Fort Wayne, Indiana-based Steel Dynamics, Inc. (STLD) is one of the leading steel producers and metal recyclers in the United States. With a market cap. of $29.1 billion, it operates through Steel Operations, Metals Recycling Operations, Steel Fabrication Operations, and Aluminum Operations segments.
Shares of STLD have outperformed the broader market over the past 52 weeks. STLD stock has surged 50.8% over this time frame, while the broader S&P 500 Index ($SPX) has rallied 12.9%. Moreover, shares of Steel Dynamics are up 17.7% on a YTD basis, compared to SPX's marginal decline.
Narrowing the focus, the stock has also outperformed the State Street Materials Select Sector SPDR ETF (XLB), which has increased 19.2% over the past 52 weeks.
STLD shares fell 4.4% on Jan. 26 after the company released Q4 2025 results, with net income declining to $266 million ($1.82 per share) from $404 million ($2.74 per share) in Q3. The selloff was driven by a 35% sequential drop in steel operations' operating income to $322 million, caused by lower realized steel prices, seasonal demand weakness, and planned maintenance outages that reduced flat-rolled production by an estimated 140,000 tons - 150,000 tons.
For the fiscal year ending in December 2026, analysts expect STLD's EPS to surge 70.1% year-over-year to $13.59. The company's earnings surprise history is mixed. It beat the consensus estimates in three of the last four quarters while missing on another occasion.
STLD stock has a consensus “Strong Buy” rating overall. Of the 11 analysts covering the stock, opinions include eight “Strong Buys” and three “Holds.”
On Jan. 9, Morgan Stanley analyst Carlos De Alba downgraded Steel Dynamics to a “Hold” from a “Buy” rating and set a price target of $194.
As of writing, the stock is trading above the mean price target of $192.40. The Street-high price target of $200 implies only marginal upside from current levels.
On the date of publication, Sohini Mondal did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
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