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Best Steel Stocks to Buy Now (2022)
Top steel stocks in 2022 ranked by overall Zen Score. See the best steel stocks to buy now, according to analyst forecasts for the steel industry.

Industry: Steel
Ticker
Company
Exchange
Industry
Zen Score
Market Cap
Price
1d %
EBITDA
P/E
D/E
GGB
GERDAU SA
NYSE
Steel
$7.57B$4.404.02%$5.08B2.31x0.73
STLD
STEEL DYNAMICS INC
NASDAQ
Steel
$13.00B$68.894.41%$5.48B3.55x0.87
NUE
NUCOR CORP
NYSE
Steel
$29.55B$111.064.73%$11.48B3.98x0.82
CMC
COMMERCIAL METALS CO
NYSE
Steel
$4.42B$36.656.54%$1.59B4.11x0.94
RS
RELIANCE STEEL & ALUMINUM CO
NYSE
Steel
$10.70B$172.795.70%$2.51B6.49x0.55
SCHN
SCHNITZER STEEL INDUSTRIES INC
NASDAQ
Steel
$909.42M$32.911.07%$304.83M4.87x0.91
MSB
MESABI TRUST
NYSE
Steel
$312.78M$23.844.84%$73.79M4.24x0.45
ZEUS
OLYMPIC STEEL INC
NASDAQ
Steel
$297.11M$26.704.66%$214.65M2.25x1.26
SID
NATIONAL STEEL CO
NYSE
Steel
$4.33B$3.125.05%$4.40B1.80x2.76
FRD
FRIEDMAN INDUSTRIES INC
NYSEMKT
Steel
$58.89M$8.596.58%$43.17M1.86x0.65
X
UNITED STATES STEEL CORP
NYSE
Steel
$5.17B$19.844.37%$6.50B1.07x0.97
ASTL
ALGOMA STEEL GROUP INC
NASDAQ
Steel
$1.38B$9.311.31%$1.00B1.41x0.70
MT
ARCELORMITTAL
NYSE
Steel
$21.79B$23.922.62%$21.09B1.77x0.80
SYNL
SYNALLOY CORP
NASDAQ
Steel
$152.17M$14.865.02%$49.66M4.89x1.37
SIM
GRUPO SIMEC SAB DE CV
NYSEMKT
Steel
$4.78B$31.001.91%$740.03M10.33x0.37
CLF
CLEVELAND-CLIFFS INC
NYSE
Steel
$8.65B$16.485.10%$6.05B2.30x2.08
PKX
POSCO HOLDINGS INC
NYSE
Steel
$14.20B$46.815.03%$12.74B2.46x0.80
WOR
WORTHINGTON INDUSTRIES INC
NYSE
Steel
$2.33B$46.395.24%$653.59M5.69x1.47
ZKIN
ZK INTERNATIONAL GROUP CO LTD
NASDAQ
Steel
$31.52M$1.09-0.91%-$2.11M-6.41x0.50
USAP
UNIVERSAL STAINLESS & ALLOY PRODUCTS INC
NASDAQ
Steel
$64.22M$7.171.70%$22.00M31.17x0.52
TMST
TIMKENSTEEL CORP
NYSE
Steel
$933.45M$20.024.87%$270.10M4.66x0.69
HUDI
HUADI INTERNATIONAL GROUP CO LTD
NASDAQ
Steel
$272.65M$20.77-3.22%$5.27M98.90x0.95

Steel Stocks FAQ

What are the best steel stocks to buy right now in Jun 2022?

According to Zen Score, the 3 best steel stocks to buy right now are:

1. Gerdau Sa (NYSE:GGB)


Gerdau Sa (NYSE:GGB) is the top steel stock with a Zen Score of 62, which is 17 points higher than the steel industry average of 45. It passed 23 out of 38 due diligence checks and has strong fundamentals. Gerdau Sa has seen its stock lose -29.26% over the past year, underperforming other steel stocks by -24 percentage points.

Gerdau Sa stock has a consensus Buy recommendation according to Wall Street analysts. Of the 1 analyst covering Gerdau Sa, 0% have issued a Strong Buy rating, 100% have issued a Buy, 0% have issued a hold, while 0% have issued a Sell rating, and 0% have issued a Strong Sell.

2. Steel Dynamics (NASDAQ:STLD)


Steel Dynamics (NASDAQ:STLD) is the second best steel stock with a Zen Score of 62, which is 17 points higher than the steel industry average of 45. It passed 23 out of 38 due diligence checks and has strong fundamentals. Steel Dynamics has seen its stock return 12.97% over the past year, overperforming other steel stocks by 18 percentage points.

Steel Dynamics has an average 1 year price target of $87.00, an upside of 26.29% from Steel Dynamics's current stock price of $68.89.

Steel Dynamics stock has a consensus Buy recommendation according to Wall Street analysts. Of the 6 analysts covering Steel Dynamics, 33.33% have issued a Strong Buy rating, 16.67% have issued a Buy, 33.33% have issued a hold, while 16.67% have issued a Sell rating, and 0% have issued a Strong Sell.

3. Nucor (NYSE:NUE)


Nucor (NYSE:NUE) is the third best steel stock with a Zen Score of 61, which is 16 points higher than the steel industry average of 45. It passed 23 out of 38 due diligence checks and has strong fundamentals. Nucor has seen its stock return 13.47% over the past year, overperforming other steel stocks by 19 percentage points.

Nucor has an average 1 year price target of $135.00, an upside of 21.56% from Nucor's current stock price of $111.06.

Nucor stock has a consensus Hold recommendation according to Wall Street analysts. Of the 8 analysts covering Nucor, 12.5% have issued a Strong Buy rating, 25% have issued a Buy, 50% have issued a hold, while 12.5% have issued a Sell rating, and 0% have issued a Strong Sell.

What are the steel stocks with highest dividends?

Out of 14 steel stocks that have issued dividends in the past year, the 3 steel stocks with the highest dividend yields are:

1. Mesabi Trust (NYSE:MSB)


Mesabi Trust (NYSE:MSB) has an annual dividend yield of 18.04%, which is 14 percentage points higher than the steel industry average of 4.38%. Mesabi Trust's dividend payout is not stable, having dropped more than 10% sixteen times in the last 10 years. Mesabi Trust's dividend has shown consistent growth over the last 10 years.

Mesabi Trust's dividend payout ratio of 76.5% indicates that its high dividend yield is sustainable for the long-term.

2. Gerdau Sa (NYSE:GGB)


Gerdau Sa (NYSE:GGB) has an annual dividend yield of 14.16%, which is 10 percentage points higher than the steel industry average of 4.38%. Gerdau Sa's dividend payout is not stable, having dropped more than 10% fifteen times in the last 10 years. Gerdau Sa's dividend has shown consistent growth over the last 10 years.

Gerdau Sa's dividend payout ratio of 30.5% indicates that its high dividend yield is sustainable for the long-term.

3. National Steel Co (NYSE:SID)


National Steel Co (NYSE:SID) has an annual dividend yield of 13.44%, which is 9 percentage points higher than the steel industry average of 4.38%. National Steel Co's dividend payout is not stable, having dropped more than 10% seven times in the last 10 years. National Steel Co's dividend has shown consistent growth over the last 10 years.

National Steel Co's dividend payout ratio of 24.1% indicates that its high dividend yield is sustainable for the long-term.

Why are steel stocks up?

Steel stocks were up 4.41% in the last day, and down -0.9% over the last week. Commercial Metals Co was the among the top gainers in the steel industry, gaining 6.54% yesterday.

Shares of metals companies are trading higher amid overall market strength as stocks look to rebound following last week's selloff.

What are the most undervalued steel stocks?

Based on WallStreetZen's Valuation Score, the 3 most undervalued steel stocks right now are:

1. Friedman Industries (NYSEMKT:FRD)


Friedman Industries (NYSEMKT:FRD) is the most undervalued steel stock based on WallStreetZen's Valuation Score. Friedman Industries has a valuation score of 71, which is 33 points higher than the steel industry average of 38. It passed 5 out of 7 valuation due diligence checks.

Friedman Industries's stock has dropped -43.97% in the past year. It has underperformed other stocks in the steel industry by -38 percentage points.

2. Posco Holdings (NYSE:PKX)


Posco Holdings (NYSE:PKX) is the second most undervalued steel stock based on WallStreetZen's Valuation Score. Posco Holdings has a valuation score of 71, which is 33 points higher than the steel industry average of 38. It passed 5 out of 7 valuation due diligence checks.

Posco Holdings's stock has dropped -39.88% in the past year. It has underperformed other stocks in the steel industry by -34 percentage points.

3. Olympic Steel (NASDAQ:ZEUS)


Olympic Steel (NASDAQ:ZEUS) is the third most undervalued steel stock based on WallStreetZen's Valuation Score. Olympic Steel has a valuation score of 57, which is 19 points higher than the steel industry average of 38. It passed 4 out of 7 valuation due diligence checks.

Olympic Steel's stock has dropped -13.59% in the past year. It has underperformed other stocks in the steel industry by -8 percentage points.

Are steel stocks a good buy now?

37.5% of steel stocks rated by analysts are a buy right now. On average, analysts expect steel stocks to rise by 36.48% over the next year.

What is the average p/e ratio of the steel industry?

The average P/E ratio of the steel industry is 3.67x.
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Information is provided 'as-is' and solely for informational purposes and is not advice. WallStreetZen does not bear any responsibility for any losses or damage that may occur as a result of reliance on this data.