Short Interest in Steel Dynamics, Inc. (NASDAQ:STLD) Increases By 20.0%

Steel Dynamics, Inc. (NASDAQ:STLD) was the target of a significant increase in short interest in February. As of February 13th, there was short interest totaling 4,434,070 shares, an increase of 20.0% from the January 29th total of 3,693,970 shares. Approximately 3.2% of the company’s shares are short sold. Based on an average trading volume of 1,560,670 shares, the short-interest ratio is presently 2.8 days. Based on an average trading volume of 1,560,670 shares, the short-interest ratio is presently 2.8 days. Approximately 3.2% of the company’s shares are short sold.

Analyst Upgrades and Downgrades

A number of research analysts have recently weighed in on STLD shares. JPMorgan Chase & Co. lifted their price target on Steel Dynamics from $165.00 to $190.00 and gave the company a “neutral” rating in a report on Friday, December 5th. UBS Group set a $165.00 price target on shares of Steel Dynamics in a report on Tuesday, November 4th. Morgan Stanley reiterated an “equal weight” rating and set a $194.00 price objective (up from $173.00) on shares of Steel Dynamics in a report on Friday, January 9th. KeyCorp restated an “overweight” rating and issued a $190.00 target price on shares of Steel Dynamics in a research note on Wednesday, January 7th. Finally, Weiss Ratings reissued a “hold (c+)” rating on shares of Steel Dynamics in a research note on Monday, December 29th. Five equities research analysts have rated the stock with a Buy rating and five have assigned a Hold rating to the company. According to MarketBeat, the stock has an average rating of “Moderate Buy” and an average target price of $184.22.

Steel Dynamics Price Performance

NASDAQ STLD opened at $197.45 on Wednesday. The company has a market cap of $28.61 billion, a P/E ratio of 24.65, a P/E/G ratio of 0.54 and a beta of 1.43. Steel Dynamics has a 1 year low of $103.17 and a 1 year 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. The company has a fifty day simple moving average of $183.30 and a 200 day simple moving average of $161.27.

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

Steel Dynamics Increases Dividend

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

Hedge Funds Weigh In On Steel Dynamics

A number of hedge funds have recently made changes to their positions in the business. Life Cycle Investment Partners Ltd bought a new stake in Steel Dynamics in the fourth quarter valued at about $586,702,000. Norges Bank acquired a new position in shares of Steel Dynamics in the 4th quarter worth approximately $564,590,000. Boston Partners lifted its position 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 buying an additional 1,070,042 shares during the period. Qube Research & Technologies Ltd acquired a new stake in Steel Dynamics in the 2nd quarter valued at $48,746,000. Finally, Lord Abbett & CO. LLC raised its stake in Steel Dynamics by 28.0% during the fourth quarter. Lord Abbett & CO. LLC now owns 1,629,401 shares of the basic materials company’s stock worth $276,102,000 after acquiring an additional 356,507 shares in the last quarter. Institutional investors and hedge funds own 82.41% of the company’s stock.

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.