Shares of Steel Dynamics Inc.
STLD,
-2.97%

surged 2.7% in premarket trading, after the steel producer provided a third-quarter profit outlook that was well above expectations. The company said it expects earnings per share of $4.78 to $4.82, which would represent a quarterly EPS record, and up from 47 cents a share in the year-ago period. Excluding costs associated with the construction of the Sinton Texas Flat Roll Steel Mill, adjusted EPS is expected to be $4.88 to $4.92, above the FactSet consensus of $4.40. The company said results were driven by “strong steel demand and significant metal spread expansion.” The company said it expects fourth-quarter earnings to be “even stronger” than third-quarter expectations, while the FactSet consensus for fourth-quarter EPS is $4.62. Separately, the company said it repurchased $280 million, or more than 2% of the shares outstanding, during the third quarter through Sept. 10. The stock, which closed Tuesday 15.2% below its Aug. 13 record close of $73.12, has run up 68.1% year to date, while the S&P 500
SPX,
-0.57%

has advanced 18.3%.

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