Gerdau (NYSE:GGB) Shares Down 4.2% – Time to Sell?

Gerdau S.A. (NYSE:GGB)’s share price fell 4.2% on Wednesday . The stock traded as low as $3.17 and last traded at $3.17. 4,484,656 shares traded hands during trading, a decline of 48% from the average session volume of 8,603,465 shares. The stock had previously closed at $3.31.

Gerdau Stock Performance

The company has a market capitalization of $6.42 billion, a P/E ratio of 6.74 and a beta of 1.73. The stock’s fifty day moving average price is $3.33 and its 200-day moving average price is $3.30. The company has a debt-to-equity ratio of 0.21, a quick ratio of 1.53 and a current ratio of 2.98.

Gerdau Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Monday, December 23rd. Stockholders of record on Thursday, November 21st will be paid a dividend of $0.0528 per share. This is an increase from Gerdau’s previous quarterly dividend of $0.00. This represents a $0.21 annualized dividend and a dividend yield of 6.84%. The ex-dividend date of this dividend is Thursday, November 21st. Gerdau’s payout ratio is currently 43.48%.

Institutional Trading of Gerdau

Several hedge funds and other institutional investors have recently modified their holdings of the stock. Bank of New York Mellon Corp increased its position in Gerdau by 52.7% during the 2nd quarter. Bank of New York Mellon Corp now owns 284,272 shares of the basic materials company’s stock worth $938,000 after buying an additional 98,126 shares during the period. Banco Santander S.A. raised its stake in Gerdau by 58.4% in the 2nd quarter. Banco Santander S.A. now owns 77,552 shares of the basic materials company’s stock worth $256,000 after purchasing an additional 28,581 shares in the last quarter. Crossmark Global Holdings Inc. raised its stake in Gerdau by 9.6% in the 2nd quarter. Crossmark Global Holdings Inc. now owns 124,888 shares of the basic materials company’s stock worth $412,000 after purchasing an additional 10,888 shares in the last quarter. Commonwealth Equity Services LLC boosted its holdings in Gerdau by 1,706.6% in the 2nd quarter. Commonwealth Equity Services LLC now owns 288,519 shares of the basic materials company’s stock valued at $952,000 after purchasing an additional 272,549 shares during the period. Finally, Banque Cantonale Vaudoise grew its position in shares of Gerdau by 20.0% during the 2nd quarter. Banque Cantonale Vaudoise now owns 258,000 shares of the basic materials company’s stock worth $851,000 after purchasing an additional 43,000 shares in the last quarter. Institutional investors own 1.49% of the company’s stock.

Gerdau Company Profile

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.