Stock Analysis on Net
Stock Analysis on Net

Steel Dynamics Inc. (NASDAQ:STLD)

$22.49

This company has been moved to the archive! The financial data has not been updated since October 26, 2022.

Return on Equity (ROE)
since 2005

Microsoft Excel

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Calculation

Steel Dynamics Inc., ROE, long-term trends, calculation

Microsoft Excel
ROE = 100 × Net income (loss) attributable to Steel Dynamics, Inc.1 ÷ Total Steel Dynamics, Inc. equity1
Dec 31, 2021 = 100 × ÷
Dec 31, 2020 = 100 × ÷
Dec 31, 2019 = 100 × ÷
Dec 31, 2018 = 100 × ÷
Dec 31, 2017 = 100 × ÷
Dec 31, 2016 = 100 × ÷
Dec 31, 2015 = 100 × ÷
Dec 31, 2014 = 100 × ÷
Dec 31, 2013 = 100 × ÷
Dec 31, 2012 = 100 × ÷
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Dec 31, 2005 = 100 × ÷

Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).

1 US$ in thousands

Net Income (Loss) Attributable to Steel Dynamics, Inc.
The net income exhibited a general upward trend from 2005 through 2008, rising from $221.8 million to $463.4 million. However, 2009 marked a significant negative deviation with a net loss of approximately $8.2 million. This was followed by a recovery phase from 2010 to 2014, although earnings fluctuated during this period, with a notable net loss recorded again in 2015 (-$130.3 million). Starting in 2016, net income demonstrated a strong positive trajectory, peaking in 2021 at approximately $3.2 billion, indicating substantial growth and profitability in recent years.
Total Equity
Total equity showed consistent growth throughout the entire period. Beginning at approximately $880 million in 2005, it steadily increased each year, reaching $6.3 billion by 2021. This reflects ongoing capital accumulation and retention of earnings, supporting the company’s expanding asset base and potential for future growth.
Return on Equity (ROE)
ROE demonstrated considerable volatility over the analyzed years. It started strong in 2005 at 25.21%, peaked in 2006 at 32.22%, and remained relatively high through 2008. The 2009 loss corresponded to a negative ROE (-0.41%), followed by a modest recovery from 2010 to 2014, though the returns were generally subdued compared to earlier years. The negative ROE in 2015 (-4.86%) coincided with the reported net loss. Following 2015, ROE increased progressively, achieving a notable peak of nearly 51% in 2021, aligning with the substantial increase in net income and equity base.
Summary of Trends and Insights
The company's financial performance reveals cyclical fluctuations typical of the steel industry, with downturns particularly visible in 2009 and 2015. Nevertheless, the overall trajectory is positive, culminating in substantial profitability and equity growth by 2021. The recovery phases after losses indicate resilience and effective management responses. The marked increases in both net income and ROE in the last few years suggest improved operational efficiency and enhanced shareholder value creation.

Comparison to Competitors

Steel Dynamics Inc., ROE, long-term trends, comparison to competitors

Microsoft Excel
Steel Dynamics Inc. Freeport-McMoRan Inc.
Dec 31, 2021
Dec 31, 2020
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Dec 31, 2018
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Dec 31, 2016
Dec 31, 2015
Dec 31, 2014
Dec 31, 2013
Dec 31, 2012
Dec 31, 2011
Dec 31, 2010
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Dec 31, 2005

Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).

Comparison to Industry (Materials)

Steel Dynamics Inc., ROE, long-term trends, comparison to industry (materials)

Microsoft Excel
Steel Dynamics Inc. Materials
Dec 31, 2021
Dec 31, 2020
Dec 31, 2019
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Dec 31, 2016
Dec 31, 2015
Dec 31, 2014
Dec 31, 2013
Dec 31, 2012
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Dec 31, 2010
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Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).