Steel Dynamics, Inc. (NASDAQ:STLD) Receives $146.22 Average Price Target from Analysts

Shares of Steel Dynamics, Inc. (NASDAQ:STLD) have received a consensus recommendation of “Moderate Buy” from the ten analysts that are currently covering the company, MarketBeat.com reports. Five analysts have rated the stock with a hold recommendation and five have assigned a buy recommendation to the company. The average 12-month price objective among brokers that have covered the stock in the last year is $146.22.

A number of research analysts have recently issued reports on the stock. Jefferies Financial Group upgraded shares of Steel Dynamics from a “hold” rating to a “buy” rating and raised their price target for the stock from $125.00 to $145.00 in a research report on Friday, January 24th. The Goldman Sachs Group began coverage on Steel Dynamics in a research note on Monday, December 2nd. They issued a “neutral” rating and a $155.00 target price for the company. KeyCorp upgraded Steel Dynamics from a “sector weight” rating to an “overweight” rating and set a $155.00 price target on the stock in a research report on Tuesday, February 11th. UBS Group restated a “neutral” rating and set a $149.00 price objective (up previously from $145.00) on shares of Steel Dynamics in a research report on Thursday, December 12th. Finally, Citigroup lowered their price objective on Steel Dynamics from $160.00 to $145.00 and set a “buy” rating for the company in a research note on Thursday, December 19th.

Steel Dynamics Trading Up 1.9 %

Shares of NASDAQ STLD opened at $133.15 on Thursday. The company has a quick ratio of 1.08, a current ratio of 2.53 and a debt-to-equity ratio of 0.32. The stock’s 50 day moving average price is $124.01 and its two-hundred day moving average price is $126.98. Steel Dynamics has a 52-week low of $104.60 and a 52-week high of $155.56. The stock has a market capitalization of $20.27 billion, a P/E ratio of 13.59, a PEG ratio of 1.05 and a beta of 1.35.

Steel Dynamics (NASDAQ:STLD) last posted its quarterly earnings results on Wednesday, January 22nd. The basic materials company reported $1.36 earnings per share (EPS) for the quarter, missing the consensus estimate of $1.69 by ($0.33). Steel Dynamics had a net margin of 8.76% and a return on equity of 17.32%. During the same period last year, the business earned $2.61 EPS. On average, analysts anticipate that Steel Dynamics will post 9.01 earnings per share for the current fiscal year.

Steel Dynamics declared that its Board of Directors has approved a share repurchase plan on Monday, February 24th that allows the company to buyback $1.50 billion in outstanding shares. This buyback authorization allows the basic materials company to purchase up to 7.4% of its shares through open market purchases. Shares buyback plans are usually a sign that the company’s board believes its shares are undervalued.

Steel Dynamics Increases Dividend

The firm also recently declared a quarterly dividend, which will be paid on Friday, April 11th. Shareholders of record on Monday, March 31st will be given a dividend of $0.50 per share. This represents a $2.00 dividend on an annualized basis and a yield of 1.50%. This is a positive change from Steel Dynamics’s previous quarterly dividend of $0.46. Steel Dynamics’s payout ratio is 18.78%.

Insider Activity at Steel Dynamics

In other Steel Dynamics news, SVP Glenn Pushis sold 23,649 shares of the firm’s stock in a transaction dated Tuesday, February 11th. The shares were sold at an average price of $134.67, for a total transaction of $3,184,810.83. Following the transaction, the senior vice president now owns 122,140 shares of the company’s stock, valued at approximately $16,448,593.80. This trade represents a 16.22 % decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Company insiders own 6.00% of the company’s stock.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently made changes to their positions in the stock. Mackenzie Financial Corp lifted its holdings in shares of Steel Dynamics by 28.4% in the fourth quarter. Mackenzie Financial Corp now owns 17,461 shares of the basic materials company’s stock valued at $1,992,000 after buying an additional 3,867 shares during the period. Forum Financial Management LP raised its position in Steel Dynamics by 2.5% in the fourth quarter. Forum Financial Management LP now owns 3,113 shares of the basic materials company’s stock worth $355,000 after acquiring an additional 75 shares in the last quarter. Toronto Dominion Bank lifted its holdings in Steel Dynamics by 7.9% in the 4th quarter. Toronto Dominion Bank now owns 80,609 shares of the basic materials company’s stock valued at $9,195,000 after acquiring an additional 5,922 shares during the last quarter. Investment Management Corp VA ADV acquired a new stake in Steel Dynamics in the 4th quarter valued at about $40,000. Finally, Sunbelt Securities Inc. boosted its position in shares of Steel Dynamics by 100.0% during the 4th quarter. Sunbelt Securities Inc. now owns 400 shares of the basic materials company’s stock valued at $46,000 after purchasing an additional 200 shares in the last quarter. 82.41% of the stock is currently owned by institutional investors.

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.