STLD Stock Analysis — Steel Dynamics
Sector: Industrials
AI Verdict
At 14.2x forward earnings for 70.8% expected EPS growth, this is cheap for the growth you're getting if Steel Dynamics' cost advantage holds up.
Competitive Moat
Steel Dynamics operates one of the most efficient electric arc furnace steel mills in the U.S., giving it a cost advantage over traditional blast furnace competitors. Its vertically integrated recycling and fabrication operations reduce input costs and insulate margins from commodity swings.
Summary
A 70.8% forward EPS growth forecast and a 14.2x forward P/E make STLD stand out among steelmakers.
Where It Stands
STLD is up 70.10% over the past year with a deeply oversold RSI of 20.5 and trades at 14.2x next year's earnings, below the industrials median of 20x.
Key Metrics
- RSI: 20.5 — Oversold
- Trailing P/E: 24.3x
- Forward P/E: 14.2x
- PEG Ratio: 0.36
- Earnings Growth: +0.7%
- Revenue Growth: +0.1%
- Market Cap: $32.7B
- Dividend Yield: 0.01%
- 1-Year Return: 70.10%
- 5-Year Return: 271%
- 52-Week High: $288.74
- 52-Week Low: $119.89
Analyst Consensus
13 Buy · 6 Hold · 2 Sell (21 analysts)
Bull Case
With analysts expecting 70.8% EPS growth and a forward P/E of just 14.2x, you're getting rapid earnings expansion for a below-average price.
Bear Case
If the P/E reverts back to the sector median of 20x after earnings normalize, the stock could see a sharp pullback from current levels, especially with an RSI of 20.5 signaling potential exhaustion after a 271% five-year run.
Catalyst to Watch
Watch for quarterly earnings—if margin gains from vertical integration hold, the 70.8% EPS growth target becomes more credible.