Leave it to steel producer Steel Dynamics
On Tuesday, the company announced an agreement to buy Roanoke Electric Steel
As for the quarter, it was tough mostly because the prior year was so strong. Sales dropped more than 21%, and net income was down about 60%. Although production didn't fall off too much, shipments were up only 3%, and pricing per ton was down about 24% versus the year-ago quarter.
Though not offered up as an excuse, management did talk about some of the negative effects of the hurricanes on the business. In addition to higher energy costs, supplies of hydrogen from Air Products
Looking at things over the longer term, I like what this company does, and I think Roanoke could prove to be a smart buy. What's more, the company is seeking more contract business with the likes of Caterpillar
For more metal mischief:
The Motley Fool has kicked off its ninth annual Foolanthropy campaign! Nominate your favorite charities on our Foolanthropy discussion board through Nov. 1. For guidelines on what makes a charity Foolish, visit www.foolanthropy.com .
Fool contributor Stephen Simpson has no financial interest in any stocks mentioned (that means he's neither long nor short the shares).