Wells Fargo & Company Has Lowered Expectations for Nucor (NYSE:NUE) Stock Price

Key Points

• Wells Fargo & Company has cut Nucor's price target from $146.00 to $140.00, indicating a potential downside of 1.89% from its previous close, while maintaining an "equal weight" rating.
• Other research firms, such as JPMorgan and Jefferies, have recently raised their price targets on Nucor, with Jefferies setting a new target of $170.00 and an upgraded rating to "buy."
• Nucor reported quarterly earnings of $2.60 EPS, slightly exceeding analysts' expectations, with a revenue of $8.46 billion during the quarter.

Nucor (NYSE:NUE - Free Report) had its price target lowered by Wells Fargo & Company from $146.00 to $140.00 in a report published on Thursday, Marketbeat reports. The firm currently has an equal weight rating on the basic materials company's stock.

NUE has been the subject of several other research reports. Morgan Stanley increased their price target on shares of Nucor from $134.00 to $149.00 and gave the company an "overweight" rating in a research report on Friday, June 20th. Jefferies Financial Group upgraded shares of Nucor from a "hold" rating to a "buy" rating and lifted their target price for the stock from $135.00 to $170.00 in a research note on Thursday, July 31st. UBS Group reduced their target price on shares of Nucor from $153.00 to $147.00 and set a "buy" rating for the company in a research note on Thursday, May 29th. JPMorgan Chase & Co. lifted their target price on shares of Nucor from $143.00 to $162.00 and gave the stock an "overweight" rating in a research note on Monday, July 14th. Finally, Bank of America lifted their target price on shares of Nucor from $150.00 to $165.00 and gave the stock a "buy" rating in a research note on Monday, September 15th. Eight investment analysts have rated the stock with a Buy rating and one has issued a Hold rating to the company. According to data from MarketBeat.com, Nucor presently has a consensus rating of "Moderate Buy" and a consensus price target of $156.20.

Nucor Stock Performance

NUE traded down $1.27 during trading on Thursday, hitting $133.03. 4,862,886 shares of the company traded hands, compared to its average volume of 1,419,934. The firm has a market cap of $30.54 billion, a P/E ratio of 24.01, a price-to-earnings-growth ratio of 0.88 and a beta of 1.76. The stock's fifty day moving average is $142.95 and its 200 day moving average is $128.60. The company has a quick ratio of 1.51, a current ratio of 2.83 and a debt-to-equity ratio of 0.31. Nucor has a one year low of $97.59 and a one year high of $170.52.

Nucor (NYSE:NUE - Get Free Report) last posted its quarterly earnings results on Monday, July 28th. The basic materials company reported $2.60 earnings per share for the quarter, beating the consensus estimate of $2.54 by $0.06. The company had revenue of $8.46 billion during the quarter, compared to analyst estimates of $8.47 billion. Nucor had a net margin of 4.21% and a return on equity of 6.65%. The firm's revenue for the quarter was up 4.7% on a year-over-year basis. During the same quarter in the prior year, the business earned $2.68 earnings per share. As a group, equities analysts predict that Nucor will post 7.64 EPS for the current fiscal year.

Nucor Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Monday, November 10th. Shareholders of record on Tuesday, September 30th will be paid a dividend of $0.55 per share. The ex-dividend date of this dividend is Tuesday, September 30th. This represents a $2.20 annualized dividend and a dividend yield of 1.7%. Nucor's dividend payout ratio (DPR) is 39.71%.

Insider Buying and Selling at Nucor

In other Nucor news, EVP Kenneth Rex Query sold 10,000 shares of Nucor stock in a transaction that occurred on Thursday, June 26th. The shares were sold at an average price of $130.37, for a total transaction of $1,303,700.00. Following the transaction, the executive vice president directly owned 94,080 shares of the company's stock, valued at approximately $12,265,209.60. This trade represents a 9.61% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. Also, EVP Daniel R. Needham sold 7,200 shares of Nucor stock in a transaction on Monday, August 18th. The stock was sold at an average price of $146.00, for a total transaction of $1,051,200.00. Following the completion of the transaction, the executive vice president directly owned 92,179 shares in the company, valued at approximately $13,458,134. The trade was a 7.24% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last three months, insiders sold 48,397 shares of company stock valued at $6,763,814. 0.46% of the stock is owned by insiders.

Institutional Inflows and Outflows

Several hedge funds have recently made changes to their positions in NUE. Putney Financial Group LLC purchased a new position in shares of Nucor in the fourth quarter worth $29,000. IMA Advisory Services Inc. increased its stake in shares of Nucor by 51.4% in the second quarter. IMA Advisory Services Inc. now owns 221 shares of the basic materials company's stock worth $29,000 after buying an additional 75 shares during the period. Matrix Trust Co increased its stake in shares of Nucor by 53.8% in the second quarter. Matrix Trust Co now owns 240 shares of the basic materials company's stock worth $31,000 after buying an additional 84 shares during the period. MV Capital Management Inc. increased its stake in shares of Nucor by 73.5% in the first quarter. MV Capital Management Inc. now owns 281 shares of the basic materials company's stock worth $34,000 after buying an additional 119 shares during the period. Finally, Elevation Point Wealth Partners LLC purchased a new position in shares of Nucor in the second quarter worth $39,000. 76.48% of the stock is owned by hedge funds and other institutional investors.

About Nucor

Nucor Corporation engages in manufacture and sale of steel and steel products. It operates in three segments: steel mills, steel products, and raw materials. The Steel Mills segment produces hot-rolled, cold-rolled, and galvanized sheet steel products; plate steel products; wide-flange beams, beam blanks, and H-piling and sheet piling structural steel products; bar steel products, such as blooms, billets, concrete reinforcing and merchant bars, and engineered special bar quality products; and engages in the steel trading and rebar distribution businesses.