Victory Capital Management Inc. — Sycamore Mid Cap Value Equity on Steel Dynamics, Inc.
Thesis
Steel Dynamics benefited from higher steel prices and wider metal spreads during the quarter. Section 232 tariffs reduced import competition and allowed domestic producers to maintain firmer pricing, while the Mississippi aluminum facility is adding capacity into a domestic supply deficit. Management sees durable demand support from data-center construction, manufacturing onshoring and reshoring, and non-residential infrastructure. Sycamore states that its thesis remains intact.
“Our thesis for STLD remains intact.”