We’ve recently updated our valuation analysis.

Nucor Valuation

Is NUE undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

1/6

Valuation Score 1/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • Analyst Forecast

Key Valuation Metric

Which metric is best to use when looking at relative valuation for NUE?

Other financial metrics that can be useful for relative valuation.

NUE key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue1.1x
Enterprise Value/EBITDA4.1x
PEG Ratio-0.1x

Price to Earnings Ratio vs Peers

How does NUE's PE Ratio compare to its peers?

The above table shows the PE ratio for NUE vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average4.5x
STLD Steel Dynamics
5.8x-45.5%US$22.5b
RS Reliance Steel & Aluminum
7.2x-39.7%US$13.8b
TX Ternium
2.9x-27.5%US$7.8b
X United States Steel
2.1x-79.4%US$7.0b
NUE Nucor
5.9x-52.1%US$44.7b

Price-To-Earnings vs Peers: NUE is expensive based on its Price-To-Earnings Ratio (5.9x) compared to the peer average (4.5x).


Price to Earnings Ratio vs Industry

How does NUE's PE Ratio compare vs other companies in the US Metals and Mining Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a-2.0%
n/an/an/a

Price-To-Earnings vs Industry: NUE is good value based on its Price-To-Earnings Ratio (5.9x) compared to the US Metals and Mining industry average (7.8x)


Price to Earnings Ratio vs Fair Ratio

What is NUE's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

NUE PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio5.9x
Fair PE Ratio4.4x

Price-To-Earnings vs Fair Ratio: NUE is expensive based on its Price-To-Earnings Ratio (5.9x) compared to the estimated Fair Price-To-Earnings Ratio (4.4x).


Share Price vs Fair Value

What is the Fair Price of NUE when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: NUE ($176.63) is trading above our estimate of fair value ($79.14)

Significantly Below Fair Value: NUE is trading above our estimate of fair value.


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst NUE forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$176.63
US$145.96
-17.4%
12.7%US$180.00US$112.00n/a12
Jan ’24US$131.81
US$137.06
+4.0%
14.0%US$180.00US$110.00n/a11
Dec ’23US$149.25
US$132.52
-11.2%
14.2%US$180.00US$109.00n/a11
Nov ’23US$134.50
US$129.43
-3.8%
15.0%US$180.00US$109.00n/a11
Oct ’23US$106.99
US$126.02
+17.8%
16.9%US$180.00US$97.00n/a11
Sep ’23US$130.40
US$128.23
-1.7%
17.5%US$180.00US$101.00n/a11
Aug ’23US$134.86
US$128.05
-5.1%
17.7%US$180.00US$101.00n/a11
Jul ’23US$105.64
US$133.68
+26.5%
16.1%US$180.00US$105.00n/a11
Jun ’23US$130.71
US$146.73
+12.3%
14.8%US$180.00US$108.00n/a11
May ’23US$154.78
US$149.82
-3.2%
16.5%US$180.00US$108.00n/a11
Apr ’23US$149.26
US$122.36
-18.0%
13.3%US$152.00US$100.00n/a11
Mar ’23US$131.00
US$114.00
-13.0%
13.3%US$142.00US$97.00n/a11
Feb ’23US$107.46
US$112.09
+4.3%
13.0%US$142.00US$97.00US$174.9811
Jan ’23US$114.15
US$115.09
+0.8%
11.4%US$142.00US$98.00US$131.8111
Dec ’22US$104.69
US$116.09
+10.9%
10.8%US$142.00US$100.00US$149.2511
Nov ’22US$109.22
US$115.80
+6.0%
11.2%US$142.00US$100.00US$134.5010
Oct ’22US$97.65
US$118.70
+21.6%
9.9%US$142.00US$104.00US$106.9910
Sep ’22US$116.26
US$116.70
+0.4%
10.5%US$142.00US$100.00US$130.4010
Aug ’22US$104.02
US$109.11
+4.9%
6.4%US$123.00US$100.00US$134.869
Jul ’22US$96.65
US$106.20
+9.9%
6.8%US$121.00US$95.00US$105.6410
Jun ’22US$110.74
US$93.67
-15.4%
17.3%US$117.00US$66.00US$130.719
May ’22US$82.26
US$77.67
-5.6%
8.1%US$86.00US$66.00US$154.789
Apr ’22US$79.88
US$67.75
-15.2%
17.3%US$86.00US$50.00US$149.268
Mar ’22US$61.52
US$57.50
-6.5%
9.2%US$63.00US$49.00US$131.008
Feb ’22US$49.02
US$55.00
+12.2%
10.6%US$62.00US$45.00US$107.469

Analyst Forecast: Target price is lower than the current share price.


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