Published: Mon, March 20, 2017
Economy | By Annette Adams

Stocks in Limelight: Steel Dynamics Inc. (STLD), Franklin Resources, Inc. (BEN)


-9.19% (High), 73.45%, (Low).

The company reported its EPS on 01/24/2017. Finally, Credit Suisse Group AG cut Steel Dynamics from an "outperform" rating to a "neutral" rating and boosted their target price for the stock from $33.00 to $36.00 in a research note on Thursday, January 12th. Barclays PLC set a $40.00 target price on Steel Dynamics and gave the company a buy rating in a report on Sunday, January 29th. Six equities research analysts have rated the stock with a hold rating and thirteen have issued a buy rating to the stock. Currently, the stock has a 1 Year Price Target of $41.46.

STLD's price-to-earnings of 22.6 lies below the industry average, already indicating the company could be considered undervalued.But to properly examine a value of a high growth stock like Steel Dynamics we must include its earnings growth in the calculation using the PEG ratio. The company has a market cap of $8,586 million and there are 242,349,760 shares in outstanding. The company has a market capitalization of $8.84 billion, a P/E ratio of 23.39 and a beta of 1.35. Steel Dynamics, Inc. has a 52-week low of 21.41 and a 52-week high of 40.17.

Steel Dynamics is available at price to earnings ratio of 22.6x, showing us it is undervalued based on the latest annual earnings update compared to the Materials average of 28.4x and undervalued relative to the current USA market average of 25.5x.

Steel Dynamics (STLD) became the second steel maker in two days to issue bullish earnings guidance after Nucor (NUE) also ramped up targets. The company reported $0.43 earnings per share for the quarter, hitting analysts' consensus estimates of $0.43.

Steel Dynamics Inc. (NASDAQ:STLD) is now showing its ROA (Return on Assets) of 5.8%. The company had revenue of $1.91 billion for the quarter, compared to analysts' expectations of $1.88 billion. (STLD)'s shares have the potential to reach a high EPS of 0.74 per share, and a low EPS of 0.49 per share in the current quarter.

Considering the performance, Steel Dynamics Inc. On average, equities analysts anticipate that Steel Dynamics will post $2.56 EPS for the current year. Stockholders of record on Friday, March 31st will be given a dividend of $0.155 per share. This is a boost from Steel Dynamics's previous quarterly dividend of $0.14. The company pays a US$0.14-cent-per-share quarterly dividend, giving it a 1.58% yield. UBS Asset Management Americas Inc. boosted its stake in Steel Dynamics by 31.2% in the third quarter.

Several large investors have recently added to or reduced their stakes in the company.

On 9/18/2015 Steel Dynamics announced a quarterly dividend of $0.14 3.07% with an ex dividend date of 9/28/2015 which will be payable on 10/9/2015. Vident Investment Advisory LLC now owns 90,677 shares of the company's stock worth $3,226,000 after buying an additional 3,126 shares during the period.

10/26/2016 - Steel Dynamics, Inc. was upgraded to "buy" by analysts at Bank of America Merrill Lynch. Putnam Investments LLC raised its position in shares of Steel Dynamics by 0.3% in the fourth quarter. The most recent short interest data show 5.94% of the company's stock are short sold. The equity has slowed down in recent weeks, with shares lower about -2.38% in the past three months.

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