Patton Fund Management Inc. Increases Stake in Steel Dynamics, Inc. $STLD

Patton Fund Management Inc. raised its stake in Steel Dynamics, Inc. (NASDAQ:STLD) by 1,714.8% in the 1st quarter, according to its most recent disclosure with the SEC. The fund owned 23,484 shares of the basic materials company’s stock after purchasing an additional 22,190 shares during the quarter. Steel Dynamics accounts for 0.7% of Patton Fund Management Inc.’s portfolio, making the stock its 26th biggest position. Patton Fund Management Inc.’s holdings in Steel Dynamics were worth $4,227,000 as of its most recent filing with the SEC.

Other institutional investors have also recently made changes to their positions in the company. Prosperity Bancshares Inc bought a new stake in Steel Dynamics during the 4th quarter valued at $25,000. MV Capital Management Inc. bought a new stake in Steel Dynamics in the 4th quarter worth $27,000. Sound Income Strategies LLC grew its holdings in Steel Dynamics by 1,500.0% in the 4th quarter. Sound Income Strategies LLC now owns 160 shares of the basic materials company’s stock worth $28,000 after acquiring an additional 150 shares during the last quarter. DV Equities LLC purchased a new position in shares of Steel Dynamics in the fourth quarter valued at about $33,000. Finally, Torren Management LLC bought a new position in shares of Steel Dynamics during the fourth quarter valued at about $34,000. Hedge funds and other institutional investors own 82.41% of the company’s stock.

Insider Transactions at Steel Dynamics

In other news, Director Kenneth W. Cornew sold 5,000 shares of the business’s stock in a transaction on Thursday, April 23rd. The shares were sold at an average price of $224.87, for a total transaction of $1,124,350.00. Following the sale, the director owned 31,299 shares in the company, valued at approximately $7,038,206.13. The trade was a 13.77% decrease in their position. The sale was disclosed in a filing with the SEC, which is accessible through the SEC website. Also, SVP Miguel Alvarez sold 4,825 shares of the stock in a transaction dated Thursday, April 23rd. The stock was sold at an average price of $225.58, for a total transaction of $1,088,423.50. Following the completion of the transaction, the senior vice president owned 122,257 shares of the company’s stock, valued at approximately $27,578,734.06. The trade was a 3.80% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last three months, insiders sold 22,125 shares of company stock worth $5,438,226. Corporate insiders own 6.60% of the company’s stock.

Wall Street Analyst Weigh In

A number of analysts have recently weighed in on the stock. Wells Fargo & Company dropped their target price on shares of Steel Dynamics from $293.00 to $291.00 and set an “overweight” rating for the company in a report on Thursday, June 18th. Barclays assumed coverage on Steel Dynamics in a research report on Thursday, May 21st. They set an “overweight” rating and a $270.00 price target for the company. Bank of America dropped their price objective on Steel Dynamics from $285.00 to $280.00 and set a “neutral” rating for the company in a report on Thursday, June 18th. Morgan Stanley lifted their price objective on Steel Dynamics from $227.00 to $270.00 and gave the stock an “equal weight” rating in a research report on Monday, June 22nd. Finally, Weiss Ratings raised Steel Dynamics from a “buy (b-)” rating to a “buy (b)” rating in a research note on Thursday, June 18th. One equities research analyst has rated the stock with a Strong Buy rating, six have assigned a Buy rating and five have given a Hold rating to the company. According to data from MarketBeat.com, Steel Dynamics currently has a consensus rating of “Moderate Buy” and an average price target of $236.36.

Steel Dynamics Price Performance

STLD stock opened at $245.49 on Monday. The company has a debt-to-equity ratio of 0.46, a current ratio of 3.13 and a quick ratio of 1.33. Steel Dynamics, Inc. has a 1 year low of $119.89 and a 1 year high of $288.74. The firm has a 50-day moving average of $244.38 and a 200 day moving average of $203.12. The company has a market cap of $35.53 billion, a P/E ratio of 26.26, a PEG ratio of 0.48 and a beta of 1.50.

Steel Dynamics (NASDAQ:STLD) last posted its earnings results on Tuesday, April 21st. The basic materials company reported $2.78 earnings per share for the quarter, missing analysts’ consensus estimates of $2.79 by ($0.01). The firm had revenue of $5.20 billion for the quarter, compared to analysts’ expectations of $5.39 billion. Steel Dynamics had a return on equity of 15.54% and a net margin of 7.22%.The firm’s revenue was up 19.1% on a year-over-year basis. During the same quarter last year, the company posted $1.44 EPS. On average, sell-side analysts forecast that Steel Dynamics, Inc. will post 16.78 EPS for the current year.

Steel Dynamics Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Friday, July 10th. Shareholders of record on Tuesday, June 30th will be given a dividend of $0.53 per share. The ex-dividend date of this dividend is Tuesday, June 30th. This represents a $2.12 annualized dividend and a yield of 0.9%. Steel Dynamics’s dividend payout ratio (DPR) is currently 22.67%.

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.