Nucor Corporation (NUE) issued guidance for the third quarter of 2024. The company expects earnings per share (EPS) to range between 87 cents and 97 cents. After accounting for certain one time non-cash charges totaling approximately 43 cents per share, the adjusted EPS is projected to be between $1.30 and $1.40. This marks a notable decline compared with EPS of $2.68 in second-quarter 2024 and $4.57 in third-quarter 2023.The non-adjusted earnings guidance for third-quarter 2024 includes estimated one time ...

CHARLOTTE, N.C., Sept. 17, 2024 /PRNewswire/ -- Nucor Corporation (NYSE: NUE) today announced guidance for its third quarter ending September 28, 2024. Nucor expects third quarter earnings to be in the range of $0.87 to $0.97 per diluted share. After adding back certain one-time non-cash charges totaling approximately $0.43 per diluted share, described below, we expect third quarter adjusted earnings per diluted share to be in the range of $1.30 to $1.40. Nucor reported net earnings of $2.68 per diluted sha ...

Core Viewpoint - Nucor Corporation is pursuing an expansionary strategy through acquisitions and capital expenditures, despite a bearish outlook for 2024 and declining average sales prices per ton sold. The company is considered undervalued, with significant upside potential in its stock price [2][3][26]. Company Overview - Nucor Corporation, established in 1958, is a major manufacturer of steel and steel products, and is recognized as North America's largest recycler, recycling approximately 18.4 million gross tons of scrap steel in 2023 [3]. Financial Performance - The company reported a 15% decrease in net sales for Q2 2024 compared to Q2 2023, with the average sales price per ton dropping 11% from $1,446 to $1,284. Total tons shipped decreased by 5% to approximately 6,289,000 tons [22]. - The steel mills segment backlog was approximately $3.27 billion in December 2023, up from $2.33 billion in December 2022. The backlog for the steel products segment was about $4.97 billion in December 2023 [6][12]. Acquisitions and Growth Strategy - Recent acquisitions, including C.H.I. for $3 billion, Cornerstone Building Brands' insulated metal panels business for $1 billion, and Hannibal for $370 million, are expected to enhance capacity and free cash flow potential [7][11]. - The company’s expansionary strategy aims to advance capabilities and create value, with a focus on growing core operations and pursuing inorganic growth through acquisitions [12][26]. Stock Repurchase Program - Nucor approved a $4 billion stock repurchase program in 2023, purchasing shares at an average price of $177, which is lower than the current stock price, indicating that the shares are considered undervalued [8][9]. Future Cash Flow Expectations - Free cash flow (FCF) is projected to grow from $3.8 billion in 2025 to $5.017 billion in 2031, supported by backlog growth and capacity expansion [12][14]. - The company’s enterprise value is estimated at $51 billion, with a fair price target of around $209 per share, suggesting significant upside potential compared to current trading levels [13][16]. Market Position and Valuation - Nucor's price-to-earnings (P/E) ratios are significantly lower than sector medians, indicating that the stock is undervalued relative to peers [16][20]. - The company’s diversified customer base mitigates risks associated with reliance on a few clients, allowing for better pricing power [5].

Nucor Corporation (NUE) benefits from actions to expand its production capabilities and grow its business through strategic acquisitions amid headwinds from weaker steel prices.NUE’s shares are down 19.2% year to date, compared with a 23.9% decline of its industry. The bearishness is partly due to the choppiness in the steel space as reflected by the significant retreat in U.S. steel prices due to a combination of demand slowdown and oversupply. Image Source: Zacks Investment ResearchLet’s find out why NUE ...

GCShutter Background In my 2023 article on Exxon Mobil, I discussed my issues with coal companies, specifically how metallurgical coal (met coal) companies are likely behind the curve and at risk of being disrupted by the transition away from coal and other fossil fuels: Coal companies seem content to say and do nothing [to transition to green energy], despite the even greater risks to coal as one of the dirtier and faster-declining fossil fuels … Case in point, coal companies Warrior Met Coal (HCC) and ...

Group 1 - Nucor Corporation declared a quarterly cash dividend of $0.54 per share, marking its 206th consecutive quarterly cash dividend [1] - The dividend is payable on November 8, 2024, to stockholders of record on September 27, 2024 [1] Group 2 - Nucor is a leading manufacturer of steel and steel products, with operations in the United States, Canada, and Mexico [2] - The company produces a wide range of products including carbon and alloy steel in various forms, as well as fabricated concrete reinforcing steel and metal building systems [2] - Nucor is recognized as North America's largest recycler, also engaging in the brokerage of ferrous and nonferrous metals [2]

When it comes to making steel, there's the old way and the new way. The new way is better through the cycle.Steel is a key building block of the modern world, going into everything from vehicles to buildings to household appliances. Steel demand is set to be robust, with a boom in mega projects (like data centers), each worth at least $1 billion. There have now been $1.4 trillion worth of mega projects announced since 2021, all of which will make heavy use of steel. But steel stocks are cyclical, so make su ...

In the latest trading session, Nucor (NUE) closed at $141.71, marking a -1.88% move from the previous day. This change lagged the S&P 500's 0.16% loss on the day. On the other hand, the Dow registered a gain of 0.09%, and the technology-centric Nasdaq decreased by 0.3%.The steel company's stock has dropped by 3.69% in the past month, falling short of the Basic Materials sector's gain of 0.19% and the S&P 500's gain of 3.64%.The upcoming earnings release of Nucor will be of great interest to investors. The c ...

Core Viewpoint - Nucor Corporation (NUE) has experienced a significant decline in share price, losing 22.4% over the past six months, which is worse than the Zacks Steel Producers industry's decline of 17.2% due to a combination of demand slowdown and oversupply in the steel market [1][8]. Group 1: Stock Performance - NUE is currently trading at a 27% discount to its 52-week high of $203 reached on April 9, 2024 [3]. - The stock has been trading below the 200-day simple moving average (SMA) since May 22, 2024, indicating a bearish trend [1]. - The Zacks Consensus Estimate for 2024 earnings has been revised downward, with a projected decline of approximately 44.4% year-over-year [11]. Group 2: Market Conditions - U.S. steel prices have sharply declined from $1,200 per short ton at the beginning of 2024 to below $800 per short ton in March 2024, influenced by reduced demand and increased imports [8][9]. - The current prices are hovering around $700 per short ton, with expectations of continued pressure on profitability due to weak manufacturing and construction activities [9][10]. Group 3: Company Strategy and Financials - Nucor is investing $6.5 billion in eight major growth projects through 2027 to enhance production capacity and maintain its position as a low-cost producer [4]. - The company has spent $5.8 billion on acquisitions since 2020, including the recent acquisition of Southwest Data Products and Rytec Corporation, aimed at expanding its product portfolio [5]. - Nucor returned over $1.7 billion to shareholders through dividends and share repurchases in the first half of 2024, maintaining a commitment to return at least 40% of annual net earnings to shareholders [7]. Group 4: Valuation and Outlook - Despite the decline in share price, NUE is trading at a forward 12-month earnings multiple of 13.16X, which is a 45.7% premium to the peer group average of 9.03X [12]. - The company is advised to be held for now, as its expansion efforts may drive profitability, but it faces challenges from weaker steel prices and declining earnings estimates [16][17].

Investors in Nucor Corporation (NUE) need to pay close attention to the stock based on moves in the options market lately. That is because the Jan 17, 2024 $65 Call had some of the highest implied volatility of all equity options today.What is Implied Volatility?Implied volatility shows how much movement the market is expecting in the future. Options with high levels of implied volatility suggest that investors in the underlying stocks are expecting a big move in one direction or the other. It could also me ...