WallStSmart

Friedman Industries Inc. Common Stock (FRD)vsSteel Dynamics Inc (STLD)

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Smart Verdict

WallStSmart Research — data-driven comparison

Steel Dynamics Inc generates 2631% more annual revenue ($20.54B vs $752.11M). STLD leads profitability with a 7.8% profit margin vs 3.6%. FRD trades at a lower P/E of 10.9x. STLD earns a higher WallStSmart Score of 66/100 (B-).

FRD

Buy

63

out of 100

Grade: C+

Growth: 8.7Profit: 6.0Value: 8.3Quality: 7.0
Piotroski: 3/9Altman Z: 3.85

STLD

Strong Buy

66

out of 100

Grade: B-

Growth: 7.3Profit: 6.0Value: 4.3Quality: 8.0
Piotroski: 3/9Altman Z: 3.80
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

FRDUndervalued (+40.5%)

Margin of Safety

+40.5%

Fair Value

$35.33

Current Price

$40.48

$5.15 discount

UndervaluedFair: $35.33Overvalued

Intrinsic value data unavailable for STLD.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

FRD5 strengths · Avg: 9.6/10
P/E RatioValuation
10.9x10/10

Attractively priced relative to earnings

Revenue GrowthGrowth
78.1%10/10

Revenue surging 78.1% year-over-year

EPS GrowthGrowth
152.1%10/10

Earnings expanding 152.1% YoY

Altman Z-ScoreHealth
3.8510/10

Safe zone — low bankruptcy risk

Price/BookValuation
1.8x8/10

Reasonable price relative to book value

STLD3 strengths · Avg: 10.0/10
Revenue GrowthGrowth
33.4%10/10

Revenue surging 33.4% year-over-year

EPS GrowthGrowth
83.6%10/10

Earnings expanding 83.6% YoY

Altman Z-ScoreHealth
3.8010/10

Safe zone — low bankruptcy risk

Areas to Watch

FRD3 concerns · Avg: 3.0/10
Market CapQuality
$302.79M3/10

Smaller company, higher risk/reward

Profit MarginProfitability
3.6%3/10

3.6% margin — thin

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

STLD3 concerns · Avg: 2.7/10
Profit MarginProfitability
7.8%3/10

7.8% margin — thin

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

PEG RatioValuation
10.912/10

Expensive relative to growth rate

Comparative Analysis Report

WallStSmart Research

Bull Case : FRD

The strongest argument for FRD centers on P/E Ratio, Revenue Growth, EPS Growth. Revenue growth of 78.1% demonstrates continued momentum.

Bull Case : STLD

The strongest argument for STLD centers on Revenue Growth, EPS Growth, Altman Z-Score. Revenue growth of 33.4% demonstrates continued momentum.

Bear Case : FRD

The primary concerns for FRD are Market Cap, Profit Margin, Piotroski F-Score. Thin 3.6% margins leave little buffer for downturns.

Bear Case : STLD

The primary concerns for STLD are Profit Margin, Piotroski F-Score, PEG Ratio.

Key Dynamics to Monitor

FRD carries more volatility with a beta of 1.65 — expect wider price swings.

FRD is growing revenue faster at 78.1% — sustainability is the question.

STLD generates stronger free cash flow (304M), providing more financial flexibility.

Monitor STEEL industry trends, competitive dynamics, and regulatory changes.

Bottom Line

STLD scores higher overall (66/100 vs 63/100) and 33.4% revenue growth. FRD offers better value entry with a 40.5% margin of safety. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Friedman Industries Inc. Common Stock

BASIC MATERIALS · STEEL · USA

Friedman Industries, Incorporated is engaged in the steel processing, pipe fabrication and processing, and steel and pipe distribution businesses in the United States. The company is headquartered in Longview, Texas.

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Steel Dynamics Inc

BASIC MATERIALS · STEEL · USA

Steel Dynamics, Inc., is a steel producer and metal recycler in the United States.

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