Nucor's Earnings: A Preview

Nucor (NYSE:NUE) is gearing up to announce its quarterly earnings on Monday, 2024-10-21. Here's a quick overview of what investors should know before the release.

Analysts are estimating that Nucor will report an earnings per share (EPS) of $1.49.

The market awaits Nucor's announcement, with hopes high for news of surpassing estimates and providing upbeat guidance for the next quarter.

It's important for new investors to understand that guidance can be a significant driver of stock prices.

Overview of Past Earnings

The company's EPS beat by $0.33 in the last quarter, leading to a 1.1% drop in the share price on the following day.

Here's a look at Nucor's past performance and the resulting price change:

Quarter	Q2 2024	Q1 2024	Q4 2023	Q3 2023
EPS Estimate	2.35	3.65	2.87	4.25
EPS Actual	2.68	3.46	3.16	4.57
Price Change %	-1.0%	-9.0%	7.000000000000001%	5.0%

Stock Performance

Shares of Nucor were trading at $158.09 as of October 17. Over the last 52-week period, shares are up 12.8%. Given that these returns are generally positive, long-term shareholders are likely bullish going into this earnings release.

Analysts' Perspectives on Nucor

For investors, staying informed about market sentiments and expectations in the industry is paramount. This analysis provides an exploration of the latest insights on Nucor.

The consensus rating for Nucor is Outperform, based on 5 analyst ratings. With an average one-year price target of $170.0, there's a potential 7.53% upside.

Understanding Analyst Ratings Among Peers

In this analysis, we delve into the analyst ratings and average 1-year price targets of Steel Dynamics, Reliance and United States Steel, three key industry players, offering insights into their relative performance expectations and market positioning.

• The consensus among analysts is an Neutral trajectory for Steel Dynamics, with an average 1-year price target of $136.82, indicating a potential 13.45% downside.
• Analysts currently favor an Outperform trajectory for Reliance, with an average 1-year price target of $325.0, suggesting a potential 105.58% upside.
• Analysts currently favor an Buy trajectory for United States Steel, with an average 1-year price target of $42.64, suggesting a potential 73.03% downside.

Peer Metrics Summary

The peer analysis summary provides a snapshot of key metrics for Steel Dynamics, Reliance and United States Steel, illuminating their respective standings within the industry. These metrics offer valuable insights into their market positions and comparative performance.

Company	Consensus	Revenue Growth	Gross Profit	Return on Equity
Nucor	Outperform	-15.18%	$1.19B	3.10%
Steel Dynamics	Neutral	-6.28%	$774.84M	3.49%
Reliance	Outperform	-6.11%	$1.09B	3.44%
United States Steel	Buy	-17.77%	$489M	1.62%

Key Takeaway:

Nucor ranks at the top for Gross Profit and Return on Equity among its peers. However, it ranks at the bottom for Revenue Growth.

About Nucor

Nucor Corp manufactures steel and steel products. The company also produces direct reduced iron for use in its steel mills. The operations include international trading and sales companies that buy and sell steel and steel products manufactured by the company and others. The operating business segments are: steel mills, steel products, and raw materials, the steel mills segment derives maximum revenue. The steel mills segment includes carbon and alloy steel in sheet, bars, structural and plate; steel trading businesses; rebar distribution businesses; and Nucor's equity method investments in NuMit and NJSM.

Nucor's Economic Impact: An Analysis

Market Capitalization Analysis: The company's market capitalization is above the industry average, indicating that it is relatively larger in size compared to peers. This may suggest a higher level of investor confidence and market recognition.

Negative Revenue Trend: Examining Nucor's financials over 3 months reveals challenges. As of 30 June, 2024, the company experienced a decline of approximately -15.18% in revenue growth, reflecting a decrease in top-line earnings. As compared to its peers, the revenue growth lags behind its industry peers. The company achieved a growth rate lower than the average among peers in Materials sector.

Net Margin: Nucor's net margin excels beyond industry benchmarks, reaching 7.95%. This signifies efficient cost management and strong financial health.

Return on Equity (ROE): The company's ROE is a standout performer, exceeding industry averages. With an impressive ROE of 3.1%, the company showcases effective utilization of equity capital.

Return on Assets (ROA): The company's ROA is a standout performer, exceeding industry averages. With an impressive ROA of 1.89%, the company showcases effective utilization of assets.

Debt Management: The company maintains a balanced debt approach with a debt-to-equity ratio below industry norms, standing at 0.33.

To track all earnings releases for Nucor visit their earnings calendar on our site.

This article was generated by Benzinga's automated content engine and reviewed by an editor.