Why Has Nucor (NUE) Increased by 0.9% Following Its Most Recent Earnings Announcement?

Nucor's Recent Performance Overview

Over the past month, Nucor (NUE) shares have risen by approximately 0.9%, surpassing the S&P 500's performance during the same period.

As the next earnings report approaches, investors are wondering whether this upward momentum will persist or if a correction is imminent. To better understand the company's outlook, let's review the latest quarterly results and key factors influencing its performance.

Fourth Quarter Results: Earnings and Revenue

For the fourth quarter of 2025, Nucor posted earnings of $1.64 per share, an increase from $1.22 per share in the previous year. Adjusted for special items, earnings came in at $1.73 per share, which fell short of the Zacks Consensus Estimate of $1.82.

Net sales reached about $7.69 billion, marking an 8.6% year-over-year rise and exceeding the consensus estimate of $7.68 billion.

Operational Metrics

Steel mills shipped 4,602,000 tons to external customers during the quarter, a slight 0.5% increase compared to last year but an 8% decrease from the preceding quarter. This figure was below the expected 4,927,000 tons.

Operating rates at Nucor's steel mills averaged 82% for the quarter, down from 85% in the previous quarter but up from 74% in the same period last year.

Segment Performance

• Steel Mills: Generated $516 million in earnings, a decline from the third quarter due to reduced volumes and tighter margins, particularly in sheet products.
• Steel Products: Reported earnings of $230 million, lower than the prior quarter, reflecting decreased volumes and higher average costs per ton.
• Raw Materials: Delivered $24 million in earnings, down from the previous quarter, impacted by planned maintenance at direct reduced iron facilities.

Financial Highlights

At quarter-end, Nucor held approximately $2.26 billion in cash and equivalents, representing a 36.5% decrease year-over-year. Long-term debt increased by 21.6% to roughly $6.9 billion.

During the quarter, the company repurchased around 0.7 million shares of its common stock.

Future Outlook

Nucor expects earnings to improve across all segments in the first quarter of 2026 compared to the fourth quarter, with the Steel Mills segment anticipated to see the most significant growth due to higher volumes and increased realized prices. The Steel Products segment is projected to benefit from greater volumes, while the Raw Materials segment is also expected to see earnings rise.

Estimate Trends

Over the past month, analyst estimates for Nucor have remained steady, showing little change.

VGM Scores

Nucor currently holds a Growth Score of C, while its Momentum Score stands at B. The stock also received a B for value, placing it in the second quintile for this investment approach.

Overall, Nucor's VGM Score is B, making it a solid choice for investors who prefer a balanced strategy rather than focusing on a single metric.

Stock Rating and Expectations

Nucor is assigned a Zacks Rank #3 (Hold), suggesting that the stock is likely to deliver performance in line with the broader market over the coming months.