Steel Dynamics, Inc., together with its subsidiaries, operates as a steel producer and metal recycler in the United States.
Undervalued with excellent balance sheet and pays a dividend.
Share Price & News
How has Steel Dynamics's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: STLD's share price has been volatile over the past 3 months.
7 Day Return
US Metals and Mining
1 Year Return
US Metals and Mining
Return vs Industry: STLD underperformed the US Metals and Mining industry which returned -29.3% over the past year.
Return vs Market: STLD underperformed the US Market which returned -12.7% over the past year.
Price Volatility Vs. Market
How volatile is Steel Dynamics's share price compared to the market and industry in the last 5 years?
Simply Wall St News
5 days ago | Simply Wall StHere's What We Like About Steel Dynamics, Inc.'s (NASDAQ:STLD) Upcoming Dividend
1 week ago | Simply Wall StHow Does Steel Dynamics's (NASDAQ:STLD) P/E Compare To Its Industry, After The Share Price Drop?
1 week ago | Simply Wall StInvestors Who Bought Steel Dynamics (NASDAQ:STLD) Shares A Year Ago Are Now Down 50%
Is Steel Dynamics undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: STLD ($20.29) is trading below our estimate of fair value ($32.36)
Significantly Below Fair Value: STLD is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: STLD is good value based on its PE Ratio (6.6x) compared to the Metals and Mining industry average (7.8x).
PE vs Market: STLD is good value based on its PE Ratio (6.6x) compared to the US market (13x).
Price to Earnings Growth Ratio
PEG Ratio: STLD's earnings are forecast to decline next year, so we can't calculate its PEG ratio.
Price to Book Ratio
PB vs Industry: STLD is good value based on its PB Ratio (1.1x) compared to the US Metals and Mining industry average (1.1x).
How is Steel Dynamics forecast to perform in the next 1 to 3 years based on estimates from 10 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: STLD's earnings are forecast to decline over the next 3 years (-6.7% per year).
Earnings vs Market: STLD's earnings are forecast to decline over the next 3 years (-6.7% per year).
High Growth Earnings: STLD's earnings are forecast to decline over the next 3 years.
Revenue vs Market: STLD's revenue (3.2% per year) is forecast to grow slower than the US market (7.3% per year).
High Growth Revenue: STLD's revenue (3.2% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: STLD's Return on Equity is forecast to be low in 3 years time (12.1%).
How has Steel Dynamics performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: STLD has high quality earnings.
Growing Profit Margin: STLD's current net profit margins (6.4%) are lower than last year (10.6%).
Past Earnings Growth Analysis
Earnings Trend: STLD's earnings have grown significantly by 45.5% per year over the past 5 years.
Accelerating Growth: STLD's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: STLD had negative earnings growth (-46.7%) over the past year, making it difficult to compare to the Metals and Mining industry average (-26.9%).
Return on Equity
High ROE: STLD's Return on Equity (16.7%) is considered low.
How is Steel Dynamics's financial position?
Financial Position Analysis
Short Term Liabilities: STLD's short term assets ($4.3B) exceed its short term liabilities ($1.0B).
Long Term Liabilities: STLD's short term assets ($4.3B) exceed its long term liabilities ($3.2B).
Debt to Equity History and Analysis
Debt Level: STLD's debt to equity ratio (67.3%) is considered high.
Reducing Debt: STLD's debt to equity ratio has reduced from 101.9% to 67.3% over the past 5 years.
Debt Coverage: STLD's debt is well covered by operating cash flow (51.1%).
Interest Coverage: STLD's interest payments on its debt are well covered by EBIT (7.8x coverage).
Inventory Level: STLD has a high level of physical assets or inventory.
Debt Coverage by Assets: STLD's debt is covered by short term assets (assets are 1.6x debt).
What is Steel Dynamics's current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: STLD's dividend (4.93%) is higher than the bottom 25% of dividend payers in the US market (1.98%).
High Dividend: STLD's dividend (4.93%) is low compared to the top 25% of dividend payers in the US market (5.49%).
Stability and Growth of Payments
Stable Dividend: STLD's dividends per share have been stable in the past 10 years.
Growing Dividend: STLD's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonably low payout ratio (31.4%), STLD's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: STLD's dividends in 3 years are forecast to be well covered by earnings (35.3% payout ratio).
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Mark Millett (59yo)
Mr. Mark D. Millett is a Co-founder of Steel Dynamics Inc. and has been its President and Chief Executive Officer since January 01, 2012. Mr. Millett served as Chief Operating Officer at Steel Dynamics Inc ...
CEO Compensation Analysis
Compensation vs Market: Mark's total compensation ($USD10.62M) is above average for companies of similar size in the US market ($USD5.55M).
Compensation vs Earnings: Mark's compensation has been consistent with company performance over the past year.
|Co-Founder & Director||27.17yrs||US$230.00k||2.41% $104.0m|
|Executive VP||12.83yrs||US$4.42m||0.18% $7.7m|
|Senior Vice President of Special Projects||4yrs||US$2.81m||0.056% $2.4m|
|Senior Vice President of Flat Roll Steel Group||4yrs||US$2.81m||0.041% $1.8m|
|Executive Vice President of Metals Recycling||8.67yrs||US$3.39m||0.11% $4.9m|
|Director of Investor Relations||no data||no data||no data|
|Vice President of Human Resources & Safety||no data||no data||no data|
|Senior Vice President of Long Products Steel Group||4yrs||US$2.03m||0.023% $1.0m|
|Senior Vice President of Southwest U.S. & Mexico||1yr||no data||0.012% $505.7k|
Experienced Management: STLD's management team is considered experienced (4 years average tenure).
|Co-Founder & Director||27.17yrs||US$230.00k||2.41% $104.0m|
|Co-Founder & Non-Executive Chairman||27.17yrs||US$380.00k||0.48% $20.6m|
|Independent Director||7.58yrs||US$262.50k||0.020% $845.8k|
|Independent Director||15yrs||US$249.50k||0.036% $1.5m|
|Independent Director||6.25yrs||US$252.50k||0.018% $757.3k|
|Independent Director||1.42yrs||US$245.75k||0.0037% $157.9k|
|Independent Director||10.5yrs||US$262.00k||0.036% $1.6m|
|Lead Independent Director||8.25yrs||US$291.00k||0.037% $1.6m|
|Independent Director||3.83yrs||US$245.00k||0.011% $457.4k|
Experienced Board: STLD's board of directors are considered experienced (9.4 years average tenure).
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: STLD insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Steel Dynamics, Inc.'s company bio, employee growth, exchange listings and data sources
- Name: Steel Dynamics, Inc.
- Ticker: STLD
- Exchange: NasdaqGS
- Founded: 1993
- Industry: Steel
- Sector: Materials
- Market Cap: US$4.315b
- Shares outstanding: 212.68m
- Website: https://www.steeldynamics.com
Number of Employees
- Steel Dynamics, Inc.
- 7575 West Jefferson Boulevard
- Fort Wayne
- United States
|Ticker||Exchange||Primary Security||Security Type||Country||Currency||Listed on|
|STLD||NasdaqGS (Nasdaq Global Select)||Yes||Common Stock||US||USD||Nov 1996|
|SD5||DB (Deutsche Boerse AG)||Yes||Common Stock||DE||EUR||Nov 1996|
|STLD *||BMV (Bolsa Mexicana de Valores)||Yes||Common Stock||MX||MXN||Nov 1996|
|SD5||ETLX (Eurotlx)||Yes||Common Stock||IT||EUR||Nov 1996|
|SD5||BRSE (Berne Stock Exchange)||Yes||Common Stock||CH||CHF||Nov 1996|
Steel Dynamics, Inc., together with its subsidiaries, operates as a steel producer and metal recycler in the United States. It operates through three segments: Steel Operations, Metals Recycling Operations, and Steel Fabrication Operations. The Steel Operations segment offers hot roll, cold roll, and coated steel products; structural steel beams, pilings, and standard and premium grade rail products; engineered special-bar-quality products; and merchant-bar-quality products, including rounds, angles, flats, reinforcing bars, and channels and specialty steel sections. This segment is also involved in the turning, polishing, straightening, chamfering, threading, precision saw-cutting, cold drawing, and heat treating of bar products; and cutting to length, straightening, hole punching, shot blasting, welding, and coating of beams, channels, and specialty steel sections. Its products are used in construction, automotive, manufacturing, transportation, heavy and agriculture equipment, and pipe and tube industry sectors. This segment sells its products directly to end-users, steel fabricators, and service centers. The Metals Recycling Operations segment engages in the purchase, process, and resale of ferrous and nonferrous scrap metals into reusable forms and grades. Its ferrous products include heavy melting steel, busheling, bundled scrap, shredded scrap, steel turnings, and cast iron products; and nonferrous products comprise aluminum, brass, copper, stainless steel, and other nonferrous metals. This segment also provides transportation logistics, marketing, brokerage, and scrap management services. The Steel Fabrication Operations segment produces steel building components comprising steel joists, girders, trusses, and steel deck products for non-residential steel fabricators. The company also exports its products. Steel Dynamics, Inc. was founded in 1993 and is headquartered in Fort Wayne, Indiana.
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2020/03/30 02:21|
|End of Day Share Price||2020/03/27 00:00|
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.