ScoreWhy is Steel Dynamics, Inc. ?
1
High Management Efficiency with a high ROCE of 33.62%
2
Strong ability to service debt as the company has a low Debt to EBITDA ratio of 2.09 times
3
Healthy long term growth as Net Sales has grown by an annual rate of 13.61% and Operating profit at 10.73%
4
Flat results in Mar 26
- OPERATING CASH FLOW(Y) Lowest at USD 1,445.25 MM
- CASH AND EQV(HY) Lowest at USD 1,326.41 MM
- DEBT-EQUITY RATIO (HY) Highest at 39.76 %
5
With ROCE of 11.88%, it has a fair valuation with a 3.19 Enterprise value to Capital Employed
- The stock is trading at a discount compared to its peers' average historical valuations
- Over the past year, while the stock has generated a return of 92.08%, its profits have fallen by -23.4%
6
High Institutional Holdings at 88.08%
- These investors have better capability and resources to analyse fundamentals of companies than most retail investors.
- Their stake has increased by 3.88% over the previous quarter.
7
Market Beating performance in long term as well as near term
- Along with generating 92.08% returns in the last 1 year, the stock has outperformed S&P 500 in the last 3 years, 1 year and 3 months
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Steel Dynamics, Inc. should be less than 10%
- Overall Portfolio exposure to Ferrous Metals should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Ferrous Metals)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Steel Dynamics, Inc. for you?
High Risk, High Return
Absolute
Risk Adjusted
Volatility
Steel Dynamics, Inc.
92.08%
2.88
35.41%
S&P 500
25.41%
1.92
13.25%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
13.61%
EBIT Growth (5y)
10.73%
EBIT to Interest (avg)
44.89
Debt to EBITDA (avg)
0.72
Net Debt to Equity (avg)
0.34
Sales to Capital Employed (avg)
1.45
Tax Ratio
21.21%
Dividend Payout Ratio
25.03%
Pledged Shares
0
Institutional Holding
88.08%
ROCE (avg)
33.62%
ROE (avg)
31.13%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
30
Industry P/E
Price to Book Value
4.04
EV to EBIT
26.87
EV to EBITDA
19.56
EV to Capital Employed
3.19
EV to Sales
2.18
PEG Ratio
NA
Dividend Yield
1.87%
ROCE (Latest)
11.88%
ROE (Latest)
13.26%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Bullish
Moving Averages
Bullish (Daily)
KST
Mildly Bearish
Bullish
Dow Theory
Mildly Bullish
No Trend
OBV
No Trend
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend12What is working for the Company
NET PROFIT(HY)
At USD 669.47 MM has Grown at 57.73%
DIVIDEND PER SHARE(HY)
Highest at USD 10.07
RAW MATERIAL COST(Y)
Fallen by -35.37% (YoY
NET SALES(Q)
Highest at USD 5,204.86 MM
OPERATING PROFIT(Q)
Highest at USD 697.28 MM
OPERATING PROFIT MARGIN(Q)
Highest at 13.4 %
EPS(Q)
Highest at USD 2.78
-16What is not working for the Company
OPERATING CASH FLOW(Y)
Lowest at USD 1,445.25 MM
CASH AND EQV(HY)
Lowest at USD 1,326.41 MM
DEBT-EQUITY RATIO
(HY)
Highest at 39.76 %
INVENTORY TURNOVER RATIO(HY)
Lowest at 4.67 times
INTEREST(Q)
Highest at USD 33.24 MM
Here's what is working for Steel Dynamics, Inc.
Net Profit
At USD 669.47 MM has Grown at 57.73%
Year on Year (YoY)MOJO Watch
Near term Net Profit trend is positive
Net Profit (USD MM)
Dividend per share
Highest at USD 10.07 and Grown
In each year in the last five yearsMOJO Watch
Company is distributing higher dividend from profits generated
DPS (USD)
Net Sales
Highest at USD 5,204.86 MM
in the last five periodsMOJO Watch
Near term sales trend is positive
Net Sales (USD MM)
Operating Profit
Highest at USD 697.28 MM
in the last five periodsMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (USD MM)
Operating Profit Margin
Highest at 13.4 %
in the last five periodsMOJO Watch
Company's profit margin has improved
Operating Profit to Sales
EPS
Highest at USD 2.78
in the last five periodsMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (USD)
Raw Material Cost
Fallen by -35.37% (YoY)
MOJO Watch
The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin
Raw Material Cost as a percentage of Sales
Depreciation
Highest at USD 159.28 MM
in the last five periodsMOJO Watch
The expenditure on assets done by the company may have gone into operation
Depreciation (USD MM)
Here's what is not working for Steel Dynamics, Inc.
Operating Cash Flow
Lowest at USD 1,445.25 MM and Fallen
In each year in the last three yearsMOJO Watch
The company's cash revenues from business operations are falling
Operating Cash Flows (USD MM)
Interest
At USD 33.24 MM has Grown at 23.31%
period on period (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (USD MM)
Interest
Highest at USD 33.24 MM
in the last five periods and Increased by 23.31% (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (USD MM)
Cash and Eqv
Lowest at USD 1,326.41 MM
in the last six Semi-Annual periodsMOJO Watch
Short Term liquidity is deteriorating
Cash and Cash Equivalents
Debt-Equity Ratio
Highest at 39.76 %
in the last five Semi-Annual periodsMOJO Watch
The company is borrowing more to fund its operations; it's liquidity situation may be stressed
Debt-Equity Ratio
Inventory Turnover Ratio
Lowest at 4.67 times
in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling inventory has slowed
Inventory Turnover Ratio
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