Gerdau (NYSE:GGB) Sees Large Volume Increase – What’s Next?

Gerdau S.A. (NYSE:GGB) saw strong trading volume on Thursday . 8,919,435 shares traded hands during trading, an increase of 12% from the previous session’s volume of 7,929,212 shares.The stock last traded at $3.16 and had previously closed at $3.22.

Gerdau Trading Down 1.2 %

The company has a debt-to-equity ratio of 0.21, a current ratio of 2.83 and a quick ratio of 1.36. The firm’s 50 day moving average is $3.32 and its 200 day moving average is $3.37. The company has a market capitalization of $6.70 billion, a PE ratio of 5.27 and a beta of 1.74.

Gerdau (NYSE:GGB) last issued its quarterly earnings data on Wednesday, July 31st. The basic materials company reported $0.09 EPS for the quarter, topping the consensus estimate of $0.07 by $0.02. Gerdau had a net margin of 7.88% and a return on equity of 8.43%. The business had revenue of $3.19 billion during the quarter, compared to analyst estimates of $3.01 billion. As a group, equities analysts predict that Gerdau S.A. will post 0.61 EPS for the current year.

Gerdau Increases Dividend

The firm also recently announced a quarterly dividend, which was paid on Tuesday, August 27th. Stockholders of record on Tuesday, August 13th were given a $0.055 dividend. The ex-dividend date was Tuesday, August 13th. This is an increase from Gerdau’s previous quarterly dividend of $0.06. This represents a $0.22 dividend on an annualized basis and a dividend yield of 6.92%. Gerdau’s dividend payout ratio is currently 13.11%.

Institutional Trading of Gerdau

Hedge funds and other institutional investors have recently modified their holdings of the business. Ballentine Partners LLC purchased a new stake in shares of Gerdau in the 1st quarter worth about $44,000. Insight 2811 Inc. purchased a new stake in shares of Gerdau during the 2nd quarter valued at about $36,000. Wedbush Securities Inc. purchased a new stake in shares of Gerdau during the 2nd quarter valued at about $38,000. Prosperity Consulting Group LLC purchased a new stake in shares of Gerdau during the 1st quarter valued at about $53,000. Finally, KCM Investment Advisors LLC purchased a new stake in shares of Gerdau during the 1st quarter valued at about $54,000. 1.49% of the stock is owned by hedge funds and other institutional investors.

About Gerdau

Gerdau SA, together with its subsidiaries, operates as a steel producer company. The company operates through Brazil Business, North America Business, South America Business, and Special Steel Business segments. It also provides semi-finished products, including billets, blooms, and slabs; common long rolled products, such as rebars, wire rods, merchant bars, light shapes, and profiles to the construction and manufacturing industries; drawn products comprising barbed and barbless fence wires, galvanized wires, fences, concrete reinforcing wire mesh, nails, and clamps for manufacturing, construction, and agricultural industries; and special steel products used in auto parts, light and heavy vehicles, and agricultural machinery, as well as in the oil and gas, wind energy, machinery and equipment, mining and rail, and other markets.