We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Steel Dynamics' Q2 Earnings Top Estimates, Revenues Increase Y/Y
Read MoreHide Full Article
Key Takeaways
Steel Dynamics earned $3.80 per share, topping estimates, as Q2 revenue rose 33.4%.
STLD shipped a record 3.74 million tons of steel, with average selling prices rising to $1,298 per ton.
STLD expects aluminum volumes and profitability to improve in H2'26 as commercial operations begin in August.
Steel Dynamics, Inc. (STLD - Free Report) reported second-quarter 2026 adjusted earnings of $3.80 per share, up from $2.01 in the year-ago quarter. The bottom line surpassed the Zacks Consensus Estimate of $3.67.
The company reported second-quarter earnings of $3.69 per share, which included a $16 million non-cash asset impairment charge tied to relocating its second planned aluminum recycled slab center from Arizona to Columbus, MS.
Net sales in the second quarter rose around 33.4% year over year to $6,092 million. The metric surpassed the Zacks Consensus Estimate of $5,438 million.
Steel Dynamics, Inc. Price, Consensus and EPS Surprise
Net sales from steel operations were $4,006 million in the reported quarter, up around 22.3% year over year. STLD registered record steel shipments of roughly 3.74 million tons, up about 11.7% from the prior-year quarter. Shipments also topped the consensus estimate of 3.65 million tons.
STLD’s steel operations reported an average external product selling price of $1,298 per ton, up from $1,134 per ton in the year-ago quarter. The figure beat the consensus estimate of $1,270.53 per ton.
Net sales from metals recycling operations were $654 million in the quarter, up around 25.1% year over year. STLD registered ferrous shipments of approximately 1.67 million gross tons, up roughly 4.8% from the prior-year quarter. The figure outpaced the consensus estimate of 1.60 million gross tons.
The company’s steel fabrication operations reported sales of around $394 million, up approximately 15.6% year over year. Steel Dynamics recorded fabrication shipments of 161,010 tons in the quarter, up around 19% from the year-ago period. The figure beat the consensus estimate of 152,000 tons.
STLD’s Financial Position
Steel Dynamics ended the quarter with cash and cash equivalents of $567.7 million, up around 23.9% year over year. Long-term debt was approximately $4.18 billion, up roughly 10.6% from the prior-year period.
The company generated cash flow from operations of $427.9 million in the reported quarter, up around 41.9% year over year.
Steel Dynamics’ Outlook
The company remains optimistic that domestic steel and aluminum consumption will stay strong through the remainder of 2026 and into 2027, supported by improving customer sentiment, stronger order activity, better pricing, domestic trade actions, manufacturing reshoring and infrastructure investments. Steel backlogs and lead times have extended, while customer inventory levels remain below historical norms.
Steel Dynamics also continues to advance the commissioning of its aluminum flat-rolled products mill. The third cold mill was undergoing commissioning, with commercial operations expected to begin in August 2026. Management expects aluminum volumes and profitability to improve sharply in the second half of 2026 as utilization and yields rise and startup costs subside.
STLD’s Price Performance
Shares of Steel Dynamics have gained 74.3% over the past year compared with a 59.4% rise in its industry.
Image Source: Zacks Investment Research
Steel Dynamics’ Zacks Rank & Key Picks
STLD currently carries a Zacks Rank #3 (Hold).
Some better-ranked stocks in the Basic Materials space are CSW Industrials, Inc. (CSW - Free Report) , Carpenter Technology Corporation (CRS - Free Report) and Ternium S.A. (TX - Free Report) .
CSW Industrials is expected to report second-quarter results on July 30. The Zacks Consensus Estimate for CSW’s second-quarter earnings is pegged at $3.66 per share. It carries a Zacks Rank #1 (Strong Buy) at present. You can see the complete list of today’s Zacks #1 Rank stocks here.
CRS is slated to report second-quarter results on July 30. The Zacks Consensus Estimate for earnings is pegged at $3.03 per share. CRS has a Zacks Rank #1 at present.
Ternium is scheduled to report second-quarter results on August 4. The Zacks Consensus Estimate for TX’s second-quarter earnings is pegged at $1.06 per share. It currently carries a Zacks Rank #1.
View the Zacks #1 Rank List
Image: Bigstock
Steel Dynamics' Q2 Earnings Top Estimates, Revenues Increase Y/Y
Key Takeaways
Steel Dynamics, Inc. (STLD - Free Report) reported second-quarter 2026 adjusted earnings of $3.80 per share, up from $2.01 in the year-ago quarter. The bottom line surpassed the Zacks Consensus Estimate of $3.67.
The company reported second-quarter earnings of $3.69 per share, which included a $16 million non-cash asset impairment charge tied to relocating its second planned aluminum recycled slab center from Arizona to Columbus, MS.
Net sales in the second quarter rose around 33.4% year over year to $6,092 million. The metric surpassed the Zacks Consensus Estimate of $5,438 million.
Steel Dynamics, Inc. Price, Consensus and EPS Surprise
Steel Dynamics, Inc. price-consensus-eps-surprise-chart | Steel Dynamics, Inc. Quote
Steel Dynamics’ Segment Highlights
Net sales from steel operations were $4,006 million in the reported quarter, up around 22.3% year over year. STLD registered record steel shipments of roughly 3.74 million tons, up about 11.7% from the prior-year quarter. Shipments also topped the consensus estimate of 3.65 million tons.
STLD’s steel operations reported an average external product selling price of $1,298 per ton, up from $1,134 per ton in the year-ago quarter. The figure beat the consensus estimate of $1,270.53 per ton.
Net sales from metals recycling operations were $654 million in the quarter, up around 25.1% year over year. STLD registered ferrous shipments of approximately 1.67 million gross tons, up roughly 4.8% from the prior-year quarter. The figure outpaced the consensus estimate of 1.60 million gross tons.
The company’s steel fabrication operations reported sales of around $394 million, up approximately 15.6% year over year. Steel Dynamics recorded fabrication shipments of 161,010 tons in the quarter, up around 19% from the year-ago period. The figure beat the consensus estimate of 152,000 tons.
STLD’s Financial Position
Steel Dynamics ended the quarter with cash and cash equivalents of $567.7 million, up around 23.9% year over year. Long-term debt was approximately $4.18 billion, up roughly 10.6% from the prior-year period.
The company generated cash flow from operations of $427.9 million in the reported quarter, up around 41.9% year over year.
Steel Dynamics’ Outlook
The company remains optimistic that domestic steel and aluminum consumption will stay strong through the remainder of 2026 and into 2027, supported by improving customer sentiment, stronger order activity, better pricing, domestic trade actions, manufacturing reshoring and infrastructure investments. Steel backlogs and lead times have extended, while customer inventory levels remain below historical norms.
Steel Dynamics also continues to advance the commissioning of its aluminum flat-rolled products mill. The third cold mill was undergoing commissioning, with commercial operations expected to begin in August 2026. Management expects aluminum volumes and profitability to improve sharply in the second half of 2026 as utilization and yields rise and startup costs subside.
STLD’s Price Performance
Shares of Steel Dynamics have gained 74.3% over the past year compared with a 59.4% rise in its industry.
Steel Dynamics’ Zacks Rank & Key Picks
STLD currently carries a Zacks Rank #3 (Hold).
Some better-ranked stocks in the Basic Materials space are CSW Industrials, Inc. (CSW - Free Report) , Carpenter Technology Corporation (CRS - Free Report) and Ternium S.A. (TX - Free Report) .
CSW Industrials is expected to report second-quarter results on July 30. The Zacks Consensus Estimate for CSW’s second-quarter earnings is pegged at $3.66 per share. It carries a Zacks Rank #1 (Strong Buy) at present. You can see the complete list of today’s Zacks #1 Rank stocks here.
CRS is slated to report second-quarter results on July 30. The Zacks Consensus Estimate for earnings is pegged at $3.03 per share. CRS has a Zacks Rank #1 at present.
Ternium is scheduled to report second-quarter results on August 4. The Zacks Consensus Estimate for TX’s second-quarter earnings is pegged at $1.06 per share. It currently carries a Zacks Rank #1.