NUCOR CORP (NUE) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:NUE - US6703461052 - Common Stock
164.81 USD
-4.54 (-2.68%)
164.81 USD
0 (0%)
Taking everything into account, NUE scores 5 out of 10 in our fundamental rating. NUE was compared to 157 industry peers in the Metals & Mining industry. NUE scores excellent on profitability, but there are some minor concerns on its financial health. NUE is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year NUE was profitable.
NUE had a positive operating cash flow in the past year.
Each year in the past 5 years NUE has been profitable.
In the past 5 years NUE always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of NUE (4.73%) is better than 73.89% of its industry peers.
The Return On Equity of NUE (7.93%) is better than 70.06% of its industry peers.
NUE has a better Return On Invested Capital (6.50%) than 65.61% of its industry peers.
NUE had an Average Return On Invested Capital over the past 3 years of 17.84%. This is significantly above the industry average of 10.33%.
The 3 year average ROIC (17.84%) for NUE is well above the current ROIC(6.50%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.73% | ||
| ROE | 7.93% | ||
| ROIC | 6.5% |
ROA(3y)14.01%
ROA(5y)14.38%
ROE(3y)24.2%
ROE(5y)25.55%
ROIC(3y)17.84%
ROIC(5y)19.27%
1.3 Margins
Looking at the Profit Margin, with a value of 5.16%, NUE is in the better half of the industry, outperforming 68.15% of the companies in the same industry.
In the last couple of years the Profit Margin of NUE has grown nicely.
Looking at the Operating Margin, with a value of 7.90%, NUE is in the better half of the industry, outperforming 61.78% of the companies in the same industry.
NUE's Operating Margin has improved in the last couple of years.
NUE has a Gross Margin (11.43%) which is comparable to the rest of the industry.
In the last couple of years the Gross Margin of NUE has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.9% | ||
| PM (TTM) | 5.16% | ||
| GM | 11.43% |
OM growth 3Y-27.6%
OM growth 5Y2.16%
PM growth 3Y-29.36%
PM growth 5Y3.25%
GM growth 3Y-23.78%
GM growth 5Y2.32%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so NUE is still creating some value.
NUE has less shares outstanding than it did 1 year ago.
The number of shares outstanding for NUE has been reduced compared to 5 years ago.
Compared to 1 year ago, NUE has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 4.33 indicates that NUE is not in any danger for bankruptcy at the moment.
With a decent Altman-Z score value of 4.33, NUE is doing good in the industry, outperforming 60.51% of the companies in the same industry.
A Debt/Equity ratio of 0.33 indicates that NUE is not too dependend on debt financing.
NUE has a worse Debt to Equity ratio (0.33) than 65.61% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.33 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 4.33 |
ROIC/WACC0.65
WACC10.06%
2.3 Liquidity
A Current Ratio of 2.77 indicates that NUE has no problem at all paying its short term obligations.
With a Current ratio value of 2.77, NUE perfoms like the industry average, outperforming 56.05% of the companies in the same industry.
NUE has a Quick Ratio of 1.51. This is a normal value and indicates that NUE is financially healthy and should not expect problems in meeting its short term obligations.
NUE has a Quick ratio (1.51) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.77 | ||
| Quick Ratio | 1.51 |
3. Growth
3.1 Past
The earnings per share for NUE have decreased strongly by -32.62% in the last year.
The Earnings Per Share has been growing by 15.91% on average over the past years. This is quite good.
Looking at the last year, NUE shows a small growth in Revenue. The Revenue has grown by 1.66% in the last year.
Measured over the past years, NUE shows a small growth in Revenue. The Revenue has been growing by 6.35% on average per year.
EPS 1Y (TTM)-32.62%
EPS 3Y-27.81%
EPS 5Y15.91%
EPS Q2Q%76.51%
Revenue 1Y (TTM)1.66%
Revenue growth 3Y-5.56%
Revenue growth 5Y6.35%
Sales Q2Q%14.47%
3.2 Future
The Earnings Per Share is expected to grow by 4.45% on average over the next years.
NUE is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.83% yearly.
EPS Next Y-6.78%
EPS Next 2Y15.19%
EPS Next 3Y14.69%
EPS Next 5Y4.45%
Revenue Next Year7.14%
Revenue Next 2Y6.89%
Revenue Next 3Y5.93%
Revenue Next 5Y4.83%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
NUE is valuated rather expensively with a Price/Earnings ratio of 22.67.
Based on the Price/Earnings ratio, NUE is valued cheaper than 80.25% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 26.92. NUE is around the same levels.
With a Price/Forward Earnings ratio of 14.03, NUE is valued correctly.
70.70% of the companies in the same industry are more expensive than NUE, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of NUE to the average of the S&P500 Index (23.57), we can say NUE is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.67 | ||
| Fwd PE | 14.03 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of NUE indicates a somewhat cheap valuation: NUE is cheaper than 76.43% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 10.61 |
4.3 Compensation for Growth
NUE has an outstanding profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as NUE's earnings are expected to grow with 14.69% in the coming years.
PEG (NY)N/A
PEG (5Y)1.42
EPS Next 2Y15.19%
EPS Next 3Y14.69%
5. Dividend
5.1 Amount
NUE has a Yearly Dividend Yield of 1.37%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 0.99, NUE pays a better dividend. On top of this NUE pays more dividend than 80.89% of the companies listed in the same industry.
Compared to the average S&P500 Dividend Yield of 1.94, NUE is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.37% |
5.2 History
On average, the dividend of NUE grows each year by 6.08%, which is quite nice.
NUE has paid a dividend for at least 10 years, which is a reliable track record.
NUE has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)6.08%
Div Incr Years34
Div Non Decr Years34
5.3 Sustainability
31.17% of the earnings are spent on dividend by NUE. This is a low number and sustainable payout ratio.
NUE's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP31.17%
EPS Next 2Y15.19%
EPS Next 3Y14.69%
164.81
-4.54 (-2.68%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryMetals & Mining
Earnings (Last)
Earnings (Next)
Inst Owners76.76%
Inst Owner Change0%
Ins Owners0.33%
Ins Owner Change-0.41%
Market Cap37.72B
Revenue(TTM)31.88B
Net Income(TTM)1.65B
Analysts80.95
Price Target179.99 (9.21%)
Short Float %1.88%
Short Ratio2.68
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.37% |
Yearly Dividend2.18
Dividend Growth(5Y)6.08%
DP31.17%
Div Incr Years34
Div Non Decr Years34
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)8.94%
Min EPS beat(2)-1.2%
Max EPS beat(2)19.08%
EPS beat(4)3
Avg EPS beat(4)30.03%
Min EPS beat(4)-1.2%
Max EPS beat(4)84.88%
EPS beat(8)6
Avg EPS beat(8)16.91%
EPS beat(12)10
Avg EPS beat(12)14.75%
EPS beat(16)12
Avg EPS beat(16)11.55%
Revenue beat(2)1
Avg Revenue beat(2)0.77%
Min Revenue beat(2)-1.93%
Max Revenue beat(2)3.46%
Revenue beat(4)3
Avg Revenue beat(4)3.12%
Min Revenue beat(4)-1.93%
Max Revenue beat(4)7.36%
Revenue beat(8)5
Avg Revenue beat(8)1.82%
Revenue beat(12)7
Avg Revenue beat(12)1.28%
Revenue beat(16)9
Avg Revenue beat(16)1.03%
PT rev (1m)5.61%
PT rev (3m)12.55%
EPS NQ rev (1m)-8.15%
EPS NQ rev (3m)-6.41%
EPS NY rev (1m)-1.8%
EPS NY rev (3m)-1.41%
Revenue NQ rev (1m)-0.61%
Revenue NQ rev (3m)-0.87%
Revenue NY rev (1m)-0.08%
Revenue NY rev (3m)0.46%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.67 | ||
| Fwd PE | 14.03 | ||
| P/S | 1.18 | ||
| P/FCF | N/A | ||
| P/OCF | 11.9 | ||
| P/B | 1.82 | ||
| P/tB | 2.79 | ||
| EV/EBITDA | 10.61 |
EPS(TTM)7.27
EY4.41%
EPS(NY)11.74
Fwd EY7.13%
FCF(TTM)-1.45
FCFYN/A
OCF(TTM)13.84
OCFY8.4%
SpS139.31
BVpS90.75
TBVpS59.13
PEG (NY)N/A
PEG (5Y)1.42
Graham Number121.84
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.73% | ||
| ROE | 7.93% | ||
| ROCE | 8.25% | ||
| ROIC | 6.5% | ||
| ROICexc | 7.14% | ||
| ROICexgc | 9.64% | ||
| OM | 7.9% | ||
| PM (TTM) | 5.16% | ||
| GM | 11.43% | ||
| FCFM | N/A |
ROA(3y)14.01%
ROA(5y)14.38%
ROE(3y)24.2%
ROE(5y)25.55%
ROIC(3y)17.84%
ROIC(5y)19.27%
ROICexc(3y)21.93%
ROICexc(5y)23.06%
ROICexgc(3y)31.53%
ROICexgc(5y)31.51%
ROCE(3y)22.62%
ROCE(5y)24.46%
ROICexgc growth 3Y-36.34%
ROICexgc growth 5Y-0.84%
ROICexc growth 3Y-38.58%
ROICexc growth 5Y-3.14%
OM growth 3Y-27.6%
OM growth 5Y2.16%
PM growth 3Y-29.36%
PM growth 5Y3.25%
GM growth 3Y-23.78%
GM growth 5Y2.32%
F-Score6
Asset Turnover0.92
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.33 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 1.72 | ||
| Cap/Depr | 239.82% | ||
| Cap/Sales | 10.98% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 79.67% | ||
| Profit Quality | N/A | ||
| Current Ratio | 2.77 | ||
| Quick Ratio | 1.51 | ||
| Altman-Z | 4.33 |
F-Score6
WACC10.06%
ROIC/WACC0.65
Cap/Depr(3y)202.33%
Cap/Depr(5y)198.22%
Cap/Sales(3y)7.13%
Cap/Sales(5y)6.7%
Profit Quality(3y)85.27%
Profit Quality(5y)96.9%
High Growth Momentum
Growth
EPS 1Y (TTM)-32.62%
EPS 3Y-27.81%
EPS 5Y15.91%
EPS Q2Q%76.51%
EPS Next Y-6.78%
EPS Next 2Y15.19%
EPS Next 3Y14.69%
EPS Next 5Y4.45%
Revenue 1Y (TTM)1.66%
Revenue growth 3Y-5.56%
Revenue growth 5Y6.35%
Sales Q2Q%14.47%
Revenue Next Year7.14%
Revenue Next 2Y6.89%
Revenue Next 3Y5.93%
Revenue Next 5Y4.83%
EBIT growth 1Y-30.65%
EBIT growth 3Y-31.62%
EBIT growth 5Y8.65%
EBIT Next Year49.35%
EBIT Next 3Y25.6%
EBIT Next 5Y16.35%
FCF growth 1Y-105.41%
FCF growth 3Y-44.08%
FCF growth 5Y-9.56%
OCF growth 1Y-61.01%
OCF growth 3Y-13.89%
OCF growth 5Y7.21%
NUCOR CORP / NUE FAQ
What is the ChartMill fundamental rating of NUCOR CORP (NUE) stock?
ChartMill assigns a fundamental rating of 5 / 10 to NUE.
What is the valuation status of NUCOR CORP (NUE) stock?
ChartMill assigns a valuation rating of 4 / 10 to NUCOR CORP (NUE). This can be considered as Fairly Valued.
How profitable is NUCOR CORP (NUE) stock?
NUCOR CORP (NUE) has a profitability rating of 8 / 10.
What is the financial health of NUCOR CORP (NUE) stock?
The financial health rating of NUCOR CORP (NUE) is 5 / 10.
What is the earnings growth outlook for NUCOR CORP?
The Earnings per Share (EPS) of NUCOR CORP (NUE) is expected to decline by -6.78% in the next year.