Steel Dynamics, Inc.

$ 249.91 -7.49 %

Steel Dynamics, Inc. is a prominent American steel manufacturer and metal recycling enterprise, conducting its operations through three distinct business divisions. The Steel Operations segment is responsible for producing a broad range of steel products, including hot, cold, and coated rolled steel, various structural shapes like beams, channels, and angles, flat and reinforcing bars, and a diverse selection of rail and engineered steel bar products. This segment also provides specialized processing services for both bar products (such as turning, polishing, and heat treating) and specialty items (including cutting, welding, and galvanizing). Its offerings cater to numerous industries, such as construction, automotive, manufacturing, transportation, heavy and agricultural equipment, and pipe and tube production. Sales are channeled directly to end-users, steel fabricators, and service centers. The Metals Recycling Operations division focuses on acquiring, processing, and reselling ferrous (e.g., heavy melting steel, shredded scrap, cast iron) and nonferrous (e.g., aluminum, copper, stainless steel) scrap metals, transforming them into reusable materials. This division further offers supplementary services including transportation logistics, marketing, brokerage, and scrap management. The Steel Fabrication Operations segment manufactures crucial components for commercial building construction, such as steel joists, girders, trusses, and steel deck products. Established in 1993 and headquartered in Fort Wayne, Indiana, the company also engages in exporting its products internationally.

CEO: Mark D. Millett - https://www.steeldynamics.com

Price objectif

$235.25 -5.87 %

Recommandation

Buy

DCF

$ 98.71

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STLD vs S&P500

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Quick ratio

1.33

suggests a healthy liquidity position, showing that the company can likely meet its short-term obligations.

P/E ratio

26.79

is considered reasonable, suggesting that the company has a valuation in line with its current profits.

EPS

9.33

is the net profit of a company divided by the number of outstanding shares, indicating the profit earned per share.

ROE

15.25 %

reflects reasonable profitability, showing good use of equity.

ROIC

8.97 %

does not generate enough return to cover its financing costs, which indicates value destruction and may pose long-term profitability issues.

WACC

10.58

is a company's average cost of capital, weighted by the proportion of debt and equity in its financing. It represents the minimum return the company must generate to satisfy its investors.

Debt-to-Equity Ratio

0.46

indicates that the company uses more equity than debt, suggesting prudent management.

Free cash flow per share

4.59

is a measure of a company's financial flexibility that is determined by dividing free cash flow by the total number of shares outstanding.

Dividend payout ratio

21.44 %

indicates that the company is retaining a large portion of its profits to reinvest in growth

Earnings per share

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Financials

Piotroski score
8 indicates good financial health
Altman score
6.28 indicates good financial health and low risk of bankruptcy
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Cash / Debt

Cash Ratio
0.26 indicates liquidity risk, as the company may not have enough cash to meet its immediate obligations
Debt Ratio
0.25 indicates that the company uses little debt to finance its assets, suggesting good financial stability
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Free Cash Flow

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Earnings Per Share (annual)

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Sales

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