Nucor Corporation (NYSE:NUE) Stock Has Average Price Target of $276.07 According to Brokerages

Key Points

• Analyst sentiment is positive: Seventeen brokerages give Nucor a consensus “Moderate Buy” rating, with 13 buys and 4 holds. The average 12-month price target is $276.07.
• Recent results exceeded expectations: Nucor reported quarterly earnings of $4.84 per share versus the $4.46 consensus estimate, while revenue reached $10.40 billion, up 23% year over year.
• Investors receive a modest dividend, but near-term risks remain: Nucor declared a $0.56 quarterly dividend, representing a 0.9% yield. However, softer-than-expected earnings guidance, insider selling, and potential future steel-production capacity could weigh on the outlook.

Nucor Corporation (NYSE:NUE - Get Free Report) has received a consensus recommendation of "Moderate Buy" from the seventeen research firms that are presently covering the company, MarketBeat Ratings reports. Four research analysts have rated the stock with a hold rating and thirteen have given a buy rating to the company. The average 1-year target price among brokers that have covered the stock in the last year is $276.07.

Several research firms have recently commented on NUE. The Goldman Sachs Group decreased their price objective on Nucor from $304.00 to $302.00 and set a "buy" rating for the company in a report on Friday, September 18th. Wall Street Zen downgraded shares of Nucor from a "strong-buy" rating to a "buy" rating in a research report on Saturday. KeyCorp upgraded shares of Nucor from a "sector weight" rating to an "overweight" rating and set a $274.00 price target for the company in a research note on Wednesday, June 24th. Weiss Ratings upgraded shares of Nucor from a "hold (c+)" rating to a "buy (b-)" rating in a research note on Tuesday, August 25th. Finally, Barclays upped their price objective on shares of Nucor from $272.00 to $295.00 and gave the stock an "overweight" rating in a report on Wednesday, July 29th.

Nucor Price Performance

NUE stock opened at $236.46 on Wednesday. The stock has a market capitalization of $53.65 billion, a PE ratio of 18.86, a price-to-earnings-growth ratio of 0.89 and a beta of 1.87. The company's 50-day moving average is $256.37 and its 200-day moving average is $230.71. The company has a debt-to-equity ratio of 0.27, a current ratio of 2.51 and a quick ratio of 1.36. Nucor has a 1 year low of $131.32 and a 1 year high of $280.11.

Nucor (NYSE:NUE - Get Free Report) last issued its earnings results on Monday, July 27th. The basic materials company reported $4.84 EPS for the quarter, beating analysts' consensus estimates of $4.46 by $0.38. The business had revenue of $10.40 billion during the quarter, compared to analyst estimates of $10.15 billion. Nucor had a return on equity of 12.73% and a net margin of 7.99%.The firm's revenue was up 23.0% compared to the same quarter last year. During the same period in the previous year, the company posted $2.60 EPS. Equities research analysts expect that Nucor will post 18.29 EPS for the current fiscal year.

Nucor Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Tuesday, November 10th. Stockholders of record on Wednesday, September 30th will be given a dividend of $0.56 per share. The ex-dividend date of this dividend is Wednesday, September 30th. This represents a $2.24 annualized dividend and a dividend yield of 0.9%. Nucor's payout ratio is presently 17.86%.

Trending Headlines about Nucor

Here are the key news stories impacting Nucor this week:

• Positive Sentiment: Nucor is seeking to join a Federal Energy Regulatory Commission proceeding concerning MISO power-market rules. The effort could potentially improve power-cost visibility or protect the competitiveness of the company’s electric-arc-furnace operations. Nucor Moves To Join FERC Fight Over MISO Power Rules
• Neutral Sentiment: Analyst estimates still anticipate roughly a 60% earnings rebound, while Nucor’s longer-term performance has benefited from higher steel prices, capacity expansion and acquisitions. However, those positives were overshadowed by the near-term outlook. Nucor Stock Estimates and Q3 Guidance
• Negative Sentiment: Nucor’s third-quarter earnings guidance of $5.55 to $5.65 per diluted share fell short of market expectations. Although steel mills and steel products were expected to improve sequentially, raw-material results were projected to weaken. The comparison is also pressured by nonrecurring second-quarter benefits, including a $61 million Helion investment gain and $130 million in raw-material procurement refunds. Nucor Falls on Softer Third-Quarter Guidance
• Negative Sentiment: A planned $15 billion foreign-owned steel mill in Iowa, expected to begin shipping steel in 2030, raises longer-term concerns about additional domestic capacity and competitive pressure for Nucor and other U.S. steelmakers. Iowa Steel Mill’s Impact on Nucor
• Negative Sentiment: Reported insider activity shows 26 open-market sales and no purchases during the past six months, which may reinforce investor caution, although the transactions may reflect compensation or portfolio decisions rather than a fundamental change in outlook.

Insider Transactions at Nucor

In other Nucor news, EVP Thomas J. Batterbee sold 4,000 shares of Nucor stock in a transaction dated Monday, August 3rd. The stock was sold at an average price of $261.02, for a total transaction of $1,044,080.00. Following the completion of the transaction, the executive vice president owned 16,138 shares in the company, valued at approximately $4,212,340.76. The trade was a 19.86% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, COO Stephen D. Laxton sold 3,968 shares of the business's stock in a transaction that occurred on Thursday, July 30th. The stock was sold at an average price of $256.96, for a total value of $1,019,617.28. Following the sale, the chief operating officer directly owned 77,867 shares of the company's stock, valued at $20,008,704.32. This represents a 4.85% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Corporate insiders own 0.62% of the company's stock.

Institutional Inflows and Outflows

Several hedge funds have recently modified their holdings of the stock. Greenwich Wealth Management LLC bought a new stake in Nucor during the second quarter worth $247,000. QRG Capital Management Inc. lifted its stake in Nucor by 7.6% during the 2nd quarter. QRG Capital Management Inc. now owns 22,787 shares of the basic materials company's stock valued at $5,076,000 after acquiring an additional 1,612 shares in the last quarter. Andra AP fonden lifted its stake in Nucor by 39.2% during the 2nd quarter. Andra AP fonden now owns 56,182 shares of the basic materials company's stock valued at $12,515,000 after acquiring an additional 15,833 shares in the last quarter. Security National Bank of Sioux City Iowa IA boosted its holdings in Nucor by 17.0% during the 2nd quarter. Security National Bank of Sioux City Iowa IA now owns 14,393 shares of the basic materials company's stock worth $3,206,000 after acquiring an additional 2,090 shares during the last quarter. Finally, Talon Private Wealth LLC purchased a new position in Nucor during the 2nd quarter worth $200,000. Hedge funds and other institutional investors own 76.48% of the company's stock.

Nucor Company Profile

Nucor Corporation is a Charlotte, North Carolina-based steel producer and one of the largest steel companies in North America. The company operates electric arc furnace (EAF) steel mills that use recycled scrap steel as a primary raw material, along with facilities that manufacture and process steel products for construction, manufacturing, transportation, energy and other industrial markets.

Nucor's product portfolio includes carbon and alloy steel in sheet, plate, bar and structural forms, as well as reinforcing steel, wire and wire mesh.

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