Wells Fargo & Company Forecasts Strong Price Appreciation for Steel Dynamics (NASDAQ:STLD) Stock

Steel Dynamics (NASDAQ:STLD) had its price objective boosted by equities research analysts at Wells Fargo & Company from $190.00 to $210.00 in a research note issued on Monday,Benzinga reports. The brokerage currently has an “overweight” rating on the basic materials company’s stock. Wells Fargo & Company‘s target price would indicate a potential upside of 6.36% from the company’s current price.

Other equities research analysts also recently issued research reports about the company. Weiss Ratings restated a “hold (c+)” rating on shares of Steel Dynamics in a research report on Monday, December 29th. KeyCorp reissued an “overweight” rating and set a $190.00 price objective on shares of Steel Dynamics in a report on Wednesday, January 7th. Wall Street Zen upgraded Steel Dynamics from a “hold” rating to a “strong-buy” rating in a research report on Saturday, January 31st. Morgan Stanley reiterated an “equal weight” rating and set a $194.00 price target (up from $173.00) on shares of Steel Dynamics in a research report on Friday, January 9th. Finally, UBS Group set a $165.00 price objective on shares of Steel Dynamics in a report on Tuesday, November 4th. Five research analysts have rated the stock with a Buy rating and five have assigned a Hold rating to the company. Based on data from MarketBeat, the company has a consensus rating of “Moderate Buy” and an average price target of $184.22.

Steel Dynamics Stock Performance

Shares of STLD stock opened at $197.45 on Monday. The firm’s 50 day moving average is $183.30 and its 200 day moving average is $161.27. The stock has a market capitalization of $28.61 billion, a P/E ratio of 24.65, a PEG ratio of 0.54 and a beta of 1.43. Steel Dynamics has a 12 month low of $103.17 and a 12 month high of $208.47. The company has a current ratio of 3.06, a quick ratio of 1.29 and a debt-to-equity ratio of 0.48.

Steel Dynamics (NASDAQ:STLD) last announced its quarterly earnings results on Tuesday, January 27th. The basic materials company reported $1.82 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $1.72 by $0.10. The firm had revenue of $4.41 billion for the quarter, compared to the consensus estimate of $4.62 billion. Steel Dynamics had a net margin of 6.52% and a return on equity of 13.56%. The company’s revenue for the quarter was up 14.0% on a year-over-year basis. During the same period in the prior year, the firm posted $1.36 earnings per share. On average, sell-side analysts anticipate that Steel Dynamics will post 9.01 earnings per share for the current year.

Institutional Trading of Steel Dynamics

Several large investors have recently added to or reduced their stakes in the stock. Life Cycle Investment Partners Ltd bought a new stake in shares of Steel Dynamics during the 4th quarter valued at about $586,702,000. Norges Bank bought a new stake in Steel Dynamics during the 4th quarter valued at approximately $564,590,000. Boston Partners grew its holdings in shares of Steel Dynamics by 147.9% during the 4th quarter. Boston Partners now owns 1,793,630 shares of the basic materials company’s stock worth $303,970,000 after acquiring an additional 1,070,042 shares during the period. Qube Research & Technologies Ltd purchased a new position in shares of Steel Dynamics during the 2nd quarter worth approximately $48,746,000. Finally, Lord Abbett & CO. LLC lifted its stake in shares of Steel Dynamics by 28.0% in the 4th quarter. Lord Abbett & CO. LLC now owns 1,629,401 shares of the basic materials company’s stock valued at $276,102,000 after purchasing an additional 356,507 shares during the period. 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.