NUCOR CORP (NUE) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:NUE - US6703461052 - Common Stock
164.71 USD
+3.62 (+2.25%)
164.5 USD
-0.21 (-0.13%)
NUE gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 154 industry peers in the Metals & Mining industry. NUE has an excellent profitability rating, but there are some minor concerns on its financial health. NUE is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
NUE had positive earnings in the past year.
In the past year NUE had a positive cash flow from operations.
NUE had positive earnings in each of the past 5 years.
NUE had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 4.73%, NUE is in the better half of the industry, outperforming 72.73% of the companies in the same industry.
The Return On Equity of NUE (7.93%) is better than 68.83% of its industry peers.
NUE has a better Return On Invested Capital (6.50%) than 65.58% of its industry peers.
The Average Return On Invested Capital over the past 3 years for NUE is above the industry average of 13.20%.
The 3 year average ROIC (17.84%) for NUE is well above the current ROIC(6.50%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.73% | ||
| ROE | 7.93% | ||
| ROIC | 6.5% |
ROA(3y)14.01%
ROA(5y)14.38%
ROE(3y)24.2%
ROE(5y)25.55%
ROIC(3y)17.84%
ROIC(5y)19.27%
1.3 Margins
With a decent Profit Margin value of 5.16%, NUE is doing good in the industry, outperforming 68.83% of the companies in the same industry.
NUE's Profit Margin has improved in the last couple of years.
NUE has a Operating Margin of 7.90%. This is in the better half of the industry: NUE outperforms 62.34% of its industry peers.
In the last couple of years the Operating Margin of NUE has grown nicely.
NUE's Gross Margin of 11.43% is in line compared to the rest of the industry. NUE outperforms 42.21% of its industry peers.
In the last couple of years the Gross Margin of NUE has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.9% | ||
| PM (TTM) | 5.16% | ||
| GM | 11.43% |
OM growth 3Y-27.6%
OM growth 5Y2.16%
PM growth 3Y-29.36%
PM growth 5Y3.25%
GM growth 3Y-23.78%
GM growth 5Y2.32%
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.
NUE has less shares outstanding than it did 1 year ago.
The number of shares outstanding for NUE has been reduced compared to 5 years ago.
Compared to 1 year ago, NUE has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 4.25 indicates that NUE is not in any danger for bankruptcy at the moment.
NUE has a better Altman-Z score (4.25) than 60.39% of its industry peers.
NUE has a Debt/Equity ratio of 0.33. This is a healthy value indicating a solid balance between debt and equity.
Looking at the Debt to Equity ratio, with a value of 0.33, NUE is doing worse than 68.18% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.33 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 4.25 |
ROIC/WACC0.68
WACC9.59%
2.3 Liquidity
NUE has a Current Ratio of 2.77. This indicates that NUE is financially healthy and has no problem in meeting its short term obligations.
NUE has a Current ratio of 2.77. This is comparable to the rest of the industry: NUE outperforms 55.19% of its industry peers.
NUE has a Quick Ratio of 1.51. This is a normal value and indicates that NUE is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 1.51, NUE is in line with its industry, outperforming 48.05% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.77 | ||
| Quick Ratio | 1.51 |
3. Growth
3.1 Past
The earnings per share for NUE have decreased strongly by -32.62% in the last year.
Measured over the past years, NUE shows a quite strong growth in Earnings Per Share. The EPS has been growing by 15.91% on average per year.
The Revenue has been growing slightly by 1.66% in the past year.
Measured over the past years, NUE shows a small growth in Revenue. The Revenue has been growing by 6.35% on average per year.
EPS 1Y (TTM)-32.62%
EPS 3Y-27.81%
EPS 5Y15.91%
EPS Q2Q%76.51%
Revenue 1Y (TTM)1.66%
Revenue growth 3Y-5.56%
Revenue growth 5Y6.35%
Sales Q2Q%14.47%
3.2 Future
Based on estimates for the next years, NUE will show a small growth in Earnings Per Share. The EPS will grow by 4.45% on average per year.
NUE is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.83% yearly.
EPS Next Y-8.61%
EPS Next 2Y12.34%
EPS Next 3Y15.87%
EPS Next 5Y4.45%
Revenue Next Year7.35%
Revenue Next 2Y6.05%
Revenue Next 3Y5.72%
Revenue Next 5Y4.83%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 22.66, which indicates a rather expensive current valuation of NUE.
Based on the Price/Earnings ratio, NUE is valued a bit cheaper than the industry average as 77.27% of the companies are valued more expensively.
NUE's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 26.15.
A Price/Forward Earnings ratio of 14.75 indicates a correct valuation of NUE.
Based on the Price/Forward Earnings ratio, NUE is valued a bit cheaper than the industry average as 66.23% of the companies are valued more expensively.
NUE is valuated cheaply when we compare the Price/Forward Earnings ratio to 36.22, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.66 | ||
| Fwd PE | 14.75 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, NUE is valued a bit cheaper than 72.73% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 10.14 |
4.3 Compensation for Growth
NUE has an outstanding profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as NUE's earnings are expected to grow with 15.87% in the coming years.
PEG (NY)N/A
PEG (5Y)1.42
EPS Next 2Y12.34%
EPS Next 3Y15.87%
5. Dividend
5.1 Amount
NUE has a Yearly Dividend Yield of 1.38%. Purely for dividend investing, there may be better candidates out there.
NUE's Dividend Yield is a higher than the industry average which is at 2.60.
Compared to an average S&P500 Dividend Yield of 2.32, NUE's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.38% |
5.2 History
The dividend of NUE is nicely growing with an annual growth rate of 6.08%!
NUE has paid a dividend for at least 10 years, which is a reliable track record.
NUE has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)6.08%
Div Incr Years34
Div Non Decr Years34
5.3 Sustainability
31.17% of the earnings are spent on dividend by NUE. This is a low number and sustainable payout ratio.
The dividend of NUE is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP31.17%
EPS Next 2Y12.34%
EPS Next 3Y15.87%
164.71
+3.62 (+2.25%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryMetals & Mining
Earnings (Last)
Earnings (Next)
Inst Owners77.34%
Inst Owner Change-0.16%
Ins Owners0.45%
Ins Owner Change-0.23%
Market Cap37.70B
Revenue(TTM)31.88B
Net Income(TTM)1.65B
Analysts81
Price Target170.43 (3.47%)
Short Float %1.87%
Short Ratio2.74
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.38% |
Yearly Dividend2.18
Dividend Growth(5Y)6.08%
DP31.17%
Div Incr Years34
Div Non Decr Years34
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)8.94%
Min EPS beat(2)-1.2%
Max EPS beat(2)19.08%
EPS beat(4)3
Avg EPS beat(4)30.03%
Min EPS beat(4)-1.2%
Max EPS beat(4)84.88%
EPS beat(8)6
Avg EPS beat(8)16.91%
EPS beat(12)10
Avg EPS beat(12)14.75%
EPS beat(16)12
Avg EPS beat(16)11.55%
Revenue beat(2)1
Avg Revenue beat(2)0.77%
Min Revenue beat(2)-1.93%
Max Revenue beat(2)3.46%
Revenue beat(4)3
Avg Revenue beat(4)3.12%
Min Revenue beat(4)-1.93%
Max Revenue beat(4)7.36%
Revenue beat(8)5
Avg Revenue beat(8)1.82%
Revenue beat(12)7
Avg Revenue beat(12)1.28%
Revenue beat(16)9
Avg Revenue beat(16)1.03%
PT rev (1m)5.46%
PT rev (3m)8.76%
EPS NQ rev (1m)3.28%
EPS NQ rev (3m)-5.16%
EPS NY rev (1m)2.06%
EPS NY rev (3m)-5.24%
Revenue NQ rev (1m)-0.17%
Revenue NQ rev (3m)-0.81%
Revenue NY rev (1m)0.58%
Revenue NY rev (3m)-0.17%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.66 | ||
| Fwd PE | 14.75 | ||
| P/S | 1.18 | ||
| P/FCF | N/A | ||
| P/OCF | 11.9 | ||
| P/B | 1.81 | ||
| P/tB | 2.79 | ||
| EV/EBITDA | 10.14 |
EPS(TTM)7.27
EY4.41%
EPS(NY)11.17
Fwd EY6.78%
FCF(TTM)-1.45
FCFYN/A
OCF(TTM)13.84
OCFY8.41%
SpS139.31
BVpS90.75
TBVpS59.13
PEG (NY)N/A
PEG (5Y)1.42
Graham Number121.84
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.73% | ||
| ROE | 7.93% | ||
| ROCE | 8.25% | ||
| ROIC | 6.5% | ||
| ROICexc | 7.14% | ||
| ROICexgc | 9.64% | ||
| OM | 7.9% | ||
| PM (TTM) | 5.16% | ||
| GM | 11.43% | ||
| FCFM | N/A |
ROA(3y)14.01%
ROA(5y)14.38%
ROE(3y)24.2%
ROE(5y)25.55%
ROIC(3y)17.84%
ROIC(5y)19.27%
ROICexc(3y)21.93%
ROICexc(5y)23.06%
ROICexgc(3y)31.53%
ROICexgc(5y)31.51%
ROCE(3y)22.62%
ROCE(5y)24.46%
ROICexgc growth 3Y-36.34%
ROICexgc growth 5Y-0.84%
ROICexc growth 3Y-38.58%
ROICexc growth 5Y-3.14%
OM growth 3Y-27.6%
OM growth 5Y2.16%
PM growth 3Y-29.36%
PM growth 5Y3.25%
GM growth 3Y-23.78%
GM growth 5Y2.32%
F-Score6
Asset Turnover0.92
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.33 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 1.72 | ||
| Cap/Depr | 239.82% | ||
| Cap/Sales | 10.98% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 79.67% | ||
| Profit Quality | N/A | ||
| Current Ratio | 2.77 | ||
| Quick Ratio | 1.51 | ||
| Altman-Z | 4.25 |
F-Score6
WACC9.59%
ROIC/WACC0.68
Cap/Depr(3y)202.33%
Cap/Depr(5y)198.22%
Cap/Sales(3y)7.13%
Cap/Sales(5y)6.7%
Profit Quality(3y)85.27%
Profit Quality(5y)96.9%
High Growth Momentum
Growth
EPS 1Y (TTM)-32.62%
EPS 3Y-27.81%
EPS 5Y15.91%
EPS Q2Q%76.51%
EPS Next Y-8.61%
EPS Next 2Y12.34%
EPS Next 3Y15.87%
EPS Next 5Y4.45%
Revenue 1Y (TTM)1.66%
Revenue growth 3Y-5.56%
Revenue growth 5Y6.35%
Sales Q2Q%14.47%
Revenue Next Year7.35%
Revenue Next 2Y6.05%
Revenue Next 3Y5.72%
Revenue Next 5Y4.83%
EBIT growth 1Y-30.65%
EBIT growth 3Y-31.62%
EBIT growth 5Y8.65%
EBIT Next Year49.97%
EBIT Next 3Y25.02%
EBIT Next 5Y16.35%
FCF growth 1Y-105.41%
FCF growth 3Y-44.08%
FCF growth 5Y-9.56%
OCF growth 1Y-61.01%
OCF growth 3Y-13.89%
OCF growth 5Y7.21%
NUCOR CORP / NUE FAQ
What is the ChartMill fundamental rating of NUCOR CORP (NUE) stock?
ChartMill assigns a fundamental rating of 5 / 10 to NUE.
What is the valuation status for NUE stock?
ChartMill assigns a valuation rating of 4 / 10 to NUCOR CORP (NUE). This can be considered as Fairly Valued.
How profitable is NUCOR CORP (NUE) stock?
NUCOR CORP (NUE) has a profitability rating of 8 / 10.
Can you provide the PE and PB ratios for NUE stock?
The Price/Earnings (PE) ratio for NUCOR CORP (NUE) is 22.66 and the Price/Book (PB) ratio is 1.81.
What is the financial health of NUCOR CORP (NUE) stock?
The financial health rating of NUCOR CORP (NUE) is 5 / 10.