As 2022 Winds Down, Should You Buy Steel Dynamics Stock at Its All-Time High?
Steel Dynamics (NASDAQ: STLD) has been a welcome exception to this year's bear market. Whereas the S&P 500 is down 14.5% year to date, shares of the metal supplier are up to the tune of 78%, reaching a record high this week.
In-the-know investors know why. Although metal prices have tumbled since late last year, demand hasn't. Global supply has simply been crimped due to factors like Russia's invasion of Ukraine and COVID-19-curbing lockdowns in China, buoying prices for producers that can supply it. Steel Dynamics is subsequently enjoying tremendous pricing power and profits. Shareholders have enjoyed the same.
Data source: Thomson Reuters. Chart by author.
Source Fool.com
