SCHEDULE: FMR LLC Discloses 7.9% Stake in Gerdau SA Preferred Shares

FMR LLC and Abigail P. Johnson have disclosed a beneficial ownership of 7.9% of Gerdau SA's Preferred Shares as of December 31, 2025, through an amended Schedule 13G filing.

Summary

• FMR LLC and Abigail P. Johnson beneficially own an aggregate of 101,382,905.02 Preferred Shares of Gerdau SA.
• This ownership represents 7.9% of the total outstanding Preferred Shares of Gerdau SA.
• FMR LLC holds sole voting power over 101,192,692.00 shares and sole dispositive power over 101,382,905.02 shares.
• Abigail P. Johnson, as a control person of FMR LLC, is deemed to beneficially own the same aggregate amount of shares with sole dispositive power.
• The securities were acquired and are held in the ordinary course of business and not for the purpose of changing or influencing the control of Gerdau SA.
• Subsidiaries of FMR LLC identified as beneficially owning shares include FIAM LLC, Fidelity Institutional Asset Management Trust Company, Fidelity Management & Research Company LLC, and Strategic Advisers LLC.

Sentiment

Score: 7

Explanation: StockSavvy.ai views this as a moderately positive disclosure, as it confirms a substantial and stable institutional investment in Gerdau SA, suggesting continued confidence from a major asset manager.

Positives

• A significant institutional investor, FMR LLC, maintains a substantial 7.9% stake in Gerdau SA's Preferred Shares, indicating continued confidence in the company.
• The filing explicitly states the shares are held in the ordinary course of business and not for influencing control, suggesting a passive, long-term investment perspective.

Future Outlook

This Schedule 13G filing does not contain any forward-looking statements or guidance regarding Gerdau SA's future performance or FMR LLC's investment strategy beyond the current ownership disclosure.

Management Comments

• The filing includes a certification that the securities were acquired and are held in the ordinary course of business and not for the purpose of or with the effect of changing or influencing the control of Gerdau SA.

Industry Context

StockSavvy.ai notes that the continued significant stake by FMR LLC, a major institutional asset manager, in Gerdau SA's Preferred Shares underscores the attractiveness of the Brazilian steel producer within the broader materials sector. This level of institutional investment can signal stability and long-term value perception, particularly for a company operating in a cyclical industry like steel.

Comparison to Industry Standards

• StockSavvy.ai observes that a 7.9% stake held by a single institutional investor like FMR LLC is a substantial position, often placing them among the top shareholders.
• While specific comparable companies or projects are not detailed in this filing, such a significant holding is generally viewed positively, aligning with the investment strategies of large asset managers who seek meaningful exposure to established companies in their portfolios.

Corporate Governance

Stakeholder Impact

• Shareholders: The disclosure of a significant, stable institutional investor like FMR LLC may instill confidence among other shareholders, potentially reducing perceived investment risk.
• Management: Management of Gerdau SA can view this as a vote of confidence from a major financial institution, potentially supporting long-term strategic initiatives.

Key Dates

Recommendation

The filing indicates a stable, significant institutional stake by FMR LLC in Gerdau SA's Preferred Shares. While this is a positive signal of investor confidence, a Schedule 13G filing primarily discloses ownership and does not provide new operational or financial performance data to warrant a 'buy' or 'sell' recommendation. It reinforces a 'hold' position for investors who already have a positive outlook on Gerdau SA, given the continued institutional backing.

Keywords

Gerdau SA, FMR LLC, Abigail P. Johnson, Preferred Shares, Schedule 13G, Beneficial Ownership, Institutional Investor, SEC Filing, Steel Industry, Brazil