Steel Dynamics Inc. [NASDAQ: STLD] stock went down by -5.75% or -1.2 points down from its previous closing price of 20.87. The stock reached $19.67 during the last trading session. During the course of the last 5 trading session in the week, STLD share price went up during 2 out of 5 days, that way gaining 26.90% in the period of the last 7 days.
STLD had two major price movements with the latest trading session as the price jumped to a high of $21.37, at one point touching $19.10. The latest high is set lower that the high price recorded in the period of the last 52 weeks, set at -45.57%. The 52-week high currently stands at 36.14 distance from the present share price, noting recovery -42.50% after the recent low of 14.98.
Steel Dynamics Inc. [NASDAQ:STLD]: Analyst Rating and Earnings
Stock market traders frequently keep their eyes on what Wall Street experts as it relates to a potential investment. For Steel Dynamics Inc. [STLD], the most recent analyst consensus recommendation available since its latest financial results for the quarter ending in 12/30/2019. On average, stock market experts give STLD an Overweight rating. The average 12-month price forecast for this stock is $19.67, with the high estimate being $43.00, the low estimate being $18.00 and the median estimate amounting to $30.00. This is compared to its latest closing price of $20.87.
Keep your eyes peeled for the soon-to-be-published financial results of this company, which are expected to be made public on 04/15/2020.
Fundamental Analysis of Steel Dynamics Inc. [STLD]
Now let’s turn to look at profitability: with a current Operating Margin for Steel Dynamics Inc. [STLD] sitting at 9.40% and its Gross Margin at 14.60%, this company’s Net Margin is now 6.40. These metrics indicate that this company is not generating as much profit, after accounting for expenses, compared to its market peers.
This company’s Return on Total Capital is 15.04, and its Return on Invested Capital has reached 10.32. Its Return on Equity is 16.60%, and its Return on Assets is 8.40%. These metrics all suggest that Steel Dynamics Inc. is doing well at using the money it earns to generate returns.
Turning to investigate this organization’s capital structure, Steel Dynamics Inc. [STLD] has generated a Total Debt to Total Equity ratio of 67.09. Similarly, its Total Debt to Total Capital is 40.15, while its Total Debt to Total Assets stands at 36.24. Looking toward the future, this publicly-traded company’s Long-Term Debt to Equity is 64.89, and its Long-Term Debt to Total Capital is 38.84.
What about valuation? This company’s Enterprise Value to EBITDA is 3.85 and its Total Debt to EBITDA Value is 2.09. The Enterprise Value to Sales for this firm is now 0.48, and its Total Debt to Enterprise Value stands at 0.32. Steel Dynamics Inc. [STLD] has a Price to Book Ratio of 1.79, a Price to Cash Flow Ratio of 5.38 and P/E Ratio of 6.49. These metrics all suggest that Steel Dynamics Inc. is more likely to generate a positive ROI.
Steel Dynamics Inc. [STLD] has 215.12M shares outstanding, amounting to a total market cap of 4.23B. Its stock price has been found in the range of 14.98 to 36.14. At its current price, it has moved down by -45.57% from its 52-week high, and it has moved up 31.31% from its 52-week low.
This stock’s Beta value is currently 1.84, which indicates that it is 14.43% more volatile that the wider market. This stock’s Relative Strength Index (RSI) is at 41.89. This RSI score is good, suggesting this stock is neither overbought or oversold.
Conclusion: Is Steel Dynamics Inc. [STLD] a Reliable Buy?
Shares of Steel Dynamics Inc. [STLD], overall, appear to be a solid investment option, with Wall Street analysts expecting its price to rise considerably in the next 12 months. This company generates high value from the labor resources and other capital it has available, and while it has heavy Long-Term Debt to Equity, the majority of the metrics point to this investment being highly attractive.