10:45 AM EDT, 04/26/2024 (MT Newswires) -- CFRA, an independent research provider, has provided MT Newswires with the following research alert. Analysts at CFRA have summarized their opinion as follows:

We increase our 12-month target price by $21 to $125, valuing STLD at an EV/EBITDA of 7.0x our 2024 EBITDA estimate, a premium to STLD's three-year avg. forward EV/EBITDA of 5.0x, but in line with peers, which are trading at an avg. forward EV/EBITDA of 7.0x. We raise our 2024 EPS estimate by $1.73 to $11.55 and 2025's by $0.14 to $9.41. STLD posted Q1 adj. EPS of $3.67 vs. $4.01, $0.22 above consensus; sales fell 4% Y/Y and missed consensus by 1%. Flat rolled prices decreased early in Q1 and then recovered in March and April; however, value-added flat-rolled steel pricing spreads expanded during Q1. The Q1 avg. selling price increased $111/ton Q/Q to $1,201/ton, while the avg. ferrous scrap cost rose only $24/ton Q/Q to $417/ton. The total capacity utilization for STLD was 87% vs. 77% for the whole industry. The Sinton, TX flat-rolled steel division operated near 70% capacity utilization during Q1 and generated positive earnings. We forecast continued improvements in Sinton's earnings throughout 2024.