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Bringing practical business and technical intelligence to today's structured cabling professionals.

For more than 30 years, Cabling Installation & Maintenance has provided useful, practical information to professionals responsible for the specification, design, installation and management of structured cabling systems serving enterprise, data center and other environments. These professionals are challenged to stay informed of constantly evolving standards, system-design and installation approaches, product and system capabilities, technologies, as well as applications that rely on high-performance structured cabling systems. Our editors synthesize these complex issues into multiple information products. This portfolio of information products provides concrete detail that improves the efficiency of day-to-day operations, and equips cabling professionals with the perspective that enables strategic planning for networks’ optimum long-term performance.

Throughout our annual magazine, weekly email newsletters and 24/7/365 website, Cabling Installation & Maintenance digs into the essential topics our audience focuses on:

  • Design, Installation and Testing: We explain the bottom-up design of cabling systems, from case histories of actual projects to solutions for specific problems or aspects of the design process. We also look at specific installations using a case-history approach to highlight challenging problems, solutions and unique features. Additionally, we examine evolving test-and-measurement technologies and techniques designed to address the standards-governed and practical-use performance requirements of cabling systems.
  • Technology: We evaluate product innovations and technology trends as they impact a particular product class through interviews with manufacturers, installers and users, as well as contributed articles from subject-matter experts.
  • Data Center: Cabling Installation & Maintenance takes an in-depth look at design and installation workmanship issues as well as the unique technology being deployed specifically for data centers.
  • Physical Security: Focusing on the areas in which security and IT—and the infrastructure for both—interlock and overlap, we pay specific attention to Internet Protocol’s influence over the development of security applications.
  • Standards: Tracking the activities of North American and international standards-making organizations, we provide updates on specifications that are in-progress, looking forward to how they will affect cabling-system design and installation. We also produce articles explaining the practical aspects of designing and installing cabling systems in accordance with the specifications of established standards.

Steel Dynamics Stock is Up 9.6% While Its Peers Are Rusting

Rolls of steel in warehouse

While most steel producer stocks are trading down in 2024, Steel Dynamics Inc. (NASDAQ: STLD) is an exception. Its stock is trading up 9.1% year-to-date (YTD). The VanEck Steel ETF (NYSEARCA: SLX) is down 9.67% YTD. Incidentally, a number of steel companies lowered their guidance, which caused their shares to sell off. On June 17, 2024, Steel Dynamics lowered its Q2 2024 EPS guidance, but surprisingly, shares rebounded to close up 3% on the day. The reaction has investors wondering what makes Steel Dynamics' stock bullet-proof while its peers' stocks rust away.

Steel Dynamics operates in the basic materials sector and competes with steel producers, including Nucor Co. (NYSE: NUE), down 9.1% YTD, United States Steel Co. (NYSE: X), down 22.3% YTD, Cleveland Cliffs Inc. (NYSE: CLF), down 24.6% YTD, and Olympic Steel Inc. (NASDAQ: ZEUS), down 32.7% YTD.

Revisiting Steel Dynamics Inc.'s Q1 2024 Earnings

On April 23, 2024, Steel Dynamics reported Q1 2024 EPS of $3.67, beating consensus analyst estimates by 16 cents. Revenues fell 4.1% YoY to $4.69, falling short of the $4.74 billion consensus estimates. The company stated that it remains confident that domestic steel consumption will be strong throughout 2024. Order activity continued to be solid across its businesses, and steel prices remained firm. U.S.-produced steel products coupled with lower imports should support steel pricing. The company expects the automotive, industrial, non-residential construction, and energy sectors to remain bullish. Significant investment is expected to be derived from public funding related to the U.S. Infrastructure spawned by the Inflation Reduction Act (IRA) and Department of Energy programs.

Like Dominoes, Steel Companies Lower Their Guidance

On June 14, 2024, Nucor lowered its Q2 2024 EPS guidance to $2.20 to $2.30 versus $3.00 consensus estimates primarily due to lower earnings in the steel mills segment due to lower average selling prices and volumes.

On June 17, 2024, U.S. Steel lowered its adjusted EBITDA guidance for Q2 to $425 million from the previous forecast of $425 to $475 million. EPS guidance was flat at 76 to 80 cents versus 77-cent consensus estimates.

On June 17, 2024, Steel Dynamics followed suit and lowered its Q2 2024 EPS guidance to $2.64 to $2.68 versus $2.98 consensus estimates. The main driver is lower realized pricing, offsetting steady shipments. Underlying domestic steel demand remains intact, but steel-buying hesitancy has grown due to the weakening of the scrap price environment. Demand continues to be led by the automotive, energy, non-residential, and industrial sectors.

Optimistic Forecasts for Steel Dynamics in Q2 2024

Steel Dynamics expects Q2 2024 metal recycling operations earnings to be higher than Q1 results due to more substantial volumes in ferrous and nonferrous materials. Its steel fabrication operations are expected to align with Q1 2024 results based on increasing shipments offset by incrementally lower realized pricing. The non-residential construction sector remains solid, as evidenced by deck orders and steel joist backlog volume extending into the historically strong product pricing in the fourth quarter of 2024. Continued onshoring of manufacturing and robust U.S. infrastructure programs and industrial buildouts support strong demand for the coming years. The company purchased $247 million or 1.1% of its common stock through the second quarter to June 10, 2024.

Steel prices have fallen, as evidenced by the 37% plunge in hot-rolled steel prices in 2024. This impacts steel producers dramatically. However, the markets may have priced in the bad news, causing steel stocks to rally.

Steel Dynamics Inc STLD stock chart

STLD is Attempting to Breakout of a Descending Triangle Pattern

The daily candlestick chart for STLD shows a descending triangle pattern. The descending trendline commenced at $151.34, capping tops toward the $118.36 flat-bottom lower trendline support. STLD stock is attempting to break through the descending trend at $126.34. The daily relative strength index (RSI) is coiling up through the 53-band. Pullback support levels are at $122.48, $118.36, $110.00, and $107.38.

Steel Dynamics analyst ratings and price targets are at MarketBeat. 

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