Seaport Res Ptn Expects Weaker Earnings for Steel Dynamics

Steel Dynamics, Inc. (NASDAQ:STLD) – Stock analysts at Seaport Res Ptn lowered their FY2024 EPS estimates for shares of Steel Dynamics in a report issued on Sunday, December 15th. Seaport Res Ptn analyst M. Englert now expects that the basic materials company will post earnings of $9.85 per share for the year, down from their prior estimate of $9.98. The consensus estimate for Steel Dynamics’ current full-year earnings is $10.09 per share. Seaport Res Ptn also issued estimates for Steel Dynamics’ Q1 2025 earnings at $1.59 EPS, Q2 2025 earnings at $2.66 EPS, Q3 2025 earnings at $2.55 EPS, Q4 2025 earnings at $2.43 EPS and FY2025 earnings at $9.24 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 the consensus estimate of $1.98 by $0.07. Steel Dynamics had a net margin of 9.80% and a return on equity of 19.82%. The business had revenue of $4.34 billion during the quarter, compared to the consensus estimate of $4.18 billion. During the same period in the previous year, the firm posted $3.47 earnings per share. The firm’s revenue for the quarter was down 5.4% on a year-over-year basis.

Other analysts also recently issued research reports about the company. The Goldman Sachs Group assumed coverage on Steel Dynamics in a research report on Monday, December 2nd. They issued a “neutral” rating and a $155.00 price objective for the company. JPMorgan Chase & Co. upped their price target on shares of Steel Dynamics from $129.00 to $134.00 and gave the company a “neutral” rating in a report on Friday, October 18th. Morgan Stanley cut their price target on shares of Steel Dynamics from $138.00 to $131.00 and set an “equal weight” rating on the stock in a report on Wednesday, September 18th. BMO Capital Markets upped their price objective on shares of Steel Dynamics from $130.00 to $135.00 and gave the company a “market perform” rating in a research note on Friday, October 18th. Finally, UBS Group reissued a “neutral” rating and issued a $149.00 target price (up from $145.00) on shares of Steel Dynamics in a research note on Thursday, December 12th. Six investment analysts have rated the stock with a hold rating and two have given a buy rating to the stock. Based on data from MarketBeat.com, Steel Dynamics currently has an average rating of “Hold” and an average target price of $144.25.

Steel Dynamics Trading Down 1.3 %

NASDAQ STLD opened at $115.29 on Wednesday. The stock has a 50-day moving average of $136.24 and a 200-day moving average of $127.58. The company has a current ratio of 2.39, a quick ratio of 1.26 and a debt-to-equity ratio of 0.31. Steel Dynamics has a 1-year low of $104.60 and a 1-year high of $155.56. The firm has a market cap of $17.55 billion, a PE ratio of 10.43 and a beta of 1.31.

Steel Dynamics Dividend Announcement

The business 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 dividend of $0.46 per share. This represents a $1.84 annualized dividend and a dividend yield of 1.60%. The ex-dividend date of this dividend is Tuesday, December 31st. Steel Dynamics’s dividend payout ratio is currently 16.65%.

Insider Buying and Selling

In related news, SVP Miguel Alvarez sold 6,650 shares of the business’s stock in a transaction dated Wednesday, November 13th. The shares were 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 of the company’s stock, valued at $16,723,707. The trade was a 5.38 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at this link. Also, SVP Richard A. Poinsatte sold 2,000 shares of the company’s stock in a transaction that occurred on Friday, November 15th. The stock was sold at an average price of $138.75, for a total value of $277,500.00. Following the completion of the sale, the senior vice president now owns 21,101 shares in the company, valued at $2,927,763.75. The trade was a 8.66 % decrease in their position. The disclosure for this sale can be found here. Insiders sold a total of 28,591 shares of company stock valued at $3,885,938 over the last three months. Corporate insiders own 6.00% of the company’s stock.

Hedge Funds Weigh In On Steel Dynamics

Large investors have recently modified their holdings of the stock. Wilmington Savings Fund Society FSB bought a new stake in Steel Dynamics during the 3rd quarter valued at about $25,000. Innealta Capital LLC purchased a new position in Steel Dynamics in the 2nd quarter worth approximately $33,000. Private Trust Co. NA lifted its position in Steel Dynamics by 532.6% in the 3rd quarter. Private Trust Co. NA now owns 291 shares of the basic materials company’s stock valued at $37,000 after acquiring an additional 245 shares in the last quarter. Cullen Frost Bankers Inc. boosted its stake in Steel Dynamics by 33.3% during the 2nd quarter. Cullen Frost Bankers Inc. now owns 400 shares of the basic materials company’s stock valued at $52,000 after purchasing an additional 100 shares during the last quarter. Finally, HHM Wealth Advisors LLC bought a new stake in shares of Steel Dynamics in the 2nd quarter worth $52,000. Hedge funds and other institutional investors own 82.41% of the company’s stock.

Steel Dynamics Company Profile

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.