Nucor (NYSE:NUE) Cut to Hold at Wall Street Zen

Nucor (NYSE:NUE) was downgraded by equities researchers at Wall Street Zen from a “buy” rating to a “hold” rating in a note issued to investors on Saturday.

A number of other equities analysts also recently issued reports on the company. Morgan Stanley reiterated an “equal weight” rating and set a $180.00 price target (up from $165.00) on shares of Nucor in a research note on Friday, January 9th. The Goldman Sachs Group increased their price objective on Nucor from $182.00 to $196.00 and gave the stock a “buy” rating in a research note on Friday, January 16th. Seaport Research Partners raised their target price on Nucor from $170.00 to $185.00 and gave the company a “buy” rating in a report on Friday, January 30th. BNP Paribas Exane upped their price target on Nucor from $165.00 to $185.00 and gave the stock an “outperform” rating in a report on Friday, January 2nd. Finally, Weiss Ratings reissued a “hold (c)” rating on shares of Nucor in a research report on Monday, December 29th. Eight analysts have rated the stock with a Buy rating and three have issued a Hold rating to the company’s stock. According to MarketBeat.com, the company has an average rating of “Moderate Buy” and an average price target of $182.80.

Nucor Stock Performance

NUE opened at $168.58 on Friday. Nucor has a 1-year low of $97.59 and a 1-year high of $196.90. The company has a market cap of $38.40 billion, a price-to-earnings ratio of 22.36, a PEG ratio of 0.62 and a beta of 1.83. The company’s fifty day moving average price is $176.90 and its two-hundred day moving average price is $157.68. The company has a current ratio of 2.94, a quick ratio of 1.57 and a debt-to-equity ratio of 0.31.

Nucor (NYSE:NUE) last issued its quarterly earnings data on Monday, January 26th. The basic materials company reported $1.73 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $1.91 by ($0.18). The business had revenue of $7.69 billion for the quarter, compared to analyst estimates of $7.93 billion. Nucor had a net margin of 5.37% and a return on equity of 8.26%. The firm’s quarterly revenue was up 8.6% compared to the same quarter last year. During the same quarter in the prior year, the business earned $1.22 earnings per share. On average, analysts expect that Nucor will post 7.64 EPS for the current fiscal year.

Nucor declared that its Board of Directors has authorized a share repurchase program on Friday, February 20th that allows the company to repurchase $4.00 billion in outstanding shares. This repurchase authorization allows the basic materials company to purchase up to 9.7% of its stock through open market purchases. Stock repurchase programs are generally a sign that the company’s leadership believes its shares are undervalued.

Insider Activity at Nucor

In other Nucor news, EVP Daniel R. Needham sold 3,881 shares of Nucor stock in a transaction that occurred on Friday, January 30th. The shares were sold at an average price of $178.00, for a total transaction of $690,818.00. Following the completion of the sale, the executive vice president directly owned 88,298 shares in the company, valued at $15,717,044. The trade was a 4.21% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, EVP Thomas J. Batterbee sold 2,000 shares of Nucor stock in a transaction on Tuesday, December 23rd. The stock was sold at an average price of $165.28, for a total transaction of $330,560.00. Following the sale, the executive vice president directly owned 17,952 shares of the company’s stock, valued at $2,967,106.56. This represents a 10.02% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Over the last three months, insiders sold 34,351 shares of company stock valued at $6,206,158. Company insiders own 0.46% of the company’s stock.

Institutional Trading of Nucor

Several hedge funds have recently added to or reduced their stakes in NUE. Stance Capital LLC bought a new stake in shares of Nucor in the 3rd quarter valued at about $25,000. Strive Financial Group LLC bought a new position in Nucor during the 4th quarter valued at approximately $27,000. IMA Advisory Services Inc. raised its holdings in shares of Nucor by 51.4% during the second quarter. IMA Advisory Services Inc. now owns 221 shares of the basic materials company’s stock valued at $29,000 after acquiring an additional 75 shares in the last quarter. Motiv8 Investments LLC bought a new position in Nucor in the 4th quarter worth $32,000. Finally, Mcguire Capital Advisors Inc. purchased a new stake in Nucor in the fourth quarter worth about $32,000. 76.48% of the stock is owned by institutional investors.

About Nucor

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.