>
Switch to:

Steel Dynamics PE Ratio

: 3.50 (As of Today)
View and export this data going back to 1996. Start your Free Trial

The PE Ratio, or Price-to-Earnings ratio, or P/E Ratio, is a financial ratio used to compare a company's market price to its Earnings per Share (Diluted). As of today (2022-01-29), Steel Dynamics's share price is $54.92. Steel Dynamics's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Dec. 2021 was $15.69. Therefore, Steel Dynamics's PE Ratio for today is 3.50.


The historical rank and industry rank for Steel Dynamics's PE Ratio or its related term are showing as below:

NAS:STLD' s PE Ratio Range Over the Past 10 Years
Min: 3.34   Med: 15.87   Max: 557
Current: 3.5

3.34
557

During the past 13 years, the highest PE Ratio of Steel Dynamics was 557.00. The lowest was 3.34. And the median was 15.87.


NAS:STLD's PE Ratio is ranked higher than
73% of the 495 Companies
in the Steel industry.

( Industry Median: 8.18 vs. NAS:STLD: 3.50 )

Steel Dynamics's Earnings per Share (Diluted) for the three months ended in Dec. 2021 was $5.49. Its Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Dec. 2021 was $15.69.

As of today (2022-01-29), Steel Dynamics's share price is $54.92. Steel Dynamics's EPS without NRI for the trailing twelve months (TTM) ended in Dec. 2021 was $15.69. Therefore, Steel Dynamics's PE Ratio without NRI for today is 3.50.

During the past 13 years, Steel Dynamics's highest PE Ratio without NRI was 557.00. The lowest was 3.34. And the median was 15.87.

Steel Dynamics's EPS without NRI for the three months ended in Dec. 2021 was $5.49. Its EPS without NRI for the trailing twelve months (TTM) ended in Dec. 2021 was $15.69.

During the past 12 months, Steel Dynamics's average EPS without NRI Growth Rate was 500.80% per year. During the past 3 years, the average EPS without NRI Growth Rate was 42.70% per year. During the past 5 years, the average EPS without NRI Growth Rate was 33.70% per year.

During the past 13 years, Steel Dynamics's highest 3-Year average EPS without NRI Growth Rate was 318.40% per year. The lowest was -52.00% per year. And the median was 19.25% per year.

Steel Dynamics's EPS (Basic) for the three months ended in Dec. 2021 was $5.53. Its EPS (Basic) for the trailing twelve months (TTM) ended in Dec. 2021 was $15.81.


Steel Dynamics PE Ratio Historical Data

The historical data trend for Steel Dynamics's PE Ratio can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Steel Dynamics Annual Data
Trend Dec12 Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21
PE Ratio
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 12.84 5.61 11.20 14.24 N/A

Steel Dynamics Quarterly Data
Mar17 Jun17 Sep17 Dec17 Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21
PE Ratio Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 14.24 13.54 8.88 5.27 At Loss

Competitive Comparison

For the Steel subindustry, Steel Dynamics's PE Ratio, along with its competitors' market caps and PE Ratio data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

   

Steel Dynamics PE Ratio Distribution

For the Steel industry and Basic Materials sector, Steel Dynamics's PE Ratio distribution charts can be found below:

* The bar in red indicates where Steel Dynamics's PE Ratio falls into.



Steel Dynamics PE Ratio Calculation

The PE Ratio, or Price-to-Earnings ratio, or P/E Ratio, is a financial ratio used to compare a company's market price to its Earnings per Share (Diluted). It is the most widely used ratio in the valuation of stocks.

Steel Dynamics's PE Ratio for today is calculated as

PE Ratio=Share Price/Earnings per Share (Diluted) (TTM)
=54.92/15.690
=3.50

Steel Dynamics's Share Price of today is $54.92.
Steel Dynamics's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Dec. 2021 adds up the quarterly data reported by the company within the most recent 12 months, which was $15.69.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

It can also be calculated from the numbers for the whole company:


There are at least three kinds of PE Ratios used by different investors. They are Trailing Twelve Month PE Ratio or PE Ratio (TTM), Forward PE Ratio, or PE Ratio without NRI. A new PE Ratio based on inflation-adjusted normalized PE Ratio is called Shiller PE Ratio, after Yale professor Robert Shiller.

In the calculation of PE Ratio, the earnings per share used are the earnings per share over the past 12 months. For Forward PE Ratio, the earnings are the expected earnings for the next twelve months. In the case of PE Ratio without NRI, the reported earnings less the non-recurring items are used.

For Shiller PE Ratio, the earnings of the past 10 years are inflation-adjusted and averaged. Since it looks at the average over the last 10 years, Shiller PE Ratio is also called PE10.


Steel Dynamics  (NAS:STLD) PE Ratio Explanation

The PE Ratio can be viewed as the number of years it takes for the company to earn back the price you pay for the stock. For example, if a company earns $2 a share per year, and the stock is traded at $30, the PE Ratio is 15. Therefore it takes 15 years for the company to earn back the $30 you paid for its stock, assuming the earnings stays constant over the next 15 years.

In real business, earnings never stay constant. If a company can grow its earnings, it takes fewer years for the company to earn back the price you pay for the stock. If a company's earnings decline it takes more years. As a shareholder, you want the company to earn back the price you pay as soon as possible. Therefore, lower P/E stocks are more attractive than higher P/E stocks so long as the PE Ratio is positive. Also for stocks with the same PE Ratio, the one with faster growth business is more attractive.

If a company loses money, the PE Ratio becomes meaningless.

To compare stocks with different growth rates, Peter Lynch invented a ratio called PEG Ratio. PEG Ratio is defined as the PE Ratio divided by the growth ratio. He thinks a company with a PE Ratio equal to its growth rate is fairly valued. Still he said he would rather buy a company growing 20% a year with a PE Ratio of 20, instead of a company growing 10% a year with a PE Ratio of 10.

Because the PE Ratio measures how long it takes to earn back the price you pay, the PE Ratio can be applied to the stocks across different industries. That is why it is the one of the most important and widely used indicators for the valuation of stocks.

Similar to the PE Ratio without NRI or PS Ratio or Price-to-Operating-Cash-Flow or Price-to-Free-Cash-Flow , the PE Ratio measures the valuation based on the earning power of the company. This is where it is different from the PB Ratio , which measures the valuation based on the company's balance sheet.


Be Aware

Investors need to be aware that the PE Ratio can be misleading a lot of times, especially when the underlying business is cyclical and unpredictable. As Peter Lynch pointed out, cyclical businesses have higher profit margins at the peaks of the business cycles. Their earnings are high and PE Ratios are artificially low. It is usually a bad idea to buy a cyclical business when the PE Ratio is low. A better ratio to identify the time to buy a cyclical businesses is the PS Ratio .

PE Ratio can also be affected by non-recurring-items such as the sale of part of businesses. This may increase for the current year or quarter dramatically. But it cannot be repeated over and over. Therefore PE Ratio without NRI is a more accurate indication of valuation than PE Ratio.


Steel Dynamics PE Ratio Related Terms

Thank you for viewing the detailed overview of Steel Dynamics's PE Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.


Steel Dynamics Business Description

Steel Dynamics logo
Industry
Basic Materials » Steel NAICS : 331110 SIC : 3312
Traded in Other Exchanges
Address
7575 West Jefferson Boulevard, Fort Wayne, IN, USA, 46804
Steel Dynamics operates scrap-based steel minimills with roughly 13 million tons of annual steel production capacity. The company manufactures steel products that primarily serve the construction, automotive, manufacturing, and transportation end markets. It also processes and sells recycled ferrous and nonferrous metals and operates a steel fabrication business that manufactures products for the nonresidential construction industry.
Executives
Cornew Kenneth W. director 10 SOUTH DEARBORN STREET, 54TH FLOOR CHICAGO IL 60603
Bargabos Sheree L director 1070 TECHNOLOGY DRIVE NORTH VENICE FL 34275
Seaman Bradley S director 161 SHAWFORD WAY LAKE FOREST IL 60045
Busse Keith E director 7575 W. JEFFERSON BLVD. FORT WAYNE IN 46804
Teets Richard P Jr director 7575 W JEFFERSON BLVD FORT WAYNE IN 46804
Byrne Frank D director 7575 W JEFFERSON BLVD FORT WAYNE IN 46804
Dolan Traci M director PUBLIC "-//W3C//DTD HTML 4.0 Transitional//EN"> Ownership Information: DOLAN TRACI M a.header:link {color: #3b4fae; font-weight: bold; text-decoration: underline;} a.header:visited {color: #3b4fae; font-weight: bold; text-decoration: underline;} a.header:hover {color: #191970;}
Marcuccilli James C director 127 W BERRY ST FORT WAYNE IN 46802
Sonnenberg Steven Alan director EMERSON PROCESS MANAGEMENT - ROSEMOUNT 8200 MARKET BOULEVARD CHANHASSEN MN 55317
Shaheen Gabriel director C/O HORACE MANN EDUCATORS CORPORATION 1 HORACE MANN PLAZA SPRINGFIELD IL 62715
Alvarez Miguel officer: Senior Vice President 7575 WEST JEFFERSON BLVD. FORT WAYNE IN 46804
Wagler Theresa E officer: Executive Vice President & CFO 7575 W JEFFERSON BLVD FORT WAYNE IN 46804
Graham Christopher A officer: Senior Vice President 7575 W. JEFFERSON BLVD. FORT WAYNE IN 46804
Schneider Barry officer: Senior Vice President 8000 N. COUNTY ROAD 225 EAST PITTSBORO IN 46167
Pushis Glenn officer: Senior Vice President 4500 COUNTY ROAD 59 BUTLER IN 46721

Steel Dynamics Headlines

Get WordPress Plugins for easy affiliate links on Stock Tickers and Guru Names | Earn affiliate commissions by embedding GuruFocus Charts
GuruFocus Affiliate Program: Earn up to $400 per referral. ( Learn More)