Nucor Corporation $NUE Stock Position Lowered by Massachusetts Financial Services Co. MA

Key Points

• Massachusetts Financial Services trimmed its Nucor stake by 4.2%, selling 37,427 shares and leaving it with 851,563 shares (about 0.37% of the company) valued at roughly $138.9 million.
• Nucor's board authorized a $4.00 billion stock buyback program to repurchase up to 9.7% of outstanding shares, a move that typically signals the board views the stock as undervalued.
• Nucor missed quarterly expectations with $1.73 EPS (consensus $1.91) and $7.69 billion in revenue (consensus $7.93B), though revenue was up 8.6% year-over-year, and the company declared a quarterly dividend of $0.56 (1.2% yield).

Massachusetts Financial Services Co. MA lessened its position in Nucor Corporation (NYSE:NUE - Free Report) by 4.2% in the 4th quarter, according to the company in its most recent filing with the SEC. The institutional investor owned 851,563 shares of the basic materials company's stock after selling 37,427 shares during the quarter. Massachusetts Financial Services Co. MA owned approximately 0.37% of Nucor worth $138,898,000 as of its most recent filing with the SEC.

A number of other hedge funds and other institutional investors also recently added to or reduced their stakes in NUE. AQR Capital Management LLC lifted its position in Nucor by 580.9% in the 2nd quarter. AQR Capital Management LLC now owns 653,845 shares of the basic materials company's stock worth $84,699,000 after buying an additional 557,819 shares in the last quarter. Capital World Investors lifted its position in Nucor by 20.1% in the 3rd quarter. Capital World Investors now owns 3,042,761 shares of the basic materials company's stock worth $412,081,000 after buying an additional 509,019 shares in the last quarter. Vaughan Nelson Investment Management L.P. lifted its position in Nucor by 169.0% in the 4th quarter. Vaughan Nelson Investment Management L.P. now owns 779,940 shares of the basic materials company's stock worth $127,216,000 after buying an additional 489,950 shares in the last quarter. Holocene Advisors LP lifted its position in Nucor by 146.9% in the 3rd quarter. Holocene Advisors LP now owns 548,911 shares of the basic materials company's stock worth $74,339,000 after buying an additional 326,572 shares in the last quarter. Finally, Rakuten Investment Management Inc. purchased a new stake in Nucor in the 3rd quarter worth approximately $32,915,000. Hedge funds and other institutional investors own 76.48% of the company's stock.

Nucor Stock Performance

Shares of NUE opened at $189.61 on Tuesday. The company has a market capitalization of $43.16 billion, a PE ratio of 25.15, a price-to-earnings-growth ratio of 0.66 and a beta of 1.73. Nucor Corporation has a one year low of $105.92 and a one year high of $196.90. The company has a debt-to-equity ratio of 0.31, a current ratio of 2.94 and a quick ratio of 1.57. The company's fifty day moving average price is $175.53 and its 200 day moving average price is $162.68.

Nucor (NYSE:NUE - Get Free Report) last announced its earnings results on Monday, January 26th. The basic materials company reported $1.73 EPS for the quarter, missing the consensus estimate of $1.91 by ($0.18). The firm had revenue of $7.69 billion during the quarter, compared to the consensus estimate of $7.93 billion. Nucor had a return on equity of 8.26% and a net margin of 5.37%.The business's revenue was up 8.6% compared to the same quarter last year. During the same quarter last year, the business earned $1.22 EPS. As a group, analysts expect that Nucor Corporation will post 7.64 earnings per share for the current year.

Nucor announced that its Board of Directors has authorized a stock repurchase plan on Friday, February 20th that allows the company to buyback $4.00 billion in outstanding shares. This buyback authorization allows the basic materials company to repurchase up to 9.7% of its stock through open market purchases. Stock buyback plans are generally an indication that the company's board believes its shares are undervalued.

Nucor Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Monday, May 11th. Shareholders of record on Tuesday, March 31st will be given a $0.56 dividend. This represents a $2.24 annualized dividend and a yield of 1.2%. The ex-dividend date is Tuesday, March 31st. Nucor's dividend payout ratio (DPR) is currently 29.71%.

Insiders Place Their Bets

In other Nucor news, EVP Daniel R. Needham sold 3,881 shares of the firm's stock in a transaction on Friday, January 30th. The shares were sold at an average price of $178.00, for a total value of $690,818.00. Following the sale, the executive vice president directly owned 88,298 shares in the company, valued at $15,717,044. This trade represents a 4.21% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available at the SEC website. Also, EVP Allen C. Behr sold 7,568 shares of the firm's stock in a transaction on Tuesday, February 3rd. The stock was sold at an average price of $188.50, for a total transaction of $1,426,568.00. Following the completion of the sale, the executive vice president owned 67,711 shares in the company, valued at $12,763,523.50. This represents a 10.05% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders have sold 26,401 shares of company stock worth $4,936,152 in the last ninety days. Insiders own 0.62% of the company's stock.

Analyst Upgrades and Downgrades

NUE has been the topic of several analyst reports. KeyCorp initiated coverage on shares of Nucor in a research note on Wednesday, March 25th. They set a "sector weight" rating on the stock. Wall Street Zen lowered shares of Nucor from a "buy" rating to a "hold" rating in a research note on Saturday. Seaport Research Partners increased their price target on shares of Nucor from $170.00 to $185.00 and gave the stock a "buy" rating in a research note on Friday, January 30th. BNP Paribas Exane increased their price target on shares of Nucor from $165.00 to $185.00 and gave the stock an "outperform" rating in a research note on Friday, January 2nd. Finally, Wells Fargo & Company increased their price target on shares of Nucor from $194.00 to $197.00 and gave the stock an "overweight" rating in a research note on Friday, March 20th. Nine investment analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the company's stock. According to MarketBeat, the company currently has a consensus rating of "Moderate Buy" and an average target price of $192.80.

Nucor Company Profile

Nucor Corporation NYSE: NUE is an American steel producer headquartered in Charlotte, North Carolina. The company is primarily engaged in the manufacture and sale of steel and steel products, operating a network of steel mills, recycling facilities and fabrication plants across the United States and North America. Nucor's operations emphasize electric arc furnace steelmaking using recycled scrap metal, which supports a decentralized, mill-based production model focused on efficiency and flexibility.

Product offerings span a broad range of basic and value‑added steel items, including sheet, plate, merchant bar, structural beams, reinforcing bar, tubing, fasteners and fabricated components.

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