STEEL DYNAMICS INC (STLD) Stock Fundamental Analysis
USA - NASDAQ:STLD - US8581191009 - Common Stock
155.555 USD
+1.43 (+0.92%)
STLD gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 154 industry peers in the Metals & Mining industry. While STLD belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. STLD has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
STLD had positive earnings in the past year.
STLD had a positive operating cash flow in the past year.
In the past 5 years STLD has always been profitable.
Each year in the past 5 years STLD had a positive operating cash flow.
1.2 Ratios
With an excellent Return On Assets value of 7.06%, STLD belongs to the best of the industry, outperforming 80.52% of the companies in the same industry.
With an excellent Return On Equity value of 12.53%, STLD belongs to the best of the industry, outperforming 83.12% of the companies in the same industry.
The Return On Invested Capital of STLD (7.75%) is better than 72.73% of its industry peers.
The Average Return On Invested Capital over the past 3 years for STLD is significantly above the industry average of 12.58%.
The last Return On Invested Capital (7.75%) for STLD is well below the 3 year average (21.22%), which needs to be investigated, but indicates that STLD had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.06% | ||
| ROE | 12.53% | ||
| ROIC | 7.75% |
ROA(3y)18%
ROA(5y)17.12%
ROE(3y)30.79%
ROE(5y)31.2%
ROIC(3y)21.22%
ROIC(5y)20.87%
1.3 Margins
Looking at the Profit Margin, with a value of 6.39%, STLD is in the better half of the industry, outperforming 73.38% of the companies in the same industry.
In the last couple of years the Profit Margin of STLD has grown nicely.
STLD's Operating Margin of 7.96% is fine compared to the rest of the industry. STLD outperforms 64.29% of its industry peers.
STLD's Operating Margin has improved in the last couple of years.
STLD has a Gross Margin of 13.07%. This is comparable to the rest of the industry: STLD outperforms 48.70% of its industry peers.
STLD's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.96% | ||
| PM (TTM) | 6.39% | ||
| GM | 13.07% |
OM growth 3Y-22.02%
OM growth 5Y3.27%
PM growth 3Y-20.53%
PM growth 5Y6.45%
GM growth 3Y-18.14%
GM growth 5Y1.78%
2. Health
2.1 Basic Checks
STLD has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
The number of shares outstanding for STLD has been reduced compared to 1 year ago.
Compared to 5 years ago, STLD has less shares outstanding
STLD has a worse debt/assets ratio than last year.
2.2 Solvency
STLD has an Altman-Z score of 5.02. This indicates that STLD is financially healthy and has little risk of bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 5.02, STLD is in the better half of the industry, outperforming 67.53% of the companies in the same industry.
STLD has a debt to FCF ratio of 12.16. This is a negative value and a sign of low solvency as STLD would need 12.16 years to pay back of all of its debts.
STLD has a Debt to FCF ratio of 12.16. This is in the better half of the industry: STLD outperforms 61.69% of its industry peers.
STLD has a Debt/Equity ratio of 0.42. This is a healthy value indicating a solid balance between debt and equity.
STLD has a Debt to Equity ratio of 0.42. This is in the lower half of the industry: STLD underperforms 74.68% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.42 | ||
| Debt/FCF | 12.16 | ||
| Altman-Z | 5.02 |
ROIC/WACC0.88
WACC8.84%
2.3 Liquidity
STLD has a Current Ratio of 3.11. This indicates that STLD is financially healthy and has no problem in meeting its short term obligations.
STLD has a better Current ratio (3.11) than 64.29% of its industry peers.
STLD has a Quick Ratio of 1.47. This is a normal value and indicates that STLD is financially healthy and should not expect problems in meeting its short term obligations.
STLD has a Quick ratio of 1.47. This is comparable to the rest of the industry: STLD outperforms 46.10% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.11 | ||
| Quick Ratio | 1.47 |
3. Growth
3.1 Past
The earnings per share for STLD have decreased strongly by -31.67% in the last year.
The Earnings Per Share has been growing by 25.97% on average over the past years. This is a very strong growth
STLD shows a decrease in Revenue. In the last year, the revenue decreased by -1.49%.
Measured over the past years, STLD shows a quite strong growth in Revenue. The Revenue has been growing by 10.88% on average per year.
EPS 1Y (TTM)-31.67%
EPS 3Y-15.5%
EPS 5Y25.97%
EPS Q2Q%33.66%
Revenue 1Y (TTM)-1.49%
Revenue growth 3Y-1.6%
Revenue growth 5Y10.88%
Sales Q2Q%11.21%
3.2 Future
Based on estimates for the next years, STLD will show a quite strong growth in Earnings Per Share. The EPS will grow by 10.26% on average per year.
The Revenue is expected to grow by 4.81% on average over the next years.
EPS Next Y-9.16%
EPS Next 2Y15.47%
EPS Next 3Y14.15%
EPS Next 5Y10.26%
Revenue Next Year4.15%
Revenue Next 2Y6.3%
Revenue Next 3Y4.81%
Revenue Next 5YN/A
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 20.60 indicates a rather expensive valuation of STLD.
Based on the Price/Earnings ratio, STLD is valued a bit cheaper than the industry average as 77.27% of the companies are valued more expensively.
STLD's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 26.13.
A Price/Forward Earnings ratio of 11.90 indicates a reasonable valuation of STLD.
Based on the Price/Forward Earnings ratio, STLD is valued a bit cheaper than 74.68% of the companies in the same industry.
STLD is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 22.35, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.6 | ||
| Fwd PE | 11.9 |
4.2 Price Multiples
64.29% of the companies in the same industry are more expensive than STLD, based on the Enterprise Value to EBITDA ratio.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of STLD indicates a somewhat cheap valuation: STLD is cheaper than 62.34% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 73.63 | ||
| EV/EBITDA | 13.29 |
4.3 Compensation for Growth
STLD has an outstanding profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as STLD's earnings are expected to grow with 14.15% in the coming years.
PEG (NY)N/A
PEG (5Y)0.79
EPS Next 2Y15.47%
EPS Next 3Y14.15%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.26%, STLD has a reasonable but not impressive dividend return.
STLD's Dividend Yield is a higher than the industry average which is at 2.63.
With a Dividend Yield of 1.26, STLD pays less dividend than the S&P500 average, which is at 2.39.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.26% |
5.2 History
On average, the dividend of STLD grows each year by 14.81%, which is quite nice.
STLD has paid a dividend for at least 10 years, which is a reliable track record.
STLD has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)14.81%
Div Incr Years12
Div Non Decr Years14
5.3 Sustainability
STLD pays out 25.60% of its income as dividend. This is a sustainable payout ratio.
The dividend of STLD is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP25.6%
EPS Next 2Y15.47%
EPS Next 3Y14.15%
NASDAQ:STLD (11/6/2025, 9:31:34 AM)
155.555
+1.43 (+0.92%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryMetals & Mining
Earnings (Last)
Earnings (Next)
Inst Owners83.09%
Inst Owner Change0.21%
Ins Owners6.22%
Ins Owner Change-1.14%
Market Cap22.90B
Revenue(TTM)17.63B
Net Income(TTM)1.13B
Analysts80
Price Target163.18 (4.9%)
Short Float %2.18%
Short Ratio2.33
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.26% |
Yearly Dividend1.82
Dividend Growth(5Y)14.81%
DP25.6%
Div Incr Years12
Div Non Decr Years14
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-2.17%
Min EPS beat(2)-6.16%
Max EPS beat(2)1.82%
EPS beat(4)3
Avg EPS beat(4)0.56%
Min EPS beat(4)-6.16%
Max EPS beat(4)4.52%
EPS beat(8)5
Avg EPS beat(8)0.33%
EPS beat(12)7
Avg EPS beat(12)2.02%
EPS beat(16)10
Avg EPS beat(16)2.61%
Revenue beat(2)0
Avg Revenue beat(2)-3.63%
Min Revenue beat(2)-5.89%
Max Revenue beat(2)-1.36%
Revenue beat(4)1
Avg Revenue beat(4)-2.3%
Min Revenue beat(4)-5.89%
Max Revenue beat(4)2.08%
Revenue beat(8)4
Avg Revenue beat(8)-0.92%
Revenue beat(12)6
Avg Revenue beat(12)-1.81%
Revenue beat(16)9
Avg Revenue beat(16)-0.87%
PT rev (1m)7.66%
PT rev (3m)7.38%
EPS NQ rev (1m)-5.56%
EPS NQ rev (3m)-9.22%
EPS NY rev (1m)-1.17%
EPS NY rev (3m)-11.09%
Revenue NQ rev (1m)-1.43%
Revenue NQ rev (3m)-2.41%
Revenue NY rev (1m)-0.15%
Revenue NY rev (3m)-0.99%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.6 | ||
| Fwd PE | 11.9 | ||
| P/S | 1.3 | ||
| P/FCF | 73.63 | ||
| P/OCF | 15.03 | ||
| P/B | 2.55 | ||
| P/tB | 2.76 | ||
| EV/EBITDA | 13.29 |
EPS(TTM)7.55
EY4.85%
EPS(NY)13.07
Fwd EY8.4%
FCF(TTM)2.11
FCFY1.36%
OCF(TTM)10.35
OCFY6.65%
SpS119.8
BVpS61.11
TBVpS56.46
PEG (NY)N/A
PEG (5Y)0.79
Graham Number101.89
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.06% | ||
| ROE | 12.53% | ||
| ROCE | 10.02% | ||
| ROIC | 7.75% | ||
| ROICexc | 8.21% | ||
| ROICexgc | 8.65% | ||
| OM | 7.96% | ||
| PM (TTM) | 6.39% | ||
| GM | 13.07% | ||
| FCFM | 1.76% |
ROA(3y)18%
ROA(5y)17.12%
ROE(3y)30.79%
ROE(5y)31.2%
ROIC(3y)21.22%
ROIC(5y)20.87%
ROICexc(3y)25.25%
ROICexc(5y)24.52%
ROICexgc(3y)27.22%
ROICexgc(5y)26.63%
ROCE(3y)27.41%
ROCE(5y)26.96%
ROICexgc growth 3Y-30.83%
ROICexgc growth 5Y-3.41%
ROICexc growth 3Y-30.22%
ROICexc growth 5Y-1.67%
OM growth 3Y-22.02%
OM growth 5Y3.27%
PM growth 3Y-20.53%
PM growth 5Y6.45%
GM growth 3Y-18.14%
GM growth 5Y1.78%
F-Score5
Asset Turnover1.1
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.42 | ||
| Debt/FCF | 12.16 | ||
| Debt/EBITDA | 1.96 | ||
| Cap/Depr | 228.53% | ||
| Cap/Sales | 6.88% | ||
| Interest Coverage | 10.76 | ||
| Cash Conversion | 78.79% | ||
| Profit Quality | 27.6% | ||
| Current Ratio | 3.11 | ||
| Quick Ratio | 1.47 | ||
| Altman-Z | 5.02 |
F-Score5
WACC8.84%
ROIC/WACC0.88
Cap/Depr(3y)335.1%
Cap/Depr(5y)332.49%
Cap/Sales(3y)7.85%
Cap/Sales(5y)8.3%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-31.67%
EPS 3Y-15.5%
EPS 5Y25.97%
EPS Q2Q%33.66%
EPS Next Y-9.16%
EPS Next 2Y15.47%
EPS Next 3Y14.15%
EPS Next 5Y10.26%
Revenue 1Y (TTM)-1.49%
Revenue growth 3Y-1.6%
Revenue growth 5Y10.88%
Sales Q2Q%11.21%
Revenue Next Year4.15%
Revenue Next 2Y6.3%
Revenue Next 3Y4.81%
Revenue Next 5YN/A
EBIT growth 1Y-36.91%
EBIT growth 3Y-23.27%
EBIT growth 5Y14.51%
EBIT Next Year16.38%
EBIT Next 3Y17.89%
EBIT Next 5Y13.47%
FCF growth 1Y-86.55%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-59.89%
OCF growth 3Y-5.76%
OCF growth 5Y5.73%
STEEL DYNAMICS INC / STLD FAQ
Can you provide the ChartMill fundamental rating for STEEL DYNAMICS INC?
ChartMill assigns a fundamental rating of 6 / 10 to STLD.
Can you provide the valuation status for STEEL DYNAMICS INC?
ChartMill assigns a valuation rating of 5 / 10 to STEEL DYNAMICS INC (STLD). This can be considered as Fairly Valued.
Can you provide the profitability details for STEEL DYNAMICS INC?
STEEL DYNAMICS INC (STLD) has a profitability rating of 8 / 10.
What are the PE and PB ratios of STEEL DYNAMICS INC (STLD) stock?
The Price/Earnings (PE) ratio for STEEL DYNAMICS INC (STLD) is 20.6 and the Price/Book (PB) ratio is 2.55.
What is the financial health of STEEL DYNAMICS INC (STLD) stock?
The financial health rating of STEEL DYNAMICS INC (STLD) is 6 / 10.