Steel Dynamics (STLD) Stock Moves -1.53%: What You Should Know

The latest trading session saw Steel Dynamics (STLD) ending at $116.76, denoting a -1.53% adjustment from its last day's close. The stock exceeded the S&P 500, which registered a loss of 2.95% for the day. Elsewhere, the Dow lost 2.59%, while the tech-heavy Nasdaq lost 3.56%.

Heading into today, shares of the steel producer and metals recycler had lost 15.45% over the past month, lagging the Basic Materials sector's loss of 3.07% and the S&P 500's gain of 3.15% in that time.

Investors will be eagerly watching for the performance of Steel Dynamics in its upcoming earnings disclosure. The company is forecasted to report an EPS of $1.56, showcasing a 40.23% downward movement from the corresponding quarter of the prior year. Our most recent consensus estimate is calling for quarterly revenue of $4.03 billion, down 4.91% from the year-ago period.

Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $10.07 per share and revenue of $17.74 billion, indicating changes of -32.64% and -5.63%, respectively, compared to the previous year.

Any recent changes to analyst estimates for Steel Dynamics should also be noted by investors. Such recent modifications usually signify the changing landscape of near-term business trends. Consequently, upward revisions in estimates express analysts' positivity towards the company's business operations and its ability to generate profits.

Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.

The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 0.33% lower. Steel Dynamics is currently sporting a Zacks Rank of #3 (Hold).

In terms of valuation, Steel Dynamics is presently being traded at a Forward P/E ratio of 11.78. This indicates a discount in contrast to its industry's Forward P/E of 12.25.

The Steel - Producers industry is part of the Basic Materials sector. This industry currently has a Zacks Industry Rank of 218, which puts it in the bottom 14% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.