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Nucor (NUE) Stock Sinks As Market Gains: What You Should Know

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In the latest trading session, Nucor (NUE - Free Report) closed at $95.68, marking a -0.19% move from the previous day. This change lagged the S&P 500's 0.51% gain on the day.

Coming into today, shares of the steel company had lost 7.26% in the past month. In that same time, the Basic Materials sector lost 4.88%, while the S&P 500 gained 1.75%.

Wall Street will be looking for positivity from NUE as it approaches its next earnings report date. The company is expected to report EPS of $4.71, up 1208.33% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $8.32 billion, up 92.32% from the prior-year quarter.

For the full year, our Zacks Consensus Estimates are projecting earnings of $14.86 per share and revenue of $31.22 billion, which would represent changes of +344.91% and +55.01%, respectively, from the prior year.

It is also important to note the recent changes to analyst estimates for NUE. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 27.66% higher. NUE is holding a Zacks Rank of #1 (Strong Buy) right now.

Valuation is also important, so investors should note that NUE has a Forward P/E ratio of 6.45 right now. This represents a no noticeable deviation compared to its industry's average Forward P/E of 6.45.

It is also worth noting that NUE currently has a PEG ratio of 0.54. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Steel - Producers industry currently had an average PEG ratio of 0.31 as of yesterday's close.

The Steel - Producers industry is part of the Basic Materials sector. This group has a Zacks Industry Rank of 20, putting it in the top 8% of all 250+ industries.

The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.


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