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It doesn't matter your age or experience: taking full advantage of the stock market and investing with confidence are common goals for all investors.
While you may have an investing style you rely on, finding great stocks is made easier with the Zacks Style Scores. These are complementary indicators that rate stocks based on value, growth, and/or momentum characteristics.
Why Investors Should Pay Attention to This Value Stock
Different than growth or momentum investors, value-focused investors are all about finding good stocks at good prices, and discovering which companies are trading under what their true value is before the broader market catches on. The Value Style Score utilizes ratios like P/E, PEG, Price/Sales, and Price/Cash Flow to help pick out the most attractive and discounted stocks.
Steel Dynamics (STLD)
Based in Fort Wayne, IN, Steel Dynamics, Inc. is among the leading steel producers and metal recyclers in the United States. It is one of the most diversified steel companies in United States with a vast range of specialty products. The company makes and markets steel products, processes and sells recycled ferrous and nonferrous metals, and fabricates and sells steel joist and decking products in the United States and internationally.
STLD sits at a Zacks Rank #3 (Hold), holds a Value Style Score of B, and has a VGM Score of B. Compared to the Steel - Producers industry's P/E of 10.1X, shares of Steel Dynamics are trading at a forward P/E of 12.3X. STLD also has a PEG Ratio of 0.9, a Price/Cash Flow ratio of 9.5X, and a Price/Sales ratio of 1.1X.
A company's earnings performance is important for value investors as well. For fiscal 2025, five analysts revised their earnings estimate higher in the last 60 days for STLD, while the Zacks Consensus Estimate has increased $0.68 to $10.18 per share. STLD also holds an average earnings surprise of 3.4%.
With strong valuation and earnings metrics, a good Zacks Rank, and top-tier Value and VGM Style Scores, investors should strongly think about adding STLD to their portfolios.
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Steel Dynamics, Inc. (STLD) : Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).