MMCAP International Inc. SPC Invests $2.14 Million in Steel Dynamics, Inc. $STLD

MMCAP International Inc. SPC acquired a new stake in Steel Dynamics, Inc. (NASDAQ:STLD) in the third quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The institutional investor acquired 15,311 shares of the basic materials company’s stock, valued at approximately $2,135,000.

A number of other institutional investors also recently bought and sold shares of STLD. Cornerstone Planning Group LLC grew its stake in shares of Steel Dynamics by 1,636.4% in the 3rd quarter. Cornerstone Planning Group LLC now owns 191 shares of the basic materials company’s stock valued at $27,000 after buying an additional 180 shares during the period. True Wealth Design LLC lifted its holdings in Steel Dynamics by 120.4% in the second quarter. True Wealth Design LLC now owns 324 shares of the basic materials company’s stock valued at $41,000 after acquiring an additional 177 shares during the last quarter. Toth Financial Advisory Corp grew its position in Steel Dynamics by 50.0% in the third quarter. Toth Financial Advisory Corp now owns 300 shares of the basic materials company’s stock worth $42,000 after acquiring an additional 100 shares during the period. Covestor Ltd grew its position in Steel Dynamics by 44.3% in the third quarter. Covestor Ltd now owns 303 shares of the basic materials company’s stock worth $42,000 after acquiring an additional 93 shares during the period. Finally, CNB Bank acquired a new stake in Steel Dynamics during the third quarter worth $43,000. 82.41% of the stock is owned by hedge funds and other institutional investors.

Steel Dynamics Price Performance

Steel Dynamics stock opened at $193.39 on Monday. The company has a quick ratio of 1.29, a current ratio of 3.06 and a debt-to-equity ratio of 0.48. Steel Dynamics, Inc. has a 52-week low of $103.17 and a 52-week high of $208.47. The firm has a market cap of $28.24 billion, a PE ratio of 24.14, a price-to-earnings-growth ratio of 0.52 and a beta of 1.46. The company’s 50 day moving average is $180.30 and its two-hundred day moving average is $157.85.

Steel Dynamics (NASDAQ:STLD) last posted its quarterly earnings results on Tuesday, January 27th. The basic materials company reported $1.82 EPS for the quarter, topping the consensus estimate of $1.72 by $0.10. The business had revenue of $4.41 billion during 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 quarterly revenue was up 14.0% compared to the same quarter last year. During the same quarter in the previous year, the firm posted $1.36 earnings per share. On average, research analysts expect that Steel Dynamics, Inc. will post 9.01 EPS for the current fiscal year.

Steel Dynamics Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Friday, April 10th. Shareholders of record on Tuesday, March 31st will be given a $0.53 dividend. The ex-dividend date of this dividend is Tuesday, March 31st. This represents a $2.12 dividend on an annualized basis and a yield of 1.1%. This is an increase from Steel Dynamics’s previous quarterly dividend of $0.50. Steel Dynamics’s dividend payout ratio is 24.97%.

Wall Street Analyst Weigh In

Several brokerages have recently commented on STLD. KeyCorp reaffirmed an “overweight” rating and issued a $190.00 price target on shares of Steel Dynamics in a research note on Wednesday, January 7th. Weiss Ratings reaffirmed a “hold (c+)” rating on shares of Steel Dynamics in a research report on Monday, December 29th. Wells Fargo & Company lifted their price target on shares of Steel Dynamics from $172.00 to $190.00 and gave the company an “overweight” rating in a research report on Monday, December 15th. UBS Group set a $165.00 price objective on shares of Steel Dynamics in a report on Tuesday, November 4th. Finally, The Goldman Sachs Group set a $172.00 price objective on shares of Steel Dynamics and gave the stock a “neutral” rating in a research report on Friday, October 31st. Five investment analysts have rated the stock with a Buy rating and six have given a Hold rating to the company. According to MarketBeat, the stock presently has an average rating of “Hold” and an average price target of $182.00.

About Steel Dynamics

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.