Shares of Nucor Corporation (NYSE:NUE) have garnered a consensus recommendation of “Moderate Buy” from ten financial analysts, according to a report by Marketbeat. Among these analysts, two have issued a hold rating, while eight have recommended buying the stock. The average one-year price target for Nucor is currently set at $164.30.
Multiple analysts have recently updated their evaluations of Nucor. On October 29, 2023, Wells Fargo & Company raised their price target from $140.00 to $147.00 while maintaining an “equal weight” rating. Earlier, on September 15, 2023, Bank of America increased their target from $150.00 to $165.00 and affirmed a “buy” rating. Additionally, UBS Group raised its target price from $165.00 to $168.00 on the same day as Wells Fargo’s update, also issuing a “buy” rating. Lastly, JPMorgan Chase & Co. lifted their target price from $172.00 to $175.00 on October 29, 2023, giving the stock an “overweight” rating.
Nucor’s Market Performance and Earnings Report
As of Friday, shares of Nucor opened at $144.19. The company has experienced a slight decline of 0.3% in its stock price. Nucor’s 50-day moving average is $140.53, and its 200-day moving average stands at $133.63. The company has a market capitalization of $33.10 billion, a price-to-earnings (P/E) ratio of 20.25, and a price-to-earnings-growth (PEG) ratio of 1.14. Over the past year, Nucor’s stock has fluctuated between a low of $97.59 and a high of $161.17.
On October 27, 2023, Nucor released its quarterly earnings report, which revealed earnings per share (EPS) of $2.63, exceeding analysts’ expectations of $2.30 by $0.33. Revenue for the quarter reached $8.52 billion, surpassing the consensus estimate of $8.27 billion. This marks a year-on-year revenue increase of 14.5% compared to the same quarter last year, during which the company reported an EPS of $1.49. Looking ahead, Nucor has projected a Q4 2025 EPS guidance of $2.630 and analysts anticipate a full-year EPS of $7.64.
Dividend Announcement and Insider Activity
In addition to its earnings report, Nucor announced a quarterly dividend of $0.55, which will be paid on November 10, 2023. Investors who are on record as of September 30, 2023 will receive this dividend. The ex-dividend date for this payment is also set for September 30, 2023. This dividend represents an annualized payout of $2.20, yielding 1.5%. Nucor’s dividend payout ratio currently stands at 30.90%.
In recent insider activity, Chief Financial Officer Stephen D. Laxton sold 2,003 shares on October 30, 2023, at an average price of $151.57, totaling approximately $303,594.71. Following this transaction, Laxton holds 88,174 shares, valued at about $13.36 million, reflecting a decrease of 2.22% in ownership. Additionally, Executive Vice President Kenneth Rex Query sold 10,000 shares on August 18, 2023, for a total of $1.45 million, resulting in a 10.63% decrease in his holdings.
Recent trading activity indicates that insiders have sold a total of 34,333 shares valued at around $5.08 million in the past ninety days. Currently, insiders hold 0.46% of Nucor’s stock.
Investment Interest and Institutional Holdings
Several large investors have recently adjusted their positions in Nucor. IMA Advisory Services Inc. increased its holdings by 51.4% in the second quarter, acquiring additional shares to reach a total of 221 shares, valued at approximately $29,000. Similarly, Matrix Trust Co. raised its stake by 53.8% to 240 shares, worth around $31,000.
In the third quarter, AXS Investments LLC purchased a new stake valued at $37,000, and Vision Financial Markets LLC increased its holdings by 281.7%, now owning 271 shares valued at $37,000. Elevation Point Wealth Partners LLC also acquired a new position in Nucor during the second quarter, valued at about $39,000. Currently, approximately 76.48% of Nucor’s stock is held by hedge funds and other institutional investors.
Nucor Corporation continues to operate as a significant player in the steel manufacturing sector, engaging in the production and sale of various steel products. The company’s operations are divided into three segments: steel mills, steel products, and raw materials. The Steel Mills segment is responsible for producing a wide array of steel products, including hot-rolled and cold-rolled sheets, plate steel, and structural steel products.
