What's Going On With Steel Dynamics Shares Today?

Steel Dynamics Inc STLD shares rose after the company provided fourth-quarter 2023 earnings guidance.

The company expects fourth-quarter FY23 EPS of $2.60 - $2.64 versus an estimate of $2.64.

Comparatively, the company's Q3 EPS was $3.47 and Q4 FY22 EPS was $3.61.

Steel Dynamics said Q4 profitability from its steel operations is expected to be lower than sequential Q3 results, based on steady shipments and metal spread contraction as lower realized flat rolled steel pricing more than offset lower scrap costs. 

However, the company said its steel order activity remains solid as evidenced by extended order lead times and recent pricing increases heading into the first quarter of 2024.

The company's Q4 earnings from metals recycling operations are expected to be comparable sequentially, based on pricing-related metal spread expansion more than offsetting lower volume.

Fourth quarter 2023 earnings from the company's steel fabrication operations are expected to be lower versus sequential results.

Through December 13, 2023, the company has repurchased $1.4 billion, or almost eight percent, of its common stock and paid cash dividends of $271 million to shareholders during the year. 

The company plans to release its Q4 2023 and full-year earnings after the markets close on Tuesday, January 23, 2024.

Price Action: STLD shares are trading higher by 5.64% at $125.85 on the last check Friday.

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