10 Best Steel Stocks to Buy According to Billionaires

2. Steel Dynamics, Inc. (NASDAQ:STLD)

Number of Billionaire Investors: 12

Steel Dynamics, Inc. (NASDAQ:STLD) is one of the biggest steel producers and metal recyclers in the U.S. The company runs four main divisions: Steel Operations, Metals Recycling, Steel Fabrication, and Aluminum Operations. It manufactures hot-rolled, cold-rolled, and coated steel for the building, automotive, manufacturing, transportation, and energy markets.

Despite tough market conditions in 2024, Steel Dynamics, Inc. (NASDAQ:STLD) reported solid financial results. The company earned an operating income of $1.9 billion and a net income of $1.5 billion ($9.84 per diluted share) for the year ended December 31, 2024. Meanwhile, cash flow from operations stood at $1.8 billion, with strong liquidity of $2.2 billion.

For Q4 2024, steel shipments fell 5% from the previous quarter due to seasonal factors and an unexpected outage. Quarterly revenue was $3.9 billion, with an operating income of $238 million. Average steel prices dropped by $48 per ton, reflecting broader market trends.

Steel Dynamics, Inc. (NASDAQ:STLD) made major strategic progress in 2024 as the company expanded its new flat-rolled steel coating lines, adding 1.1 million tons of higher-margin products. Its Sinton mill improved reliability, reaching over 80% capacity by year-end and nearing 90% in early 2025.

In the future, the company expects stronger demand for its fabrication and flat-rolled products, backed by infrastructure spending and reshoring. Despite market hurdles, Steel Dynamics, Inc. (NASDAQ:STLD) expects its aluminum segment to become EBITDA-positive by H2 2025. The company projects that rolling mill utilization will hit 50% in 2025 and 75% in 2026, setting it up for future growth.