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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.
Many investors also have a go-to methodology that helps guide their buy and sell decisions. One way to find winning stocks based on your preferred way of investing is to use the Zacks Style Scores, which are indicators that rate stocks based on three widely-followed investing types: value, growth, and momentum.
Why Investors Should Pay Attention to This Value Stock
Value investors love finding good stocks at good prices, especially before the broader market catches on to a stock's true value. Utilizing ratios like P/E, PEG, Price/Sales, and Price/Cash Flow, the Value Style Score identifies the most attractive and most 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 boasts a Value Style Score of B and VGM Score of B, and holds a Zacks Rank #2 (Buy) rating. Shares of Steel Dynamics are trading at a forward earnings multiple of 11.9X, as well as a PEG Ratio of 0.9, a Price/Cash Flow ratio of 9X, and a Price/Sales ratio of 1X.
Value investors don't just pay attention to a company's valuation ratios; positive earnings play a crucial role, too. Five analysts revised their earnings estimate upwards in the last 60 days for fiscal 2025. The Zacks Consensus Estimate has increased $1.35 to $9.96 per share. STLD has an average earnings surprise of 3.6%.
Investors should take the time to consider STLD for their portfolios due to its solid Zacks Ranks, notable earnings and valuation metrics, and impressive Value and VGM Style Scores.
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Steel Dynamics, Inc. (STLD) : Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).