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Steel Dynamics Sees Higher Q3 Earnings on Broad-Based Growth

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Key Takeaways

  • {\"0\":\"Steel Dynamics guides Q3 EPS of $2.60-$2.64, above Q2\'s $2.01 and last year\'s $2.05.\",\"1\":\"Higher shipments, lower scrap costs and stronger recycling drive improved profitability.\",\"2\":\"Steel fabrication gains and solid aluminum progress support STLD\'s outlook.\"}

Steel Dynamics, Inc. (STLD - Free Report) has announced its third-quarter 2025 earnings guidance. The company expects earnings to improve in each of its three operating platforms. STLD forecasts earnings in the range of $2.60 to $2.64 per share for the quarter.

The third quarter’s profitability in the steel operations is also expected to move up from its sequential second-quarter results, owing to strong shipments and metal spread expansion as scrap raw material costs are expected to decline more than average realized steel pricing. The demand continues to be driven by the non-residential construction, automotive, energy and industrial sectors.

The company’s earnings in its sequential second quarter were $2.01 per share and  $2.05 in last year’s third quarter.

Compared with the second quarter, earnings from metals recycling operations are expected to be significantly stronger in the third quarter. Earnings are also expected to go up in steel fabrication operations from increased volume, combined with steady metal spread. The order backlog also remains strong, as does the pricing.

The aluminum team of STLD is well-set on the path of successfully commissioning the startup of its Columbus, MS, aluminum flat rolled products mill and San Luis Potosi satellite recycled slab center. Meanwhile, the cast houses and hot strip mills are also operating well.

Till Sept. 11, 2025, the company has bought back $185 million, or 1%, of its common stock during the third quarter. The results for the quarter are planned to be released on Oct. 20, 2025.

STLD’s shares have gained 16.8% over the past year against the industry’s 15.4% decline.

Zacks Investment Research
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STLD’s Zacks Rank & Key Picks

STLD currently carries a Zacks Rank #3 (Hold).

Some better-ranked stocks in the Basic Materials space are The Mosaic Company (MOS - Free Report) , Carpenter Technology Corporation (CRS - Free Report) and Avino Silver & Gold Mines Ltd. (ASM - Free Report) . While MOS and CRS sport a Zacks Rank #1 (Strong Buy) at present, ASM carries a Zacks Rank #2 (Buy) each. You can see the complete list of today’s Zacks #1 Rank stocks here.

The Zacks Consensus Estimate for MOS’ 2025 earnings is pegged at $3.17 per share, indicating a rise of 60.10% from year-ago levels. The company’s earnings beat the consensus estimate in one of the trailing four quarters while missing it in the rest. Its shares have gained 37.9% in the past year.

The Zacks Consensus Estimate for CRS’ current fiscal-year earnings is pegged at $9.51 per share, indicating a 27.14% year-over-year increase.Its earnings beat the Zacks Consensus Estimate in each of the trailing four quarters, with an average surprise of 8.38%. CRS’shares have surged 71.5% in the past year.

The Zacks Consensus Estimate for ASM’s current-year earnings is pegged at 11 cents per share. Its earnings beat the Zacks Consensus Estimate in each of the trailing four quarters, with an average surprise of 141.67%. ASM’s shares have jumped 351% in the past year.


 

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