Gerdau (NYSE:GGB) Issues Earnings Results

Gerdau (NYSE:GGB) released its quarterly earnings data on Monday. The basic materials company reported $0.07 earnings per share for the quarter, missing the consensus estimate of $0.11 by ($0.04), Zacks reports. Gerdau had a net margin of 4.38% and a return on equity of 5.92%.

Gerdau Trading Down 0.6%

Shares of NYSE GGB traded down $0.03 during midday trading on Monday, reaching $4.15. 17,194,009 shares of the stock were exchanged, compared to its average volume of 21,676,057. The stock has a 50 day moving average price of $4.05 and a 200-day moving average price of $3.55. The company has a current ratio of 2.70, a quick ratio of 1.47 and a debt-to-equity ratio of 0.30. The company has a market capitalization of $8.28 billion, a P/E ratio of 15.35, a P/E/G ratio of 1.18 and a beta of 1.46. Gerdau has a 52-week low of $2.27 and a 52-week high of $4.66.

Institutional Trading of Gerdau

Hedge funds and other institutional investors have recently bought and sold shares of the company. Invesco Ltd. raised its holdings in Gerdau by 5.2% in the 4th quarter. Invesco Ltd. now owns 286,302 shares of the basic materials company’s stock valued at $1,056,000 after acquiring an additional 14,142 shares during the last quarter. Vident Advisory LLC boosted its holdings in shares of Gerdau by 29.9% during the fourth quarter. Vident Advisory LLC now owns 133,851 shares of the basic materials company’s stock worth $494,000 after purchasing an additional 30,800 shares during the last quarter. Mackenzie Financial Corp grew its position in shares of Gerdau by 80.6% in the fourth quarter. Mackenzie Financial Corp now owns 4,117,253 shares of the basic materials company’s stock valued at $15,286,000 after purchasing an additional 1,837,160 shares during the period. XTX Topco Ltd increased its stake in Gerdau by 86.8% in the fourth quarter. XTX Topco Ltd now owns 588,619 shares of the basic materials company’s stock valued at $2,172,000 after purchasing an additional 273,576 shares during the last quarter. Finally, Tudor Investment Corp ET AL purchased a new position in Gerdau during the fourth quarter worth about $91,000. 1.49% of the stock is owned by hedge funds and other institutional investors.

Analysts Set New Price Targets

GGB has been the topic of a number of research reports. Weiss Ratings restated a “hold (c)” rating on shares of Gerdau in a report on Monday, December 29th. Zacks Research upgraded shares of Gerdau from a “strong sell” rating to a “hold” rating in a research report on Tuesday, November 18th. Finally, UBS Group reissued a “buy” rating and set a $4.60 price objective (up from $4.00) on shares of Gerdau in a research note on Monday, December 15th. One analyst has rated the stock with a Buy rating and three have issued a Hold rating to the company’s stock. According to data from MarketBeat.com, the stock currently has a consensus rating of “Hold” and a consensus price target of $4.60.

About Gerdau

Gerdau SA is a Brazilian-based steel producer engaged in the manufacture and distribution of long steel products for the construction, industrial and agricultural sectors. Established in 1901, the company operates an integrated network of electric-arc furnaces and rolling mills, producing reinforcement bars, wire rod, merchant bars and structural shapes. Gerdau’s product portfolio also includes specialty long steel, high-yield reinforcement, rail, beams and steel coils, as well as value-added processing services such as cutting, bending and coating.

The company has expanded its footprint beyond Brazil, with significant operations in North America, South America and a presence in select European markets.