Key Points
- Insider selling: Chia Yuan Wang sold 25,000 shares on Apr 10 at an average of $4.21 (worth $105,250), reducing their stake by 12.9%, and had also sold 34,000 shares on Apr 8; multiple other executives have reported recent sales in SEC filings.
- Analyst upgrades: Several brokers including JPMorgan (to "overweight" with a $5.50 target) and Zacks (to a Buy) have raised ratings or targets, with a consensus price target near $4.90 supporting positive sentiment.
- Fundamental headwinds: Gerdau recently missed quarterly EPS and revenue estimates and cut its quarterly dividend to $0.0194 (annualized $0.08, ~1.8% yield), which could dampen longer‑term investor sentiment.
Gerdau S.A. (NYSE:GGB - Get Free Report) insider Chia Yuan Wang sold 25,000 shares of the stock in a transaction that occurred on Friday, April 10th. The stock was sold at an average price of $4.21, for a total value of $105,250.00. Following the transaction, the insider directly owned 168,895 shares in the company, valued at approximately $711,047.95. This represents a 12.89% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this link.
Chia Yuan Wang also recently made the following trade(s):
- On Wednesday, April 8th, Chia Yuan Wang sold 34,000 shares of Gerdau stock. The stock was sold at an average price of $4.00, for a total value of $136,000.00.
Gerdau Trading Up 1.7%
NYSE:GGB opened at $4.28 on Wednesday. The company has a quick ratio of 1.40, a current ratio of 2.89 and a debt-to-equity ratio of 0.26. The business's 50 day moving average is $3.83 and its two-hundred day moving average is $3.73. Gerdau S.A. has a 52 week low of $2.46 and a 52 week high of $4.66. The company has a market cap of $8.55 billion, a PE ratio of 35.67, a P/E/G ratio of 1.19 and a beta of 1.44.
Gerdau (NYSE:GGB - Get Free Report) last issued its earnings results on Tuesday, February 24th. The basic materials company reported $0.07 EPS for the quarter, missing analysts' consensus estimates of $0.11 by ($0.04). Gerdau had a net margin of 1.93% and a return on equity of 6.20%. The company had revenue of $3.08 billion during the quarter, compared to analyst estimates of $3.12 billion. On average, analysts predict that Gerdau S.A. will post 0.46 EPS for the current year.
Gerdau Cuts Dividend
The business also recently announced a quarterly dividend, which was paid on Wednesday, March 25th. Shareholders of record on Thursday, March 12th were paid a $0.0194 dividend. This represents a $0.08 dividend on an annualized basis and a yield of 1.8%. The ex-dividend date was Thursday, March 12th. Gerdau's payout ratio is presently 50.00%.
Key Stories Impacting Gerdau
Here are the key news stories impacting Gerdau this week:
- Positive Sentiment: JPMorgan raised its price target to $5.50 and put Gerdau on "overweight," signaling ~28% upside from current levels and likely supporting buying interest. JPMorgan price-target raise
- Positive Sentiment: Zacks upgraded Gerdau to a Rank #2 (Buy), calling out improved earnings prospects—this institutional research upgrade can attract momentum buyers. Zacks upgrade to Buy
- Positive Sentiment: Multiple brokers (UBS, Scotiabank, Itau BBA) have recently upgraded or raised targets for Gerdau, and the consensus price target is near $4.90 — a positive analyst narrative supporting the stock. MarketBeat analyst roundup
- Positive Sentiment: Several institutional holders increased positions in the latest quarter (Hsbc, Invesco, Vident, Mackenzie, XTX Topco), which can be viewed as a vote of confidence from bigger investors. Institutional holdings increased
- Neutral Sentiment: Zacks also published a broader "Should value investors buy Gerdau?" piece that reviews valuation and estimate trends — informational but not an immediate catalyst. Zacks deep-dive
- Negative Sentiment: Insider selling: Chia Yuan Wang sold 25,000 shares at ~$4.21 on Apr 10 (12.9% reduction in their holding) — disclosed in an SEC filing. Chia Yuan Wang SEC filing
- Negative Sentiment: Additional insider sales by executives: EVP Mauricio Metz sold 1,000 shares at ~$4.24 (Apr 10). Mauricio Metz SEC filing
- Negative Sentiment: EVP Marcos Eduardo Fara Wahrhaftig sold 12,419 shares at ~$4.06 (Apr 9), reported across filings and trade alerts — multiple insider sales can concern investors about insider sentiment. Marcos sale coverage
- Negative Sentiment: Fundamental headwinds remain: Gerdau missed EPS and revenue estimates for its last quarter and recently reduced the quarterly payout (lower annualized dividend and 50% payout ratio), which are potential longer‑term dampeners on sentiment. Earnings & dividend details
Wall Street Analyst Weigh In
A number of equities analysts have commented on the company. UBS Group lifted their target price on Gerdau from $4.40 to $4.60 and gave the company a "buy" rating in a research note on Thursday, April 2nd. Weiss Ratings restated a "hold (c)" rating on shares of Gerdau in a research note on Friday, March 27th. Itau BBA Securities upgraded Gerdau from a "market perform" rating to an "outperform" rating and set a $4.60 target price for the company in a research note on Wednesday, April 1st. Scotiabank upgraded Gerdau from a "hold" rating to a "strong-buy" rating in a research note on Thursday, March 26th. Finally, JPMorgan Chase & Co. lifted their target price on Gerdau from $5.00 to $5.50 and gave the company an "overweight" rating in a research note on Monday. One equities research analyst has rated the stock with a Strong Buy rating, three have given a Buy rating and two have assigned a Hold rating to the stock. According to data from MarketBeat, Gerdau currently has an average rating of "Moderate Buy" and a consensus price target of $4.90.
Check Out Our Latest Research Report on GGB
Hedge Funds Weigh In On Gerdau
Hedge funds and other institutional investors have recently made changes to their positions in the business. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. boosted its position in shares of Gerdau by 68.9% during the second quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 9,634 shares of the basic materials company's stock worth $28,000 after buying an additional 3,931 shares during the period. Wealthstream Advisors Inc. acquired a new position in shares of Gerdau during the third quarter worth approximately $32,000. EverSource Wealth Advisors LLC boosted its position in shares of Gerdau by 95.3% during the second quarter. EverSource Wealth Advisors LLC now owns 10,687 shares of the basic materials company's stock worth $31,000 after buying an additional 5,216 shares during the period. Greenspring Advisors LLC acquired a new position in shares of Gerdau during the fourth quarter worth approximately $40,000. Finally, Aster Capital Management DIFC Ltd acquired a new position in shares of Gerdau during the third quarter worth approximately $34,000. 1.49% of the stock is currently owned by institutional investors and hedge funds.
About Gerdau
(
Get Free Report)
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.
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