167.83 USD
+1.21 (+0.73%)
168 USD
+0.17 (+0.1%)
We assign a fundamental rating of 6 out of 10 to STLD. STLD was compared to 153 industry peers in the Metals & Mining industry. STLD scores excellent on profitability, but there are some minor concerns on its financial health. STLD has a correct valuation and a medium growth rate.
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.
STLD had positive earnings in each of the past 5 years.
In the past 5 years STLD always reported a positive cash flow from operatings.
1.2 Ratios
STLD has a better Return On Assets (7.06%) than 79.08% of its industry peers.
With an excellent Return On Equity value of 12.53%, STLD belongs to the best of the industry, outperforming 81.05% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 7.75%, STLD is in the better half of the industry, outperforming 71.90% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for STLD is significantly above the industry average of 13.09%.
The 3 year average ROIC (21.22%) for STLD is well above the current ROIC(7.75%). The reason for the recent decline needs to be investigated.
| 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
STLD has a Profit Margin of 6.39%. This is in the better half of the industry: STLD outperforms 71.24% of its industry peers.
In the last couple of years the Profit Margin of STLD has grown nicely.
STLD has a Operating Margin of 7.96%. This is in the better half of the industry: STLD outperforms 64.05% of its industry peers.
STLD's Operating Margin has improved in the last couple of years.
STLD has a Gross Margin (13.07%) which is comparable to the rest of the industry.
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.
STLD has less shares outstanding than it did 1 year ago.
STLD has less shares outstanding than it did 5 years ago.
STLD has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 5.17 indicates that STLD is not in any danger for bankruptcy at the moment.
STLD has a better Altman-Z score (5.17) than 65.36% of its industry peers.
The Debt to FCF ratio of STLD is 12.16, which is on the high side as it means it would take STLD, 12.16 years of fcf income to pay off all of its debts.
STLD has a better Debt to FCF ratio (12.16) than 60.13% of its industry peers.
A Debt/Equity ratio of 0.42 indicates that STLD is not too dependend on debt financing.
The Debt to Equity ratio of STLD (0.42) is worse than 75.82% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.42 | ||
| Debt/FCF | 12.16 | ||
| Altman-Z | 5.17 |
ROIC/WACC0.85
WACC9.08%
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.
With a decent Current ratio value of 3.11, STLD is doing good in the industry, outperforming 64.05% of the companies in the same industry.
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 (1.47) which is in line with 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.
Measured over the past years, STLD shows a very strong growth in Earnings Per Share. The EPS has been growing by 25.97% on average per year.
Looking at the last year, STLD shows a decrease in Revenue. The Revenue has decreased by -1.49% in the last year.
The Revenue has been growing by 10.88% on average over the past years. This is quite good.
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
STLD is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 13.76% yearly.
Based on estimates for the next years, STLD will show a small growth in Revenue. The Revenue will grow by 5.16% on average per year.
EPS Next Y-11.7%
EPS Next 2Y16.49%
EPS Next 3Y14.97%
EPS Next 5Y13.76%
Revenue Next Year4.25%
Revenue Next 2Y6.48%
Revenue Next 3Y5.16%
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.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 22.23 indicates a rather expensive valuation of STLD.
STLD's Price/Earnings ratio is a bit cheaper when compared to the industry. STLD is cheaper than 76.47% of the companies in the same industry.
STLD is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 26.31, which is the current average of the S&P500 Index.
STLD is valuated correctly with a Price/Forward Earnings ratio of 12.62.
STLD's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. STLD is cheaper than 74.51% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of STLD to the average of the S&P500 Index (36.59), we can say STLD is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.23 | ||
| Fwd PE | 12.62 |
4.2 Price Multiples
64.05% 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 61.44% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 79.44 | ||
| EV/EBITDA | 14.24 |
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 14.97% in the coming years.
PEG (NY)N/A
PEG (5Y)0.86
EPS Next 2Y16.49%
EPS Next 3Y14.97%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.20%, STLD has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 2.72, STLD pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.40, STLD's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.2% |
5.2 History
The dividend of STLD is nicely growing with an annual growth rate of 14.81%!
STLD has been paying a dividend for at least 10 years, so it has 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
25.60% of the earnings are spent on dividend by STLD. This is a low number and sustainable payout ratio.
STLD's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP25.6%
EPS Next 2Y16.49%
EPS Next 3Y14.97%
167.83
+1.21 (+0.73%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryMetals & Mining
Earnings (Last)
Earnings (Next)
Inst Owners83.09%
Inst Owner Change-1.91%
Ins Owners6.22%
Ins Owner Change-0.72%
Market Cap24.51B
Revenue(TTM)17.63B
Net Income(TTM)1.13B
Analysts80
Price Target167.58 (-0.15%)
Short Float %2.08%
Short Ratio2.18
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.2% |
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)9.83%
PT rev (3m)10.56%
EPS NQ rev (1m)-5.34%
EPS NQ rev (3m)-9.01%
EPS NY rev (1m)-2.79%
EPS NY rev (3m)-5.45%
Revenue NQ rev (1m)-1.23%
Revenue NQ rev (3m)-2.06%
Revenue NY rev (1m)0.1%
Revenue NY rev (3m)-0.35%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.23 | ||
| Fwd PE | 12.62 | ||
| P/S | 1.4 | ||
| P/FCF | 79.44 | ||
| P/OCF | 16.21 | ||
| P/B | 2.75 | ||
| P/tB | 2.97 | ||
| EV/EBITDA | 14.24 |
EPS(TTM)7.55
EY4.5%
EPS(NY)13.3
Fwd EY7.92%
FCF(TTM)2.11
FCFY1.26%
OCF(TTM)10.35
OCFY6.17%
SpS119.8
BVpS61.11
TBVpS56.46
PEG (NY)N/A
PEG (5Y)0.86
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 | 5.17 |
F-Score5
WACC9.08%
ROIC/WACC0.85
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-11.7%
EPS Next 2Y16.49%
EPS Next 3Y14.97%
EPS Next 5Y13.76%
Revenue 1Y (TTM)-1.49%
Revenue growth 3Y-1.6%
Revenue growth 5Y10.88%
Sales Q2Q%11.21%
Revenue Next Year4.25%
Revenue Next 2Y6.48%
Revenue Next 3Y5.16%
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 5Y16.58%
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 22.23 and the Price/Book (PB) ratio is 2.75.
What is the financial health of STEEL DYNAMICS INC (STLD) stock?
The financial health rating of STEEL DYNAMICS INC (STLD) is 6 / 10.