Nucor (NUE) AI Stock Analysis

• Market Cap: $36.49B
• Dividend Yield: 1.38%
• Average Volume (3M): 1.49M
• Price to Earnings (P/E): 22.4
• Beta (1Y): 1.22
• Revenue Growth: 1.66%
• EPS Growth: -31.25%
• Country: US
• Employees: 32,700
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Steel
• EPS (TTM): 2.63
• Shares Outstanding: 228,858,660
• 10 Day Avg. Volume: 1,194,134
• 30 Day Avg. Volume: 1,489,348
• PEG Ratio: -0.26
• Price to Book (P/B): 1.37
• Price to Sales (P/S): 0.90
• P/FCF Ratio: 34.51
• Enterprise Value/Market Cap: 1.02
• Enterprise Value/Revenue: 1.16
• Enterprise Value/Gross Profit: 10.17
• Enterprise Value/Ebitda: 9.02
• 1Y Price Target: $174.63
• Price Target Upside: 9.52% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 9
• EPS Forecast (FY): 8.2
• Revenue Forecast (FY): $32.74B

• Rating: 74 Outperform
• Price Target: $166.00 ▲(4.11% Upside)

Nucor's overall stock score reflects a stable financial position with strong technical momentum. The company's strategic growth initiatives and strong earnings call performance are positive, but valuation concerns and cash flow challenges weigh on the score. The outlook for Q4 presents some risks, but long-term prospects remain optimistic.

Positive Factors

Innovative Production Technology

Nucor's use of electric arc furnace technology enhances efficiency and sustainability, providing a competitive edge in steel manufacturing.

Credit Rating Upgrade

The credit rating upgrade to A3 reflects strong financial health, enhancing borrowing capacity and investor confidence.

Strategic Growth Initiatives

Ongoing expansion projects position Nucor for future growth and increased market share in the steel industry.

Negative Factors

Cash Flow Challenges

Negative free cash flow indicates potential liquidity issues, limiting Nucor's ability to reinvest in growth opportunities.

Margin Compression

Margin compression in the steel products segment could impact profitability, requiring strategic adjustments to maintain competitiveness.

Market Challenges

Continued softness in key markets like residential construction may hinder demand, affecting revenue growth and profitability.

Nucor Business Overview & Revenue Model

Company Description

Nucor Corporation manufactures and sells steel and steel products. The company's 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 products; and bar steel products, such as blooms, billets, concrete reinforcing and merchant bars, and special bar quality products. It also engages in the steel trading and rebar distribution businesses. This segment sells its products to steel service centers, fabricators, and manufacturers in the United States, Canada, and Mexico. Its Steel Products segment offers hollow structural section steel tubing products, electrical conduits, steel racking, steel joists and joist girders, steel decks, fabricated concrete reinforcing steel products, cold finished steel products, steel fasteners, metal building systems, insulated metal panels, steel grating and expanded metal products, and wire and wire mesh products primarily for use in nonresidential construction applications. This segment also engages in the piling distribution business. The company's Raw Materials segment produces direct reduced iron (DRI); brokers ferrous and nonferrous metals, pig iron, hot briquetted iron, and DRI; supplies ferro-alloys; and processes ferrous and nonferrous scrap metal, as well as engages in the natural gas drilling operations. This segment sells its ferrous scrap to electric arc furnace steel mills and foundries for manufacturing process; and nonferrous scrap metal to aluminum can producers, secondary aluminum smelters, steel mills and other processors, and consumers of various nonferrous metals. It serves agriculture, automotive, construction, energy and transmission, oil and gas, heavy equipment, infrastructure, and transportation industries through its in-house sales force; and internal distribution and trading companies. Nucor Corporation was incorporated in 1958 and is based in Charlotte, North Carolina.

How the Company Makes Money

Nucor generates revenue primarily through the sale of steel and steel products, with key revenue streams including the production of rebar, sheet steel, and structural steel. The company operates a highly efficient production model that focuses on using recycled scrap steel as a primary input, allowing it to minimize costs and capitalize on fluctuating scrap prices. Nucor benefits from strong relationships with suppliers and customers in various industries, including construction, automotive, and energy. Additionally, the company's decentralized management structure enables rapid decision-making and responsiveness to market changes, further enhancing its profitability. Factors contributing to its earnings include demand for steel in construction and manufacturing sectors, global steel pricing trends, and operational efficiencies from its advanced production technologies.

Nucor Financial Statement Overview

Summary

Nucor's financial performance is stable with a strong balance sheet and moderate income statement metrics. However, cash flow challenges, particularly negative free cash flow, pose a risk. The company shows resilience in revenue growth, but declining margins and cash flow issues need attention to sustain long-term growth.

Income Statement

Nucor's income statement shows a moderate performance with a gross profit margin of 11.43% and a net profit margin of 5.18% for the TTM period. The revenue growth rate of 3.50% indicates a positive trend, although margins have decreased compared to previous years. The EBIT and EBITDA margins are healthy, reflecting operational efficiency, but have also declined from historical highs.

Balance Sheet

The balance sheet is strong with a debt-to-equity ratio of 0.33, indicating prudent leverage management. The return on equity (ROE) of 8.11% for the TTM period is decent, though it has decreased from previous years. The equity ratio of 59.72% suggests a solid capital structure, providing stability.

Cash Flow

Cash flow analysis reveals challenges, with a negative free cash flow growth rate of -14.09% and a negative free cash flow to net income ratio. The operating cash flow to net income ratio of 0.74 indicates adequate cash generation relative to net income, but the negative free cash flow is a concern.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	31.88B	30.73B	34.71B	41.51B	36.48B	20.14B
Gross Profit	3.64B	4.10B	7.82B	12.50B	11.03B	2.23B
EBITDA	4.11B	4.49B	7.69B	11.57B	10.23B	1.79B
Net Income	1.65B	2.03B	4.52B	7.61B	6.83B	721.47M
Balance Sheet
Total Assets	34.78B	33.94B	35.34B	32.48B	25.82B	20.13B
Cash, Cash Equivalents and Short-Term Investments	2.75B	4.14B	7.13B	4.86B	2.62B	3.05B
Total Debt	6.85B	6.95B	6.84B	6.69B	5.68B	5.34B
Total Liabilities	12.85B	12.52B	13.22B	12.91B	11.22B	8.89B
Stockholders Equity	20.77B	20.29B	20.94B	18.41B	14.02B	10.79B
Cash Flow
Free Cash Flow	-330.77M	806.00M	4.90B	8.12B	4.61B	1.15B
Operating Cash Flow	3.17B	3.98B	7.11B	10.07B	6.23B	2.70B
Investing Cash Flow	-3.47B	-3.73B	-2.50B	-5.70B	-2.87B	-1.76B
Financing Cash Flow	-1.73B	-3.06B	-2.59B	-2.51B	-3.60B	285.85M

Nucor Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 159.45
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For NUE, the sentiment is Positive. The current price of 159.45 is above the 20-day moving average (MA) of 152.77, above the 50-day MA of 145.15, and above the 200-day MA of 132.67, indicating a bullish trend. The MACD of 4.89 indicates Negative momentum. The RSI at 62.77 is Neutral, neither overbought nor oversold. The STOCH value of 76.57 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for NUE.

Nucor Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
STLD	78 Outperform	$24.13B	21.92	12.47%	1.19%	-1.49%	-31.82%
NUE	74 Outperform	$36.49B	22.41	7.98%	1.38%	1.66%	-31.25%
RS	73 Outperform	$14.94B	20.90	9.94%	1.68%	-0.88%	-25.15%
MT	71 Outperform	$30.80B	11.38	4.72%	1.11%	-4.51%	―
CMC	69 Neutral	$7.42B	90.10	1.99%	1.08%	-1.61%	-81.36%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
PKX	60 Neutral	$15.97B	50.20	0.78%	2.53%	-8.97%	-67.03%

Nucor Corporate Events

Nucor Announces Leadership Transition with COO Retirement

On December 2, 2025, Nucor Corporation announced the retirement of David A. Sumoski, Chief Operating Officer, effective June 13, 2026. Sumoski, who has been with Nucor since 1995, will step down from his COO role on January 1, 2026, and continue as Executive Vice President until his retirement. Concurrently, Stephen D. Laxton, the current Chief Financial Officer and Executive Vice President, will be promoted to President and COO, effective January 1, 2026. This leadership transition is part of Nucor’s strategic succession planning, ensuring a seamless transition of responsibilities.

Nucor Reports Q3 2025 Earnings Increase

Nucor Corporation reported consolidated net earnings of $607 million for the third quarter of 2025, showing an increase from both the previous quarter and the same period in 2024. The company continues to expand its steelmaking capabilities and downstream operations while maintaining a strong balance sheet and returning significant capital to shareholders. Despite the positive earnings, Nucor anticipates lower earnings in the fourth quarter due to expected decreases in volumes and selling prices across its segments.