Steel Dynamics, Inc. (NASDAQ:STLD) Plans Dividend Increase – $0.25 Per Share

Steel Dynamics, Inc. (NASDAQ:STLD) declared a quarterly dividend on Wednesday, February 26th, RTT News reports. Shareholders of record on Tuesday, March 31st will be paid a dividend of 0.25 per share by the basic materials company on Friday, April 10th. This represents a $1.00 dividend on an annualized basis and a yield of 3.59%. This is a positive change from Steel Dynamics’s previous quarterly dividend of $0.24.

Steel Dynamics has raised its dividend payment by an average of 15.7% per year over the last three years and has raised its dividend annually for the last 7 consecutive years. Steel Dynamics has a payout ratio of 36.6% meaning its dividend is sufficiently covered by earnings. Equities analysts expect Steel Dynamics to earn $2.25 per share next year, which means the company should continue to be able to cover its $0.96 annual dividend with an expected future payout ratio of 42.7%.

NASDAQ STLD traded down $0.19 on Wednesday, reaching $27.86. 1,517,161 shares of the stock traded hands, compared to its average volume of 2,108,767. The firm’s fifty day simple moving average is $30.71 and its 200 day simple moving average is $30.84. The company has a quick ratio of 2.55, a current ratio of 4.22 and a debt-to-equity ratio of 0.67. The company has a market cap of $6.11 billion, a price-to-earnings ratio of 9.19, a P/E/G ratio of 0.92 and a beta of 1.64. Steel Dynamics has a 12 month low of $25.02 and a 12 month high of $38.41.

Steel Dynamics (NASDAQ:STLD) last released its quarterly earnings data on Wednesday, January 22nd. The basic materials company reported $0.62 earnings per share for the quarter, topping the consensus estimate of $0.56 by $0.06. The business had revenue of $2.37 billion during the quarter, compared to analyst estimates of $2.27 billion. Steel Dynamics had a return on equity of 17.55% and a net margin of 6.40%. During the same period last year, the company posted $1.31 EPS. As a group, equities research analysts forecast that Steel Dynamics will post 2.66 EPS for the current fiscal year.

Several analysts have recently commented on STLD shares. Zacks Investment Research raised Steel Dynamics from a “hold” rating to a “buy” rating and set a $36.00 target price for the company in a research report on Friday, January 3rd. Longbow Research raised Steel Dynamics from a “neutral” rating to a “buy” rating and set a $40.00 target price for the company in a research report on Monday, December 9th. BidaskClub raised Steel Dynamics from a “strong sell” rating to a “sell” rating in a research report on Friday, February 21st. UBS Group decreased their target price on Steel Dynamics from $47.00 to $46.00 and set a “buy” rating for the company in a research report on Friday, November 15th. Finally, BNP Paribas started coverage on Steel Dynamics in a research report on Thursday, November 14th. They issued an “outperform” rating and a $40.00 target price for the company. One investment analyst has rated the stock with a sell rating, six have issued a hold rating and seven have given a buy rating to the company. The company has a consensus rating of “Hold” and an average price target of $34.75.

About Steel Dynamics

Steel Dynamics, Inc, together with its subsidiaries, engages in the steel products manufacturing and metals recycling businesses in the United States and internationally. 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.

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Dividend History for Steel Dynamics (NASDAQ:STLD)

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