The stock price of Steel Dynamics Inc. (NASDAQ: STLD) has dropped by -1.42 compared to previous close of 132.71. Despite this, the company has seen a gain of 0.90% in its stock price over the last five trading days. Zacks Investment Research reported 2024-04-29 that PFBC, STLD and MHO made it to the Zacks Rank #1 (Strong Buy) value stocks list on April 29, 2023.
Is It Worth Investing in Steel Dynamics Inc. (NASDAQ: STLD) Right Now?
Steel Dynamics Inc. (NASDAQ: STLD) has a price-to-earnings ratio that is above its average at 8.98x. The stock has a 36-month beta value of 1.42. Opinions on the stock are mixed, with 6 analysts rating it as a “buy,” 3 as “overweight,” 4 as “hold,” and 0 as “sell.”
The public float for STLD is 147.82M, and at present, short sellers hold a 3.31% of that float. On May 09, 2024, the average trading volume of STLD was 1.14M shares.
STLD’s Market Performance
STLD’s stock has seen a 0.90% increase for the week, with a -10.84% drop in the past month and a 5.03% gain in the past quarter. The volatility ratio for the week is 2.55%, and the volatility levels for the past 30 days are at 3.12% for Steel Dynamics Inc. The simple moving average for the past 20 days is -3.70% for STLD’s stock, with a 11.25% simple moving average for the past 200 days.
Analysts’ Opinion of STLD
Many brokerage firms have already submitted their reports for STLD stocks, with UBS repeating the rating for STLD by listing it as a “Neutral.” The predicted price for STLD in the upcoming period, according to UBS is $120 based on the research report published on January 16, 2024 of the current year 2024.
Citigroup, on the other hand, stated in their research note that they expect to see STLD reach a price target of $130. The rating they have provided for STLD stocks is “Buy” according to the report published on September 25th, 2023.
Exane BNP Paribas gave a rating of “Neutral” to STLD, setting the target price at $102 in the report published on July 05th of the previous year.
STLD Trading at -5.16% from the 50-Day Moving Average
After a stumble in the market that brought STLD to its low price for the period of the last 52 weeks, the company was unable to rebound, for now settling with -13.56% of loss for the given period.
Volatility was left at 3.12%, however, over the last 30 days, the volatility rate increased by 2.55%, as shares sank -9.56% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading -1.62% lower at present.
During the last 5 trading sessions, STLD rose by +0.90%, which changed the moving average for the period of 200-days by +28.28% in comparison to the 20-day moving average, which settled at $135.16. In addition, Steel Dynamics Inc. saw 10.77% in overturn over a single year, with a tendency to cut further gains.
Insider Trading
Reports are indicating that there were more than several insider trading activities at STLD starting from Shaheen Gabriel, who sale 2,346 shares at the price of $120.09 back on Feb 06 ’24. After this action, Shaheen Gabriel now owns 81,149 shares of Steel Dynamics Inc., valued at $281,731 using the latest closing price.
MARCUCCILLI JAMES C, the Director of Steel Dynamics Inc., sale 25,454 shares at $122.43 during a trade that took place back on Dec 19 ’23, which means that MARCUCCILLI JAMES C is holding 59,989 shares at $3,116,206 based on the most recent closing price.
Stock Fundamentals for STLD
Current profitability levels for the company are sitting at:
- 0.16 for the present operating margin
- 0.21 for the gross margin
The net margin for Steel Dynamics Inc. stands at 0.13. The total capital return value is set at 0.24. Equity return is now at value 27.54, with 16.40 for asset returns.
Based on Steel Dynamics Inc. (STLD), the company’s capital structure generated 0.25 points at debt to capital in total, while cash flow to debt ratio is standing at 1.03. The debt to equity ratio resting at 0.33. The interest coverage ratio of the stock is 46.5.
Currently, EBITDA for the company is 3.58 billion with net debt to EBITDA at 0.56. When we switch over and look at the enterprise to sales, we see a ratio of 1.22. The receivables turnover for the company is 10.69for trailing twelve months and the total asset turnover is 1.24. The liquidity ratio also appears to be rather interesting for investors as it stands at 2.87.
Conclusion
To sum up, Steel Dynamics Inc. (STLD) has seen a better performance recently. Analysts have differing views on the stock, with some seeing it as a “buy” and others as a “hold”. It’s important to note that the stock is currently trading at a significant distance from its 50-day moving average and its 52-week high.
