STLD vs WOR

For growth investors, Steel Dynamics, Inc.

(STLD) is the stronger pick with 3. 6% revenue growth year-over-year, versus -7. 4% for Worthington Industries, Inc. (WOR). Worthington Industries, Inc. (WOR) offers the better valuation at 29. 1x trailing P/E (16. 3x forward), making it the more compelling value choice. Analysts rate Steel Dynamics, Inc. (STLD) a "Buy" — based on 27 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.

On trailing P/E, Worthington Industries, Inc.

(WOR) is the cheapest at 29. 1x versus Steel Dynamics, Inc. at 30. 3x. On forward P/E, Steel Dynamics, Inc. is actually cheaper at 16. 2x — notably different from the trailing picture, reflecting expected earnings growth. The PEG ratio (P/E divided by earnings growth rate) is the most growth-adjusted single valuation metric: Steel Dynamics, Inc. wins at 0. 64x versus Worthington Industries, Inc. 's 2. 55x — a PEG below 1. 0 traditionally signals the market is underpricing earnings growth.

Over the past 5 years, Steel Dynamics, Inc.

(STLD) delivered a total return of +305. 6%, compared to +35. 7% for Worthington Industries, Inc. (WOR). Over 10 years, the gap is even starker: STLD returned +918. 7% versus WOR's +175. 4%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.

By beta (market sensitivity over 5 years), Worthington Industries, Inc.

(WOR) is the lower-risk stock at 0. 95β versus Steel Dynamics, Inc. 's 1. 32β — meaning STLD is approximately 40% more volatile than WOR relative to the S&P 500. On balance sheet safety, Worthington Industries, Inc. (WOR) carries a lower debt/equity ratio of 35% versus 47% for Steel Dynamics, Inc. — giving it more financial flexibility in a downturn.

By revenue growth (latest reported year), Steel Dynamics, Inc.

(STLD) is pulling ahead at 3. 6% versus -7. 4% for Worthington Industries, Inc. (WOR). On earnings-per-share growth, the picture is similar: Worthington Industries, Inc. grew EPS -12. 7% year-over-year, compared to -18. 8% for Steel Dynamics, Inc.. Over a 3-year CAGR, STLD leads at -6. 5% annualised revenue growth. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.

Worthington Industries, Inc.

(WOR) is the more profitable company, earning 8. 3% net margin versus 6. 5% for Steel Dynamics, Inc. — meaning it keeps 8. 3% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: STLD leads at 8. 1% versus 4. 3% for WOR. At the gross margin level — before operating expenses — WOR leads at 27. 6%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.

The PEG ratio (forward P/E divided by expected earnings growth rate) is the most precise measure of undervaluation relative to growth potential.

By this metric, Steel Dynamics, Inc. (STLD) is the more undervalued stock at a PEG of 0. 64x versus Worthington Industries, Inc. 's 2. 55x. A PEG below 1. 0 is traditionally considered the threshold for growth-adjusted undervaluation. On forward earnings alone, Steel Dynamics, Inc. (STLD) trades at 16. 2x forward P/E versus 16. 3x for Worthington Industries, Inc. — 0. 0x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for WOR: 19. 9% to $67. 00.

All stocks in this comparison pay dividends.

Worthington Industries, Inc. (WOR) offers the highest yield at 1. 2%, versus 0. 8% for Steel Dynamics, Inc. (STLD).

For long-horizon retirement investors, Steel Dynamics, Inc.

(STLD) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (0. 8% yield, +918. 7% 10Y return). Both have compounded well over 10 years (STLD: +918. 7%, WOR: +175. 4%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.

These companies operate in different sectors (STLD (Basic Materials) and WOR (Industrials)), which means they face different economic cycles, regulatory environments, and macro sensitivities — making direct comparison nuanced.

These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.