion of the transaction, the director owned 31,299 shares of the company’s stock, valued at $7,038,206.13. The trade was a 13.77% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last ninety days, insiders sold 12,125 shares of company stock worth $2,751,227. 6.60% of the stock is currently owned by insiders.

Hedge Funds Weigh In On Steel Dynamics

Several institutional investors have recently added to or reduced their stakes in STLD. Prosperity Bancshares Inc acquired a new position in Steel Dynamics in the fourth quarter valued at $25,000. Cornerstone Planning Group LLC increased its stake in Steel Dynamics by 1,636.4% during the third quarter. Cornerstone Planning Group LLC now owns 191 shares of the basic materials company’s stock worth $27,000 after acquiring an additional 180 shares during the last quarter. MV Capital Management Inc. acquired a new stake in Steel Dynamics during the fourth quarter worth about $27,000. Sound Income Strategies LLC increased its stake in Steel Dynamics by 1,500.0% during the fourth quarter. Sound Income Strategies LLC now owns 160 shares of the basic materials company’s stock worth $28,000 after acquiring an additional 150 shares during the last quarter. Finally, Cedar Mountain Advisors LLC acquired a new stake in Steel Dynamics during the first quarter worth about $31,000. 82.41% of the stock is currently owned by institutional investors and hedge funds.

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.