Schnitzer Steel Industries Inc. (NASDAQ:SCHN) has a beta of 1.42, a 12-month trailing P/E ratio of 24.30, and a growth ratio of 2.43. The stock’s Relative Strength Index (RSI) is 35.47, with weekly volatility at 5.38% and ATR at 2.58. The SCHN stock’s 52-week price range has touched low of $15.47 and a $59.34 high. Its shares traded lower over the last trading session, losing -5.85% on 06/17/21. The shares fell to a low of $47.04 before closing at $48.80. Intraday shares traded counted 0.51 million, which was -40.2% lower than its 30-day average trading volume of 363.95K. SCHN’s previous close was $51.83 while the outstanding shares total 27.99M.
Investors have identified the Steel company Schnitzer Steel Industries Inc. as an interesting stock but before investments are made there, an in-depth look at its trading activities will have to be conducted. The share is trading with a market value of around $1.33 billion, the company now has both obstacles and catalysts that affect them and they came from their mode of operations. With the company affected by events currently, it is a perfect time to analyze the numbers behind the firm in order to come up with a rather realistic picture of what this stock is.
Schnitzer Steel Industries Inc. (SCHN) Fundamentals that are to be considered.
When analyzing a stock, the first fundamental thing to take into account is the balance sheet. How healthy the balance sheet of a company is will determine if the company will be able to carry out all its financial and non-financial obligations and also keep the faith of its investors. For SCHN, the company has in raw cash 11.33 million on their books with 2.37 million currently as liabilities. How the trend is over time is what investors should be concerned about. In terms of their assets, the company currently has 515.23 million total, with 264.48 million as their total liabilities.
SCHN were able to record -57.69 million as free cash flow during the 10/26/2021 quarter of the year, this saw their quarterly net cash flow reduce by -6.56 million. In cash movements, the company had a total of -2.61 million as operating cash flow.
Potential earnings growth for Schnitzer Steel Industries Inc. (SCHN)
In order to determine the future investment potential for this stock, we will have to analyze key trends that affect it. During the 10/26/2021 quarter of the year, Schnitzer Steel Industries Inc. recorded a total of 600.11 million in revenue. This figure implies that they witnessed a quarterly year/year change in their earnings with 26.77% coming in sequential stages and their sales for the 10/26/2021 quarter increasing by 18.0%.
What matters though is how it ends. When the core data for the company is broken down, then the stock sounds interesting. The company spent 487.02 million trying to sell their products during the last quarter, with the result yielding a gross income of 113.09 million. This allows shareholders to hold on to 27.99M with the recently reported earning now reading 1.59 cents per share. This is a figure that compared to analyst’s prediction for their 10/26/2021 (1.51 cents a share).
Having a look at the company’s valuation, the company is expected to record 3.85 total earnings per share during the next fiscal year. It is very important though to remember that the importance of trend far outweighs that of outlook. This analysis has been great and getting further updates on SCHN sounds very interesting.
Is the stock of SCHN attractive?
In related news, EVP, CFO, Peach Richard sold 16,319 shares of the company’s stock in a transaction that recorded on May 05. The sale was performed at an average price of 53.86, for a total value of 878,941. As the sale deal closes, the SVP, GC, & Corp. Secretary, Saba Peter B now sold 1,149 shares of the company’s stock, valued at 58,139. Also, SVP, President, Operations, Henderson Michael R sold 1,625 shares of the company’s stock in a deal that was recorded on May 04. The shares were price at an average price of 52.37 per share, with a total market value of 85,101. Following this completion of acquisition, the VP, Deputy CFO & CAO, Gaggini Stefano R. now holds 1,026 shares of the company’s stock, valued at 52,736. In the last 6 months, insiders have changed their ownership in shares of company stock by 5.80%.
1 out of 2 analysts covering the stock have rated it a Buy, while 1 have maintained a Hold recommendation on Schnitzer Steel Industries Inc.. 0 analysts has assigned a Sell rating on the SCHN stock. The 12-month mean consensus price target for the company’s shares has been set at $34.00.