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Steel Dynamics (STLD) closed the most recent trading day at $58.51, moving +0.38% from the previous trading session. This change outpaced the S&P 500’s 1.3% loss on the day.

Coming into today, shares of the steel producer and metals recycler had lost 12.7% in the past month. In that same time, the Basic Materials sector lost 6.73%, while the S&P 500 lost 3.58%.

STLD will be looking to display strength as it nears its next earnings release. In that report, analysts expect STLD to post earnings of $4.48 per share. This would mark year-over-year growth of 778.43%. Our most recent consensus estimate is calling for quarterly revenue of $4.96 billion, up 112.6% from the year-ago period.

STLD’s full-year Zacks Consensus Estimates are calling for earnings of $15.08 per share and revenue of $17.91 billion. These results would represent year-over-year changes of +430.99% and +86.49%, respectively.

Any recent changes to analyst estimates for STLD should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company’s business outlook.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.

The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 6.2% higher. STLD is currently sporting a Zacks Rank of #1 (Strong Buy).

Looking at its valuation, STLD is holding a Forward P/E ratio of 3.87. Its industry sports an average Forward P/E of 4.27, so we one might conclude that STLD is trading at a discount comparatively.

The Steel – Producers industry is part of the Basic Materials sector. This industry currently has a Zacks Industry Rank of 50, which puts it in the top 20% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.

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