Nucor (NUE) Downgraded by ValuEngine

ValuEngine downgraded shares of Nucor (NYSE:NUE) from a hold rating to a sell rating in a research report released on Tuesday morning.

A number of other equities research analysts have also recently weighed in on NUE. Zacks Investment Research upgraded Nucor from a hold rating to a buy rating and set a $72.00 price target on the stock in a research note on Tuesday, October 9th. Credit Suisse Group restated a neutral rating on shares of Nucor in a research note on Monday. Seaport Global Securities began coverage on Nucor in a research note on Thursday, October 11th. They issued a buy rating and a $75.00 price target on the stock. Jefferies Financial Group restated a buy rating and issued a $80.00 price target on shares of Nucor in a research note on Friday, July 13th. Finally, KeyCorp upgraded Nucor from a sector weight rating to an overweight rating and set a $77.00 price target on the stock in a research note on Tuesday, July 24th. One investment analyst has rated the stock with a sell rating, five have assigned a hold rating and ten have issued a buy rating to the company. The company currently has an average rating of Buy and a consensus price target of $72.77.

NUE traded up $0.44 during trading hours on Tuesday, reaching $58.74. The company’s stock had a trading volume of 51,462 shares, compared to its average volume of 2,310,179. Nucor has a 52 week low of $53.71 and a 52 week high of $70.48. The company has a current ratio of 3.05, a quick ratio of 1.55 and a debt-to-equity ratio of 0.43. The stock has a market cap of $18.69 billion, a PE ratio of 16.70, a price-to-earnings-growth ratio of 0.64 and a beta of 1.51.

Nucor (NYSE:NUE) last posted its quarterly earnings results on Thursday, October 18th. The basic materials company reported $2.33 earnings per share for the quarter, missing analysts’ consensus estimates of $2.35 by ($0.02). Nucor had a net margin of 7.58% and a return on equity of 16.22%. The business had revenue of $6.74 billion during the quarter, compared to the consensus estimate of $6.64 billion. During the same quarter last year, the company posted $0.83 EPS. The firm’s revenue was up 30.4% on a year-over-year basis. Equities analysts forecast that Nucor will post 7.68 earnings per share for the current year.

Nucor declared that its Board of Directors has approved a share repurchase plan on Thursday, September 6th that permits the company to repurchase $2.00 billion in outstanding shares. This repurchase authorization permits the basic materials company to purchase up to 10% of its shares through open market purchases. Shares repurchase plans are generally an indication that the company’s board of directors believes its stock is undervalued.

The company also recently disclosed a quarterly dividend, which will be paid on Friday, November 9th. Shareholders of record on Friday, September 28th will be issued a $0.38 dividend. This represents a $1.52 dividend on an annualized basis and a yield of 2.59%. The ex-dividend date is Thursday, September 27th. Nucor’s dividend payout ratio is 43.30%.

In other Nucor news, CEO John J. Ferriola sold 14,607 shares of the company’s stock in a transaction on Tuesday, July 24th. The stock was sold at an average price of $68.25, for a total value of $996,927.75. Following the transaction, the chief executive officer now directly owns 374,542 shares of the company’s stock, valued at approximately $25,562,491.50. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. Also, EVP D. Chad Utermark sold 53,483 shares of the company’s stock in a transaction on Tuesday, July 24th. The shares were sold at an average price of $68.49, for a total value of $3,663,050.67. Following the completion of the transaction, the executive vice president now directly owns 155,140 shares in the company, valued at $10,625,538.60. The disclosure for this sale can be found here. Over the last ninety days, insiders sold 119,328 shares of company stock worth $8,074,991. Insiders own 0.70% of the company’s stock.

Institutional investors and hedge funds have recently added to or reduced their stakes in the company. Stevens Capital Management LP grew its holdings in shares of Nucor by 3,110.6% during the 2nd quarter. Stevens Capital Management LP now owns 130,961 shares of the basic materials company’s stock worth $8,185,000 after purchasing an additional 126,882 shares in the last quarter. Janney Montgomery Scott LLC grew its holdings in shares of Nucor by 1.0% during the 2nd quarter. Janney Montgomery Scott LLC now owns 114,293 shares of the basic materials company’s stock worth $7,143,000 after purchasing an additional 1,185 shares in the last quarter. Private Trust Co. NA acquired a new stake in shares of Nucor during the 3rd quarter worth $214,000. IMS Capital Management grew its holdings in shares of Nucor by 326.0% during the 2nd quarter. IMS Capital Management now owns 13,582 shares of the basic materials company’s stock worth $849,000 after purchasing an additional 10,394 shares in the last quarter. Finally, Ashler Capital LLC acquired a new stake in Nucor in the second quarter valued at about $10,515,000. 77.38% of the stock is currently owned by institutional investors.

About Nucor

Nucor Corporation manufactures and sells steel and steel products in the United States and internationally. 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; hollow structural section steel tubing, steel electrical conduit, plate steel, and structural steel products; bar steel products, such as blooms, billets, concrete reinforcing and merchant bars, wire rods, and special bar quality; and tubular and plate steel products.

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