Benzinga - by Zacks, Benzinga Contributor.
Nucor (NYSE: NUE) closed at $198.18 in the latest trading session, marking a -0.85% move from the prior day. This change was narrower than the S&P 500's 0.95% loss on the day. On the other hand, the Dow registered a loss of 1.09%, and the technology-centric Nasdaq decreased by 0.84%.
Shares of the steel company have appreciated by 9.29% over the course of the past month, outperforming the Basic Materials sector's gain of 4.98% and the S&P 500's gain of 1.78%.
The investment community will be closely monitoring the performance of Nucor in its forthcoming earnings report. The company is scheduled to release its earnings on April 22, 2024. The company's upcoming EPS is projected at $3.62, signifying a 18.65% drop compared to the same quarter of the previous year. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $8.04 billion, down 7.68% from the year-ago period.
Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $13 per share and revenue of $32.07 billion. These totals would mark changes of -27.78% and -7.63%, respectively, from last year.
Furthermore, it would be beneficial for investors to monitor any recent shifts in analyst projections for Nucor. Recent revisions tend to reflect the latest near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. 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, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, there's been a 4.45% fall in the Zacks Consensus EPS estimate. As of now, Nucor holds a Zacks Rank of #3 (Hold).
In terms of valuation, Nucor is presently being traded at a Forward P/E ratio of 15.38. This signifies a premium in comparison to the average Forward P/E of 10.91 for its industry.
The Steel - Producers industry is part of the Basic Materials sector. This industry currently has a Zacks Industry Rank of 93, which puts it in the top 37% of all 250+ industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
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