Gerdau (NYSE:GGB) Issues Earnings Results

Gerdau (NYSE:GGB) posted its quarterly earnings data on Tuesday. The basic materials company reported $0.15 EPS for the quarter, meeting the consensus estimate of $0.15, Zacks reports. Gerdau had a net margin of 3.37% and a return on equity of 8.11%. The firm had revenue of $3.45 billion during the quarter, compared to analyst estimates of $3.41 billion.

Gerdau Trading Down 1.7%

Shares of GGB opened at $5.05 on Thursday. Gerdau has a fifty-two week low of $2.85 and a fifty-two week high of $5.18. The business has a 50-day moving average of $4.55 and a 200 day moving average of $4.28. The firm has a market cap of $10.11 billion, a P/E ratio of 21.87 and a beta of 1.48. The company has a debt-to-equity ratio of 0.26, a quick ratio of 1.29 and a current ratio of 2.76.

Analyst Upgrades and Downgrades

GGB has been the topic of a number of recent analyst reports. UBS Group reiterated a “buy” rating and set a $5.25 price target (up from $4.60) on shares of Gerdau in a report on Wednesday, April 29th. JPMorgan Chase & Co. increased their price target on shares of Gerdau from $5.50 to $6.00 and gave the company an “overweight” rating in a research report on Thursday, June 25th. Finally, Weiss Ratings reaffirmed a “hold (c)” rating on shares of Gerdau in a research report on Wednesday, June 24th. One research analyst has rated the stock with a Strong Buy rating, three have assigned a Buy rating and two have issued a Hold rating to the stock. According to MarketBeat.com, the company presently has an average rating of “Moderate Buy” and an average target price of $5.28.

Insider Buying and Selling at Gerdau

In related news, CEO Cunha Gustavo Werneck Da bought 165,224 shares of the company’s stock in a transaction on Friday, June 12th. The shares were purchased at an average price of $4.73 per share, for a total transaction of $781,509.52. Following the completion of the transaction, the chief executive officer directly owned 165,224 shares in the company, valued at approximately $781,509.52. The trade was a ∞ increase in their position. The transaction was disclosed in a filing with the SEC, which is accessible through this hyperlink. Also, insider Cesar Obino Da Rosa Peres sold 8,000 shares of the firm’s stock in a transaction on Tuesday, May 19th. The stock was sold at an average price of $4.60, for a total value of $36,800.00. Following the completion of the transaction, the insider directly owned 8 shares of the company’s stock, valued at $36.80. The trade was a 99.90% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders sold 493,789 shares of company stock valued at $2,389,147 in the last three months. 0.02% of the stock is owned by company insiders.

Institutional Trading of Gerdau

Institutional investors have recently added to or reduced their stakes in the stock. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. grew its holdings in Gerdau by 68.9% during the 2nd quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 9,634 shares of the basic materials company’s stock valued at $28,000 after buying an additional 3,931 shares in the last quarter. EverSource Wealth Advisors LLC boosted its position in shares of Gerdau by 95.3% in the second quarter. EverSource Wealth Advisors LLC now owns 10,687 shares of the basic materials company’s stock valued at $31,000 after acquiring an additional 5,216 shares during the period. Caitong International Asset Management Co. Ltd bought a new position in shares of Gerdau in the third quarter valued at approximately $34,000. Coldstream Capital Management Inc. purchased a new position in Gerdau during the third quarter valued at approximately $37,000. Finally, Public Employees Retirement System of Ohio purchased a new position in Gerdau during the fourth quarter valued at approximately $56,000. Hedge funds and other institutional investors own 1.49% of the company’s stock.

Gerdau Company Profile

Gerdau SA is a Brazilian-based steel producer engaged in the manufacture and distribution of long steel products for the construction, industrial and agricultural sectors. Established in 1901, the company operates an integrated network of electric-arc furnaces and rolling mills, producing reinforcement bars, wire rod, merchant bars and structural shapes. Gerdau’s product portfolio also includes specialty long steel, high-yield reinforcement, rail, beams and steel coils, as well as value-added processing services such as cutting, bending and coating.

The company has expanded its footprint beyond Brazil, with significant operations in North America, South America and a presence in select European markets.