Why Nucor (NUE) Dipped More Than Broader Market Today
Nucor (NUE) closed the most recent trading day at $169.05, moving -1.02% from the previous trading session. This change lagged the S&P 500's daily loss of 0.56%. Elsewhere, the Dow saw a downswing of 0.25%, while the tech-heavy Nasdaq depreciated by 0.59%.
Shares of the steel company have depreciated by 3.97% over the course of the past month, outperforming the Basic Materials sector's loss of 4.65% and lagging the S&P 500's gain of 1.2%.
The upcoming earnings release of Nucor will be of great interest to investors. The company's earnings report is expected on January 29, 2024. The company is expected to report EPS of $2.81, down 42.54% from the prior-year quarter. Alongside, our most recent consensus estimate is anticipating revenue of $7.56 billion, indicating a 13.3% downward movement from the same quarter last year.
It's also important for investors to be aware of any recent modifications to analyst estimates for Nucor. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the past month, there's been a 0.32% fall in the Zacks Consensus EPS estimate. Nucor is currently sporting a Zacks Rank of #3 (Hold).
With respect to valuation, Nucor is currently being traded at a Forward P/E ratio of 13.6. This denotes a premium relative to the industry's average Forward P/E of 9.35.
The Steel - Producers industry is part of the Basic Materials sector. With its current Zacks Industry Rank of 74, this industry ranks in the top 30% of all industries, numbering over 250.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in 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 Report
