Steel Dynamics’ first-quarter earnings

Steel Dynamics (STLD) has scheduled the release of its first-quarter earnings results for April 22. The company expects its first-quarter EPS to be between $0.88 and $0.92. It posted EPS of $1.17 in the fourth quarter and $0.96 in the first quarter of 2018.

Steel Dynamics’ first-quarter guidance has disappointed the market, as the company expects a year-over-year fall in its earnings. Before we analyze what analysts are projecting for Steel Dynamics’ first-quarter earnings, let’s do a quick recap of its recent financial performance and price action.

Steel Dynamics’ Q1 Earnings: What’s the Word on Wall Street?

Ready to put your morning scrolling to use? Sign up for Bagels & Stox, our witty take on the top market and investment news straight to your inbox! Whether you’re a serious investor or just want to be informed, Bagels & Stox will be your favorite email.

2018 performance

Last year, Steel Dynamics posted record shipments, earnings, and operating cash flows. However, its stock tumbled more than 30% in 2019. Other steel stocks were also in the red despite the Section 232 tariffs. Nucor (NUE) and AK Steel (AKS) saw negative price action of 18.5% and 60.2%, respectively, last year. Cleveland-Cliffs (CLF) outperformed US steel stocks last year. This year has been better for Steel Dynamics, whose stock is up 14.5% year-to-date.

Analysts’ estimates

Analysts polled by Thomson Reuters expect Steel Dynamics to post revenue of $2.83 billion in the first quarter. It posted revenues of $2.90 billion in the fourth quarter and $2.60 billion in the first quarter of 2018. Analysts expect Steel Dynamics to post EPS of $0.98, higher than the company’s guidance, in the first quarter.

Steel Dynamics has received “buy” or higher ratings from ten analysts, while the remaining four polled by Thomson Reuters on April 17 have rated it as a “hold.” Its mean consensus target price implies a potential upside of 20.1%.

Latest articles

20 Jun

Will Refiners’ Earnings Plunge in 2019?

WRITTEN BY Maitali Ramkumar

Wall Street analysts expect refining firms' earnings to fall in 2019. Delek US Holdings (DK) and Valero Energy’s (VLO) earnings are estimated to fall less than 10% in 2019. However, the EPS of Marathon Petroleum (MPC), HollyFrontier (HFC), and Phillips 66 (PSX) are expected to fall 20%–40% this year.

After remaining tepid for the first four months of the year, gold prices have taken off in a big way. The initial impetus was provided by a tweet made by President Donald Trump on May 5, which revived trade tensions in a big way.

20 Jun

How Are Charter’s Revenues Trending in 2019?

WRITTEN BY Ambrish Shah

In the first quarter, Charter Communications (CHTR) reported total revenues of $11.2 billion—a rise of 5.2% year-over-year and $7 million ahead of the consensus estimate.

This morning before the market opened, Tesla (TSLA) was trading on a negative note despite a sharp rise in index futures. As of 9:10 AM ET, Tesla stock had fallen 1.2% in the pre-market session to $234.74 after Goldman Sachs cut the target price on the company by about 21%.

The US-China trade war has already given a scare to Apple’s (AAPL) investors vis-à-vis the possibility of a 25% tariff on Apple goods being imported from its Chinese facilities. As a result, Apple might be considering shifting its plants out of China.

Yesterday, Greenlane Holdings (GNLN) fell a whopping 17.1%. The stock has now fallen 28% this month, and it hit its all-time low yesterday. Greenlane Holdings listed in April and priced its IPO at $17 per share. However, since the stock surged more than 25% after its listing, it has been a sorry story for Greenlane Holdings investors.