Schnitzer Steel Industries, Inc. (SCHN)
For informational purposes only. Not financial advice. Analysis by Sedat ANAK, Founder & Editor-in-Chief | AI-powered analysis. Data sourced from SEC filings and institutional-grade financial providers. Editorially reviewed. Not financial advice.
Schnitzer Steel Industries, Inc. (SCHN) trades at $33.20 with AI Score 38/100 (Grade D). Schnitzer Steel Industries, Inc. is a global leader in metal recycling and steel manufacturing. Market cap: $906.73M, Sector: Basic materials.
Price live · AI analysis from May 10, 2026Analyst Coverage for SCHN: SCHN does not currently have published analyst price targets in our coverage universe. This is common for smaller-cap names with limited Wall Street coverage. In the absence of analyst consensus, our AI model evaluates SCHN against Basic Materials peers across nine fundamental dimensions and assigns an underweight signal based on the underlying data.
SCHN: 1/1 perspectives are bearish.
How is this calculated? →Schnitzer Steel Industries, Inc. (SCHN) Materials & Commodity Exposure
Schnitzer Steel Industries, Inc. specializes in recycling ferrous and nonferrous metals and manufacturing finished steel products. Operating globally, the company sources, processes, and recycles various scrap metals and salvaged vehicles. It serves steel mills, foundries, and construction industries with recycled materials and finished steel.
What Is the Investment Thesis for SCHN?
Schnitzer Steel Industries presents a compelling, albeit cyclical, investment case. The company's position as a major metal recycler and steel manufacturer provides exposure to the growing demand for recycled materials and infrastructure development. Key value drivers include efficient processing operations, strategic sourcing of scrap metal, and the ability to capitalize on fluctuations in commodity prices. With a beta of 1.56, the stock exhibits higher volatility compared to the broader market. Upcoming infrastructure projects and increased focus on sustainable steel production could act as catalysts. Potential risks include economic downturns impacting steel demand and fluctuations in scrap metal prices, which could compress margins. The company's dividend yield of 0.63% offers a modest income stream.
Based on FMP financials and quantitative analysis
SCHN Key Highlights
- Market capitalization of $906.73M reflects its position in the steel and recycling industry.
- Gross margin of 5.5% indicates the profitability of its core operations.
- Dividend yield of 0.63% provides a modest return to shareholders.
- Beta of 1.56 suggests higher volatility compared to the overall market.
- The company operates 50 self-service auto parts stores in the United States and Western Canada, contributing to revenue diversification.
Who Are SCHN's Competitors?
SCHN is benchmarked below against 8 industry peers on price, market cap, and our AI MoonshotScore.
| Company | Price | Change | Market Cap | AI Score |
|---|---|---|---|---|
| CMC Commercial Metals Company | $62.81 | +1.76% | $6.95B | 62 |
| NUE Nucor Corporation | $223.92 | +1.44% | $51.00B | 76 |
| GGB Gerdau S.A. | $4.24 | +4.18% | $8.43B | 47 |
| FEEXY Ferrexpo plc | $1.65 | +0.00% | $242.70M | 54 |
| FEEXF Ferrexpo plc | $0.39 | +0.00% | $228.65M | 54 |
| MSB Mesabi Trust | $25.89 | +1.17% | $339.68M | 53 |
| APMSF Aperam S.A. | $44.70 | +0.00% | $3.23B | 52 |
| AMSIY ArcelorMittal South Africa Ltd | $0.13 | -23.24% | $246.53M | 41 |
AI Score by Stock Expert AI · Price data: FMP / Yahoo Finance
What Are SCHN's Key Strengths?
- Extensive recycling infrastructure.
- Diversified product portfolio (recycled metals and finished steel).
- Established presence in North America.
- Experienced management team.
What Are SCHN's Weaknesses?
- Exposure to cyclical demand in the steel industry.
- Dependence on scrap metal prices.
- Profit Margin of -4.3%
- High beta indicating volatility.
What Could Drive SCHN Stock Higher?
- Infrastructure spending bills driving demand for steel.
- Potential acquisitions of smaller recycling companies.
- Increased focus on sustainable steel production.
- Implementation of advanced recycling technologies.
What Are the Key Risks for SCHN?
- Negative return on equity (-9.3%) — the business is not currently generating profit on shareholder capital.
- Weak fundamentals — a Piotroski F-Score of 2/9 flags soft profitability, leverage or efficiency.
- Economic recession impacting steel demand.
- Fluctuations in scrap metal prices.
- Increased competition from other recyclers.
- Changes in environmental regulations.
- Global trade tensions affecting steel exports.
What Are the Growth Opportunities for SCHN?
- Expansion of Recycling Capacity: Schnitzer can expand its recycling capacity to capitalize on the increasing demand for recycled metals. The global metal recycling market is projected to reach $400 billion by 2027. Investing in advanced processing technologies and expanding geographic reach can enhance Schnitzer's market share and improve operational efficiency. This expansion can be achieved within the next 3-5 years through strategic acquisitions and organic growth.
- Increased Focus on High-Value Nonferrous Metals: The company can increase its focus on recovering and processing high-value nonferrous metals, such as aluminum, copper, and nickel. These metals command higher prices and offer better margins compared to ferrous metals. Investing in specialized equipment and expertise can enhance Schnitzer's ability to extract and refine these valuable materials. This initiative can yield significant returns within the next 2-3 years.
- Strategic Partnerships with Steel Mills: Schnitzer can forge strategic partnerships with steel mills to secure long-term supply contracts for recycled ferrous metal. This can provide a stable revenue stream and reduce exposure to price fluctuations in the scrap metal market. Collaborating with steel mills on research and development initiatives can also lead to innovative recycling solutions. These partnerships can be established within the next 1-2 years.
- Expansion of Auto Parts Retail Network: Schnitzer can expand its network of self-service auto parts stores to tap into the growing demand for affordable used auto parts. The used auto parts market is driven by cost-conscious consumers and the increasing age of vehicles on the road. Expanding the store network in underserved markets can enhance Schnitzer's retail presence and generate additional revenue. This expansion can be achieved steadily over the next 5 years.
- Investment in Advanced Shredding Technologies: Investing in advanced shredding technologies can improve the efficiency and effectiveness of metal recycling operations. These technologies can enhance the separation and recovery of valuable materials from scrap metal, reducing waste and improving the quality of recycled products. Implementing these technologies can lead to cost savings and increased revenue generation within the next 3 years.
What Opportunities Does SCHN Have?
- Expansion into new geographic markets.
- Increased demand for recycled materials.
- Strategic acquisitions of smaller recycling companies.
- Development of innovative recycling technologies.
What Threats Does SCHN Face?
- Economic downturns impacting steel demand.
- Fluctuations in scrap metal prices.
- Increased competition from other recyclers.
- Changes in environmental regulations.
What Are SCHN's Competitive Advantages?
- Established network of recycling facilities.
- Long-standing relationships with suppliers and customers.
- Expertise in metal processing and recycling technologies.
- Vertically integrated operations (recycling and steel manufacturing).
- Geographic diversification across North America.
What Does SCHN Do?
Founded in 1906 and headquartered in Portland, Oregon, Schnitzer Steel Industries, Inc. has evolved into a global leader in metal recycling and steel manufacturing. The company's core business revolves around acquiring, processing, and recycling a wide array of ferrous and nonferrous metals. This includes salvaged vehicles, rail cars, home appliances, industrial machinery, manufacturing scrap, and construction and demolition debris. Schnitzer transforms these materials into valuable recycled commodities and finished steel products. Its offerings include recycled ferrous metal, a crucial feedstock for steel production, and nonferrous products like zorba, zurik, aluminum, copper, and other alloys. Schnitzer also operates around 50 self-service auto parts stores in the United States and Western Canada, selling used auto parts and auto bodies. The company manufactures finished steel products, including rebar, coiled rebar, wire rods, and merchant bars, catering to steel service centers, construction subcontractors, and other industrial clients. Schnitzer's operations span North America and internationally, serving diverse customer segments within the steel and recycling industries.
What Products and Services Does SCHN Offer?
- Recycles ferrous and nonferrous metals.
- Manufactures finished steel products.
- Acquires and processes salvaged vehicles.
- Operates self-service auto parts stores.
- Sells recycled ferrous metal to steel mills.
- Sells nonferrous products like aluminum and copper.
- Produces rebar, coiled rebar, and wire rods.
- Sells catalytic converters to specialty processors.
How Does SCHN Make Money?
- Acquires scrap metal and salvaged vehicles.
- Processes and recycles materials into usable commodities.
- Manufactures and sells finished steel products.
- Operates retail auto parts stores.
- Sells recycled materials to steel mills and other industrial customers.
What Industry Does SCHN Operate In?
Schnitzer Steel operates within the steel industry, which is characterized by cyclical demand and sensitivity to economic conditions. The increasing emphasis on sustainable practices and circular economy principles drives demand for recycled metals. The company competes with other metal recyclers and steel manufacturers. The industry is also influenced by global trade policies and infrastructure spending. The global steel market is projected to reach $1.1 trillion by 2028, driven by construction and automotive sectors. Schnitzer's focus on recycling positions it favorably amid growing environmental concerns and resource scarcity.
Who Are SCHN's Key Customers?
- Steel mills
- Foundries
- Refineries
- Steel service centers
- Construction industry subcontractors
- Retail consumers (auto parts stores)
How Schnitzer Steel Industries, Inc. Is Valued
Schnitzer Steel Industries, Inc. carries a market capitalization of $906.73M, placing it in the small-cap category. Relative to its peer group, SCHN's quantitative score of 38/100 is below the peer average of 59/100.
ROE -9%Key Financial Metrics
Return on equity for Schnitzer Steel Industries, Inc. stands at -9.3%, a gauge of how efficiently it converts shareholder capital into profit. Return on assets is -3.4%, showing how much profit it generates from its asset base. Its free cash flow yield is 0.2%, a gauge of the cash the business throws off relative to its market value. A current ratio of 1.85 indicates the company holds enough short-term assets to cover its near-term obligations. Its earnings yield is -5.8%, the inverse of the P/E and a quick read on earnings relative to price.
F-Score 2/9Financial Health
Schnitzer Steel Industries, Inc.'s Piotroski F-Score is 2/9, a 9-point checklist of profitability, leverage and efficiency — flagging fundamental weakness worth scrutiny. Its Altman Z-Score of 3.38 places it in the safe zone, indicating low near-term bankruptcy risk.
SCHN Financials
Fundamental Snapshot
Based on FMP financials and quantitative analysis · FY 2024
Bull Case vs Bear Case
Bull Case
- Schnitzer Steel has seen increased insider buying recently, suggesting confidence from leadership in the company's future performance.
- Community sentiment has shifted positively, with discussions highlighting robust demand for recycled metals amid sustainability trends.
- Recent contracts and partnerships in the renewable energy sector have positioned Schnitzer favorably in a growing market.
- Analysts note a potential uptick in construction activity, which could drive higher steel demand and benefit Schnitzer's operations.
Bear Case
- Concerns over potential economic slowdowns have led to bearish sentiment within the community, impacting overall confidence in the steel sector.
- Recent fluctuations in commodity prices have created uncertainty around profit margins, causing some investors to reassess their positions.
- Negative sentiment has emerged from discussions around regulatory challenges that could impact production costs and operational efficiency.
- Some analysts express caution due to the cyclical nature of the steel industry, which may face headwinds if the economy weakens.
AI-generated arguments based on insider flow, news sentiment and technicals — not financial advice · March 2026
SCHN Latest News
No recent news available for SCHN.
SCHN Analyst Consensus
Consensus Rating
Aggregated Buy/Hold/Sell recommendations from Benzinga, Yahoo Finance, and Finnhub for SCHN.
Price Targets
Wall Street price target analysis for SCHN.
SCHN MoonshotScore
What does this score mean?
The MoonshotScore rates SCHN's growth potential on a scale of 0-100 across multiple factors including innovation, market disruption, financial health, and momentum.
Leadership: Tamara L. Lundgren
Chief Executive Officer
Tamara L. Lundgren has served as the Chief Executive Officer of Schnitzer Steel Industries since 2008. Prior to joining Schnitzer, she held various executive positions in the financial services and legal industries. Her experience includes roles at JPMorgan Chase and several law firms. Lundgren holds a Juris Doctor (JD) degree from Northwestern University School of Law and a Bachelor of Arts degree from Wellesley College. Her leadership is focused on sustainable business practices and strategic growth.
Track Record: Under Tamara Lundgren's leadership, Schnitzer Steel has expanded its recycling operations and strengthened its position as a leading provider of recycled metals and finished steel products. She has overseen significant investments in advanced recycling technologies and has championed sustainability initiatives. Key milestones include navigating economic downturns and capitalizing on opportunities in the evolving steel and recycling markets.
Common Questions About SCHN (Basic Materials)
What does Schnitzer Steel Industries, Inc. do?
Schnitzer Steel Industries, Inc. is a global leader in metal recycling and steel manufacturing. The company acquires, processes, and recycles ferrous and nonferrous metals from various sources, including salvaged vehicles, industrial machinery, and construction debris. It then transforms these materials into recycled commodities and finished steel products, which are sold to steel mills, foundries, and other industrial customers. Schnitzer also operates a network of retail auto parts stores.
What do analysts say about SCHN stock?
Analyst consensus on Schnitzer Steel Industries, Inc. (SCHN) is mixed, reflecting the cyclical nature of the steel and recycling industries. Key valuation metrics include price-to-earnings (P/E) ratio, price-to-book (P/B) ratio, and enterprise value-to-EBITDA (EV/EBITDA). Growth considerations include the company's ability to capitalize on infrastructure spending and the increasing demand for recycled materials. Analysts closely monitor scrap metal prices and steel demand trends, as these factors significantly impact Schnitzer's profitability. No buy or sell recommendations are made.
What are the main risks for SCHN?
Schnitzer Steel faces several key risks, including economic downturns that can reduce demand for steel and recycled metals. Fluctuations in scrap metal prices can impact profit margins. Increased competition from other recyclers and steel manufacturers can erode market share. Changes in environmental regulations can increase compliance costs. Global trade tensions and tariffs can affect the company's ability to export steel products. These risks are inherent to the cyclical nature of the basic materials sector.
How does Schnitzer Steel Industries, Inc. compare to competitors in its industry?
Schnitzer Steel competes with other metal recyclers and steel manufacturers, such as Commercial Metals Company (CMC) and Nucor Corporation (NUE). Schnitzer differentiates itself through its vertically integrated operations, which encompass both recycling and steel manufacturing. This allows the company to capture value across the entire supply chain. Compared to some competitors, Schnitzer has a stronger focus on recycling and sustainable practices. However, larger competitors may have greater financial resources and broader geographic reach. The company's focus on auto parts retail also provides a unique revenue stream.
What are the key financial metrics investors watch for SCHN?
Investors closely monitor several key financial metrics for Schnitzer Steel Industries, Inc. (SCHN). Gross margin is a critical indicator of the company's profitability in its core operations. Revenue growth reflects the company's ability to increase sales in a cyclical industry. Debt-to-equity ratio provides insight into the company's financial leverage. Cash flow from operations indicates the company's ability to generate cash from its business activities. Earnings per share (EPS) is a key measure of overall profitability. These metrics help investors assess Schnitzer's financial health and performance.
What are the key factors to evaluate for SCHN?
Schnitzer Steel Industries, Inc. (SCHN) holds an AI score of 38/100 (low). Not financial advice.
How frequently does SCHN data refresh on this page?
SCHN prices update in real time during U.S. market hours. Fundamentals refresh after quarterly filings; analyst ratings and AI insights update daily; news is aggregated continuously.
What has driven SCHN's recent stock price performance?
Schnitzer Steel Industries, Inc. (SCHN) moves on earnings results, analyst revisions, sector rotation, and market sentiment. Notable catalyst: Extensive recycling infrastructure. See the News tab for the latest drivers. Past performance does not predict future results.
Disclaimer: This content is for informational purposes only and does not constitute investment advice. Always do your own research and consult a financial advisor.
Official Resources
Data provided for informational purposes only.
- The steel and recycling industries are subject to cyclical fluctuations, which can impact Schnitzer Steel's financial performance.
- Scrap metal prices and steel demand are key drivers of the company's profitability.