Stuart HinshelwoodNucor Corp.NUEHOLDApr 19, 2013

It reports Monday. Two weeks ago, they pre-announced earnings which fell very short of expectations. But shares still jumped since then because of tariffs on steel and interest rate cuts. If shares fall Monday, buy.

Likes their balance sheet and expansion plans. Also, they are not as levered to cars as CLF.

Jumped today by 10% after Trump announced 50% tariffs on steel; this will let US steelmakers raise prices. NUE peaked at $180 in April 2024, then has slid below $120, but is now mounting a comeback, driven by tariffs. BMO upgraded it today. But he wonders if higher tariffs will help the US steelmakers immediately, and tariffs alone aren't a reason to buy the stock. Rather, he'd buy on weakness. Look what happened during the 2018 tariffs--NUE shares actually fell, though popped occasionally. He'd like to see signals that the overall economy is thriving and that there is demand for steel.

They report Monday. Been hammered by economic weakness, but also benefit from the tariffs. Watch what they have to say.

China, through trans-shipments, is dumping steel through Mexico to pressure steel prices, therefore hurting Nucor. If and when Trump stops this, then NUE shares will rocket.

Trump will likely slap tariffs on steel from China, making Nucor a buy.

Shares are plunging with copper prices.

The country's best steel company. They just reported, but issued worsening guidance, and shares sank.

It reports Monday. It grows by acquiring that could buy US Steel.

With so few steel companies, Nucor and Cleveland Cliffs enjoy scarcity value with enough business to keep pricing up, though Nucor has a much better balance sheet. It reports Monday.

Steel tariffs that the U.S. has placed on China are good for Cleveland Cliffs but great for Nucor. Also, Nucor benefit from being a low-costs producer.

The best steel company, but nobody will buy this if we enter a recession. This could go even lower, so wait for a lower price.

Has outlasted all its steel peers over time. Superior balance sheet and has raised its dividend for 50 years. Trades at only 5x trailing earnings. However, the street predicts EPS to fall by half between 2022's peak and this year, and even lower in 2024. His take: if we avoid recession, shares will soar. Also, Nucor will supply most of the steel needed during the coming wave of infrastructure spending, driven by the IRA act. A long-term investment.

Buy at $160-165. Shares have moved up too fast, but it's the best steel stock. Warning: can be volatile.