Analysts Set Steel Dynamics, Inc. (NASDAQ:STLD) Price Target at $224.64

Shares of Steel Dynamics, Inc. (NASDAQ:STLD) have been assigned a consensus recommendation of “Moderate Buy” from the twelve analysts that are covering the company, MarketBeat Ratings reports. One investment analyst has rated the stock with a sell recommendation, four have issued a hold recommendation, six have assigned a buy recommendation and one has assigned a strong buy recommendation to the company. The average 1-year price target among brokers that have issued a report on the stock in the last year is $224.6364.

A number of research analysts have recently commented on STLD shares. KeyCorp increased their price objective on Steel Dynamics from $190.00 to $241.00 and gave the company an “overweight” rating in a report on Wednesday, April 22nd. JPMorgan Chase & Co. boosted their target price on Steel Dynamics from $192.00 to $205.00 and gave the stock a “neutral” rating in a report on Tuesday, April 14th. Morgan Stanley reaffirmed an “underperform” rating and set a $190.00 target price on shares of Steel Dynamics in a research report on Tuesday, March 17th. Barclays assumed coverage on shares of Steel Dynamics in a research report on Thursday, May 21st. They issued an “overweight” rating and a $270.00 price target on the stock. Finally, BMO Capital Markets boosted their price objective on shares of Steel Dynamics from $195.00 to $240.00 and gave the stock an “outperform” rating in a research note on Wednesday, April 22nd.

Steel Dynamics Stock Performance

Shares of STLD opened at $274.29 on Wednesday. The firm has a market cap of $39.70 billion, a price-to-earnings ratio of 29.34, a price-to-earnings-growth ratio of 0.54 and a beta of 1.50. The company’s fifty day moving average is $234.47 and its 200-day moving average is $198.46. The company has a quick ratio of 1.33, a current ratio of 3.13 and a debt-to-equity ratio of 0.46. Steel Dynamics has a 12 month low of $119.89 and a 12 month high of $288.74.

Steel Dynamics (NASDAQ:STLD) last released its quarterly earnings data on Tuesday, April 21st. The basic materials company reported $2.78 earnings per share (EPS) for the quarter, missing the consensus estimate of $2.79 by ($0.01). Steel Dynamics had a net margin of 7.22% and a return on equity of 15.54%. The business had revenue of $5.20 billion during the quarter, compared to analyst estimates of $5.39 billion. During the same period in the previous year, the firm posted $1.44 EPS. The firm’s revenue for the quarter was up 19.1% on a year-over-year basis. Equities analysts expect that Steel Dynamics will post 15.85 EPS for the current fiscal year.

Steel Dynamics Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Friday, July 10th. Investors of record on Tuesday, June 30th will be issued a $0.53 dividend. This represents a $2.12 annualized dividend and a yield of 0.8%. The ex-dividend date is Tuesday, June 30th. Steel Dynamics’s dividend payout ratio (DPR) is 22.67%.

Insider Activity

In related news, SVP Richard A. Poinsatte sold 2,300 shares of the stock in a transaction that occurred on Tuesday, May 12th. The stock was sold at an average price of $234.11, for a total transaction of $538,453.00. Following the completion of the sale, the senior vice president owned 28,618 shares in the company, valued at $6,699,759.98. This represents a 7.44% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, Director Kenneth W. Cornew sold 5,000 shares of the firm’s stock in a transaction that occurred 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 sale, the director directly owned 31,299 shares in the company, valued at $7,038,206.13. This trade represents a 13.77% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold 22,125 shares of company stock worth $5,438,227 in the last 90 days. Insiders own 6.60% of the company’s stock.

Hedge Funds Weigh In On Steel Dynamics

A number of institutional investors and hedge funds have recently bought and sold shares of the stock. Life Cycle Investment Partners Ltd bought a new stake in Steel Dynamics in the 4th quarter valued at $586,702,000. Norges Bank acquired a new stake in shares of Steel Dynamics during the 4th quarter valued at about $564,590,000. Boston Partners increased its stake in Steel Dynamics by 147.9% in the fourth quarter. Boston Partners now owns 1,793,630 shares of the basic materials company’s stock valued at $303,970,000 after acquiring an additional 1,070,042 shares during the period. Bessemer Group Inc. increased its stake in Steel Dynamics by 56,088.1% in the first quarter. Bessemer Group Inc. now owns 542,215 shares of the basic materials company’s stock valued at $97,598,000 after acquiring an additional 541,250 shares during the period. Finally, Hsbc Holdings PLC raised its position in Steel Dynamics by 92.4% in the fourth quarter. Hsbc Holdings PLC now owns 1,030,448 shares of the basic materials company’s stock worth $174,609,000 after purchasing an additional 494,828 shares in the last quarter. Institutional investors own 82.41% of the company’s stock.

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.