Nucor (NUE) ended the recent trading session at $129.54, demonstrating a -1.44% change from the preceding day's closing price. This change lagged the S&P 500's 0.52% gain on the day. On the other hand, the Dow registered a gain of 0.63%, and the technology-centric Nasdaq increased by 0.48%.
Heading into today, shares of the steel company had gained 20.18% over the past month, outpacing the Basic Materials sector's gain of 2.15% and the S&P 500's gain of 4.27%.
The upcoming earnings release of Nucor will be of great interest to investors. The company is predicted to post an EPS of $2.54, indicating a 5.22% decline compared to the equivalent quarter last year. Meanwhile, the latest consensus estimate predicts the revenue to be $8.39 billion, indicating a 3.84% increase compared to the same quarter of the previous year.
For the full year, the Zacks Consensus Estimates are projecting earnings of $8.12 per share and revenue of $31.73 billion, which would represent changes of -8.76% and +3.26%, respectively, from the prior year.
Investors should also pay attention to any latest changes in analyst estimates for Nucor. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the business health and profitability.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.
The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Within the past 30 days, our consensus EPS projection has moved 3.01% higher. Currently, Nucor is carrying a Zacks Rank of #3 (Hold).
Investors should also note Nucor's current valuation metrics, including its Forward P/E ratio of 16.18. This indicates a premium in contrast to its industry's Forward P/E of 10.88.
We can additionally observe that NUE currently boasts a PEG ratio of 0.85. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. As of the close of trade yesterday, the Steel - Producers industry held an average PEG ratio of 0.92.
The Steel - Producers industry is part of the Basic Materials sector. This industry currently has a Zacks Industry Rank of 88, which puts it in the top 36% of all 250+ industries.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.
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Nucor Corporation (NUE): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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