NUCOR CORP (NUE)

US6703461052 - Common Stock

171.27  -0.26 (-0.15%)

After market: 171.27 0 (0%)

Fundamental Rating

7

NUE gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 156 industry peers in the Metals & Mining industry. NUE has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. NUE has a bad growth rate and is valued cheaply. These ratings could make NUE a good candidate for value investing.



9

1. Profitability

1.1 Basic Checks

In the past year NUE was profitable.
In the past year NUE had a positive cash flow from operations.
Each year in the past 5 years NUE has been profitable.
Each year in the past 5 years NUE had a positive operating cash flow.

1.2 Ratios

NUE has a better Return On Assets (12.75%) than 92.31% of its industry peers.
NUE has a better Return On Equity (21.52%) than 91.67% of its industry peers.
With an excellent Return On Invested Capital value of 15.86%, NUE belongs to the best of the industry, outperforming 93.59% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for NUE is significantly above the industry average of 8.98%.
The 3 year average ROIC (26.80%) for NUE is well above the current ROIC(15.86%). The reason for the recent decline needs to be investigated.
Industry RankSector Rank
ROA 12.75%
ROE 21.52%
ROIC 15.86%
ROA(3y)20.8%
ROA(5y)14.57%
ROE(3y)37.05%
ROE(5y)26%
ROIC(3y)26.8%
ROIC(5y)19.48%

1.3 Margins

With an excellent Profit Margin value of 12.98%, NUE belongs to the best of the industry, outperforming 86.54% of the companies in the same industry.
In the last couple of years the Profit Margin of NUE has grown nicely.
NUE has a Operating Margin of 17.95%. This is in the better half of the industry: NUE outperforms 76.92% of its industry peers.
NUE's Operating Margin has improved in the last couple of years.
With a decent Gross Margin value of 22.51%, NUE is doing good in the industry, outperforming 62.82% of the companies in the same industry.
In the last couple of years the Gross Margin of NUE has grown nicely.
Industry RankSector Rank
OM 17.95%
PM (TTM) 12.98%
GM 22.51%
OM growth 3Y30.38%
OM growth 5Y5.64%
PM growth 3Y53.94%
PM growth 5Y6.72%
GM growth 3Y26.47%
GM growth 5Y5.75%

9

2. Health

2.1 Basic Checks

NUE has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
Compared to 1 year ago, NUE has less shares outstanding
Compared to 5 years ago, NUE has less shares outstanding
NUE has a better debt/assets ratio than last year.

2.2 Solvency

NUE has an Altman-Z score of 4.82. This indicates that NUE is financially healthy and has little risk of bankruptcy at the moment.
With a decent Altman-Z score value of 4.82, NUE is doing good in the industry, outperforming 71.15% of the companies in the same industry.
NUE has a debt to FCF ratio of 1.40. This is a very positive value and a sign of high solvency as it would only need 1.40 years to pay back of all of its debts.
The Debt to FCF ratio of NUE (1.40) is better than 83.97% of its industry peers.
A Debt/Equity ratio of 0.32 indicates that NUE is not too dependend on debt financing.
NUE has a Debt to Equity ratio of 0.32. This is in the lower half of the industry: NUE underperforms 62.82% of its industry peers.
Although NUE does not score too well on debt/equity it has very limited outstanding debt, which is well covered by the FCF. We will not put too much weight on the debt/equity number as it may be because of low equity, which could be a consequence of a share buyback program for instance. This needs to be investigated.
Industry RankSector Rank
Debt/Equity 0.32
Debt/FCF 1.4
Altman-Z 4.82
ROIC/WACC1.93
WACC8.24%

2.3 Liquidity

NUE has a Current Ratio of 3.57. This indicates that NUE is financially healthy and has no problem in meeting its short term obligations.
The Current ratio of NUE (3.57) is better than 68.59% of its industry peers.
A Quick Ratio of 2.35 indicates that NUE has no problem at all paying its short term obligations.
NUE has a Quick ratio of 2.35. This is in the better half of the industry: NUE outperforms 62.82% of its industry peers.
Industry RankSector Rank
Current Ratio 3.57
Quick Ratio 2.35

2

3. Growth

3.1 Past

NUE shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -33.36%.
NUE shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 18.68% yearly.
The Revenue for NUE has decreased by -16.38% in the past year. This is quite bad
The Revenue has been growing slightly by 6.73% on average over the past years.
EPS 1Y (TTM)-33.36%
EPS 3Y76%
EPS 5Y18.68%
EPS Q2Q%-22.25%
Revenue 1Y (TTM)-16.38%
Revenue growth 3Y19.9%
Revenue growth 5Y6.73%
Sales Q2Q%-6.58%

3.2 Future

NUE is expected to show a decrease in Earnings Per Share. In the coming years, the EPS will decrease by -8.03% yearly.
The Revenue is expected to grow by 0.07% on average over the next years.
EPS Next Y-26.64%
EPS Next 2Y-14.03%
EPS Next 3Y-8.03%
EPS Next 5YN/A
Revenue Next Year-6.36%
Revenue Next 2Y-3.21%
Revenue Next 3Y0.07%
Revenue Next 5YN/A

3.3 Evolution

The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.

7

4. Valuation

4.1 Price/Earnings Ratio

The Price/Earnings ratio is 10.07, which indicates a very decent valuation of NUE.
Based on the Price/Earnings ratio, NUE is valued cheaper than 85.26% of the companies in the same industry.
When comparing the Price/Earnings ratio of NUE to the average of the S&P500 Index (28.24), we can say NUE is valued rather cheaply.
With a Price/Forward Earnings ratio of 12.88, NUE is valued correctly.
70.51% of the companies in the same industry are more expensive than NUE, based on the Price/Forward Earnings ratio.
NUE is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 19.93, which is the current average of the S&P500 Index.
Industry RankSector Rank
PE 10.07
Fwd PE 12.88

4.2 Price Multiples

NUE's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. NUE is cheaper than 86.54% of the companies in the same industry.
91.03% of the companies in the same industry are more expensive than NUE, based on the Price/Free Cash Flow ratio.
Industry RankSector Rank
P/FCF 8.39
EV/EBITDA 5.41

4.3 Compensation for Growth

The excellent profitability rating of NUE may justify a higher PE ratio.
NUE's earnings are expected to decrease with -8.03% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)0.54
EPS Next 2Y-14.03%
EPS Next 3Y-8.03%

5

5. Dividend

5.1 Amount

NUE has a Yearly Dividend Yield of 1.26%.
NUE's Dividend Yield is a higher than the industry average which is at 2.78.
Compared to an average S&P500 Dividend Yield of 2.36, NUE's dividend is way lower than the S&P500 average.
Industry RankSector Rank
Dividend Yield 1.26%

5.2 History

The dividend of NUE has a limited annual growth rate of 5.86%.
NUE has been paying a dividend for at least 10 years, so it has a reliable track record.
NUE has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)5.86%
Div Incr Years14
Div Non Decr Years14

5.3 Sustainability

11.42% of the earnings are spent on dividend by NUE. This is a low number and sustainable payout ratio.
DP11.42%
EPS Next 2Y-14.03%
EPS Next 3Y-8.03%

NUCOR CORP

NYSE:NUE (5/24/2024, 7:04:00 PM)

After market: 171.27 0 (0%)

171.27

-0.26 (-0.15%)

Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryMetals & Mining
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap41.06B
Analysts
Price Target
Dividend
Industry RankSector Rank
Dividend Yield 1.26%
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
Max EPS beat(4)
EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
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Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
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Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
Industry RankSector Rank
PE 10.07
Fwd PE 12.88
P/S
P/FCF
P/OCF
P/B
P/tB
EV/EBITDA
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)N/A
PEG (5Y)0.54
Profitability
Industry RankSector Rank
ROA 12.75%
ROE 21.52%
ROCE
ROIC
ROICexc
ROICexgc
OM 17.95%
PM (TTM) 12.98%
GM 22.51%
FCFM
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.98
Health
Industry RankSector Rank
Debt/Equity 0.32
Debt/FCF
Debt/EBITDA
Cap/Depr
Cap/Sales
Interest Coverage
Cash Conversion
Profit Quality
Current Ratio 3.57
Quick Ratio 2.35
Altman-Z
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)-33.36%
EPS 3Y76%
EPS 5Y
EPS Q2Q%
EPS Next Y-26.64%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)-16.38%
Revenue growth 3Y19.9%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y