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Why NYSE:NUE qualifies as a quality stock.

By Mill Chart

Last update: Aug 15, 2023

Quality investors are looking for the best of the best. Companies which are growing steadily and consistently, but are also in excellent financial condition. We will have a look here to see if NUCOR CORP (NYSE:NUE) is suited for quality investing. Investors should of couse do their own research, but we spotted NUCOR CORP showing up in our Caviar Cruise quality screen, so it may be worth spending some more time on it.

Looking into the quality metrics of NUCOR CORP

  • NUCOR CORP has achieved substantial revenue growth over the past 5 years, with a 15.44% increase. This signifies the company's ability to successfully capture market opportunities and generate sustained revenue growth.
  • NUCOR CORP exhibits a strong ROIC excluding cash and goodwill, indicating efficient capital utilization and profitable operations. The 35.55% reflects the company's ability to generate returns on invested capital and underscores its commitment to delivering value to shareholders.
  • NUCOR CORP maintains a healthy Debt/Free Cash Flow Ratio of 1.04, indicating a strong financial position and prudent debt management. This ratio suggests the company has sufficient free cash flow to cover its debt obligations and highlights its ability to generate cash from operations.
  • NUCOR CORP exhibits impressive Profit Quality (5-year) with a 100.0% ratio, reflecting its consistent ability to generate high-quality profits. This metric underscores the company's strong financial performance and commitment to delivering sustainable earnings.
  • The 5-year EBIT growth of NUCOR CORP has been remarkable, with 40.75% increase. This demonstrates the company's ability to improve its operational efficiency and indicates its competitiveness within the market.
  • With EBIT 5-year growth outpacing its Revenue 5-year growth, NUCOR CORP showcases its effective cost management and enhanced operational performance. This suggests the company's ability to generate higher earnings from its revenue streams.

How does the complete fundamental picture look for NYSE:NUE?

ChartMill assigns a Fundamental Rating to every stock. This score, ranging from 0 to 10, is updated daily and is determined by evaluating multiple fundamental indicators and properties.

Overall NUE gets a fundamental rating of 7 out of 10. We evaluated NUE against 151 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 is cheap, but on the other hand it scores bad on growth. This makes NUE very considerable for value investing!

For an up to date full fundamental analysis you can check the fundamental report of NUE

Our Caviar Cruise screen will find you more ideas suited for quality investing.

Disclaimer

This article should in no way be interpreted as advice in any way. The article is based on the observed metrics at the time of writing, but you should always make your own analysis and trade or invest at your own responsibility.

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