Shares of Nucor Corporation (NYSE:NUE) have garnered a consensus recommendation of “Moderate Buy” from analysts, according to a report by Marketbeat. Out of ten ratings firms covering the company, two have issued a hold rating while eight analysts recommend a buy. The average price target among these brokers stands at $164.30 for the next year.
On October 29, 2023, several analysts adjusted their price targets for Nucor. Wells Fargo & Company raised its price objective from $140.00 to $147.00, maintaining an “equal weight” rating. Just a few days earlier, on September 15, Bank of America increased its target from $150.00 to $165.00 while issuing a “buy” rating. UBS Group also upped its target price from $165.00 to $168.00, affirming its buy rating on the same day as Wells Fargo. Additionally, BMO Capital Markets reiterated an “outperform” rating, and JPMorgan Chase & Co. increased its price target from $172.00 to $175.00, assigning an “overweight” rating.
As of the market opening on Friday, shares of Nucor traded at $144.19. The company’s 50-day moving average is $140.53, while the 200-day moving average is $133.63. Nucor has a market capitalization of $33.10 billion and a price-to-earnings (P/E) ratio of 20.25. Over the past year, the stock has fluctuated between a low of $97.59 and a high of $161.17. The company reports a debt-to-equity ratio of 0.30, a current ratio of 2.77, and a quick ratio of 1.51.
In its latest quarterly earnings report released on October 27, 2023, Nucor reported earnings per share (EPS) of $2.63, exceeding the consensus estimate of $2.30 by $0.33. The company generated revenue of $8.52 billion, surpassing the expected $8.27 billion. This marks a 14.5% increase in revenue compared to the same quarter last year, where the company posted an EPS of $1.49. Looking ahead, Nucor has set its Q4 2025 guidance at -2.630 EPS, with analysts projecting an EPS of 7.64 for the current fiscal year.
Dividend Announcement and Insider Activity
Nucor also recently declared a quarterly dividend of $0.55, scheduled for payment on November 10, 2023. Investors on record as of September 30, 2023, will receive this dividend, representing an annualized amount of $2.20 and a dividend yield of 1.5%. The current dividend payout ratio stands at 30.90%.
In related news, Chief Financial Officer Stephen D. Laxton sold 2,003 shares of Nucor stock on October 30, 2023, at an average price of $151.57, totaling approximately $303,594.71. Following this transaction, he holds 88,174 shares valued at around $13,364,533.18, indicating a 2.22% decrease in his position. Furthermore, Executive Vice President Kenneth Rex Query sold 10,000 shares on August 18, 2023, for a total of $1,449,000.00, reducing his stake by 10.63%. In total, insiders have sold 34,333 shares worth $5,075,189 over the last ninety days, with insiders owning 0.46% of the stock.
Institutional Investor Activity
Several large investors have recently adjusted their positions in Nucor. IMA Advisory Services Inc. increased its holdings by 51.4% in the second quarter, now owning 221 shares valued at $29,000. Matrix Trust Co. raised its stake by 53.8%, now holding 240 shares worth $31,000. Other institutions, such as AXS Investments LLC and Vision Financial Markets LLC, have also made significant purchases during the third quarter. Currently, institutional investors hold approximately 76.48% of Nucor’s stock.
Nucor Corporation is a leader in the manufacture and sale of steel and steel products, operating through three primary segments: steel mills, steel products, and raw materials. The Steel Mills segment produces various steel products, including hot-rolled and cold-rolled sheets, structural steel, and specialized bar products. As the company continues to navigate market dynamics, analysts and investors will closely monitor its financial performance and stock movements.