Earnings Guidance - Nucor Corporation (NUE) expects first-quarter 2025 earnings to be in the range of 45-55 cents per share, with adjusted earnings forecasted between 50 and 60 cents per share [1] - The company reported earnings of $1.22 per share in the prior quarter and $3.46 per share for the first quarter of 2024 [1] Non-Adjusted Earnings Factors - The non-adjusted earnings guidance includes one-time non-cash charges of approximately $16 million, or 5 cents per share, for the closure of two facilities in the steel products segment [2] - Higher corporate, administrative, and tax impacts are expected in the first quarter of 2025 compared to the prior quarter [2] Profitability Decline Reasons - The primary reason for the predicted decline in profitability is weaker selling prices, particularly in the steel products segment, which is projected to see lower earnings due to reduced average selling prices [3] - Profitability in the steel mills segment is expected to be in line with the fourth quarter of 2024, while earnings in the raw materials segment are predicted to decline due to lower margins at DRI facilities [3] Shareholder Returns - During the first quarter to date, Nucor repurchased approximately 2.3 million shares at an average price of $133.17 per share [4] - The company has returned about $428 million to shareholders through share repurchases and dividend payments so far in the quarter [4] Stock Performance - Shares of Nucor have lost 34.1% in a year, compared to the industry's decline of 19.3% [4]

Core Viewpoint - Nucor Corporation anticipates first quarter earnings for 2025 to be between $0.45 and $0.55 per diluted share, with adjusted earnings expected to range from $0.50 to $0.60 after accounting for one-time charges [1][2] Financial Guidance - The estimated one-time non-cash charges for the first quarter of 2025 are approximately $16 million, equating to $0.05 per diluted share, due to the closure of two facilities in the steel products segment [2] - Nucor reported net earnings of $1.22 per diluted share in Q4 2024 and $3.46 per diluted share in Q1 2024 [1] Segment Performance Expectations - Earnings in the steel mills segment for Q1 2025 are expected to align with Q4 2024 results [3] - A decrease in earnings is anticipated for the steel products segment in Q1 2025 compared to Q4 2024, primarily due to lower average selling prices [3] - The raw materials segment is also expected to see a decline in earnings in Q1 2025 compared to Q4 2024, attributed to lower margins at DRI facilities [3] - Higher corporate, administrative, and tax impacts are expected in Q1 2025 compared to Q4 2024 [3] Shareholder Returns - Nucor has repurchased approximately 2.3 million shares at an average price of $133.17, returning about $428 million to stockholders through share repurchases and dividends [4] Upcoming Earnings Release - Nucor plans to release its earnings after market close on April 28, 2025, followed by a conference call on April 29, 2025, at 10:00 a.m. Eastern Time [5] Company Overview - Nucor is a leading manufacturer of steel and steel products, operating in the U.S., Canada, and Mexico, producing a wide range of steel products and also engaging in metal brokerage [6]

Core Viewpoint - Nucor Corporation (NUE) is currently facing a bearish trend in its stock performance, trading below key moving averages and experiencing significant price declines due to challenges in the steel industry [1][4][12]. Stock Performance - NUE stock has declined by 32.9% over the past year, underperforming the Zacks Steel Producers industry's decline of 19.4% and the S&P 500's increase of 9.1% [4]. - The stock is approximately 36% below its 52-week high of $203, reached on April 9, 2024 [6]. Financial Health - Nucor ended 2024 with strong liquidity, holding around $4.1 billion in cash and short-term investments, and generated cash from operations of roughly $4 billion [10]. - The company returned about $2.7 billion to shareholders through dividends and share repurchases in 2024, totaling around $12 billion since 2020 [10]. - NUE offers a dividend yield of 1.7% with a payout ratio of 25%, indicating a sustainable dividend policy [11]. Strategic Growth Initiatives - Nucor is investing $6.5 billion in eight major growth projects through 2027, including significant expansions in sheet and rebar production [8]. - Recent acquisitions, such as Southwest Data Products and Rytec Corporation, are aimed at diversifying its product offerings and enhancing cross-selling opportunities [9]. Market Challenges - A significant decline in U.S. steel prices, dropping over 40% from $1,200 per short ton at the start of 2024, has negatively impacted Nucor's profitability [13]. - The slowdown in global automotive production and high interest rates have further curtailed steel demand in key markets, including construction [14]. Valuation and Earnings Outlook - Nucor is currently trading at a forward 12-month earnings multiple of 14.79X, which is about 35% higher than the peer group average of 10.97X [17]. - The Zacks Consensus Estimate for NUE's 2025 earnings has been revised upward, although the first quarter estimate has seen a downward revision [18]. Conclusion - Nucor's strategic initiatives to expand production capabilities and diversify through acquisitions are positive, but the company remains vulnerable to ongoing challenges in the steel industry [19].

Core Insights - The implementation of U.S. tariffs on steel and aluminum has created significant market volatility, particularly affecting major metal producers Nucor Corp and Alcoa Corp [1][2] Company Performance - Nucor Corp's stock is currently down 0.6% at $129.12, but it has seen a year-to-date increase of 10.6%, with its 50-day moving average providing support [2] - Alcoa Corp's stock is up 2.7% at $32.82, although it has struggled this year, down 13% year-to-date, and recently hit its lowest level since early September before today's increase [2]

Core Insights - Nu E Power Corp. has appointed Mr. Devon Sandford to its Board of Directors, effective immediately, bringing significant expertise in the solar and electrification industry [1][2] - Concurrently, Mr. Brock Stewart will step down from the Board, with the current Executive and Board expressing gratitude for his contributions [3] Company Overview - Nu E Power Corp. is focused on developing, constructing, and operating clean and renewable energy infrastructure across North America [4] - The company has partnered with Low Carbon Canada Solar Limited to facilitate non-dilutive investment aimed at developing up to 2GW of renewable energy projects in Canada by 2030 [4]

Company Overview - Nu E Power Corp. is focused on developing, constructing, and operating clean and renewable energy infrastructure across North America [14] - The company has a partnership with Low Carbon Canada Solar Limited to develop up to 2GW of renewable energy projects in Canada by 2030 [14] Acquisition Details - Nu E Power Corp. has made a binding Letter of Intent to acquire Blu Dot Systems Inc., with the term extended until March 31, 2025 [1][10] - The acquisition involves the issuance of 8,500,000 common shares at a deemed price of $0.54 per share to Blu Dot's existing shareholders [10][11] Industry Insights - Blu Dot operates in the electrical switchgear industry, which has an annual global market of $92.3 billion, growing at 6.7% per year and expected to reach $155.3 billion by 2031 [2] - The growth in this market is largely driven by expansion in data centers, renewable energy infrastructure, and electrification growth [2] Leadership Changes - Todd Michaels will join Blu Dot as President to lead its U.S. expansion efforts, bringing over 25 years of experience in the energy industry [4][5] - Michaels has a proven track record in product innovation, supply chain optimization, and business development, having previously served as Founder and CEO of Correlate and held leadership roles at SunEdison and NRG [6][7][8]

Financial Performance - Nucor reported consolidated net earnings of $2.03 billion, or $8.46 per diluted share, in 2024, a decrease from $4.53 billion, or $18.00 per diluted share, in 2023[218]. - Net earnings for 2024 were $2.03 billion, or $8.46 per diluted share, down from $4.53 billion, or $18.00 per diluted share in 2023, representing a 55.3% decrease[236]. - Total net sales to external customers decreased by 11% from $34.71 billion in 2023 to $30.73 billion in 2024, with an average sales price per ton decreasing by 10% from $1,377 to $1,241[221]. Sales and Market Demand - The steel products segment experienced a 21% decrease in net sales from $12.76 billion in 2023 to $10.09 billion in 2024, primarily due to a 12% decrease in average sales price per ton[224]. - Joist sales in the steel products segment fell by 23% from 510,000 tons in 2023 to 391,000 tons in 2024, reflecting a broader decline in construction-related demand[223]. - Total tons shipped to outside customers decreased by 2% from 25,205,000 tons in 2023 to 24,767,000 tons in 2024[221]. - Operating rates at Nucor's steel mills decreased slightly to 76% in 2024 from 78% in 2023, indicating a softening in steel market demand[201]. Cost and Margin Analysis - Gross margins decreased from $7.82 billion (23%) in 2023 to $4.10 billion (13%) in 2024, reflecting the impact of lower selling prices and increased raw material costs[226]. - Gross margins in the steel mills segment decreased significantly due to decreased metal margins, with average scrap costs per gross ton decreasing by 6% from $421 in 2023 to $394 in 2024[37]. - The steel mills segment's net sales decreased by 7% in 2024 compared to 2023, driven by a 7% decrease in average sales price per ton[222]. Investments and Capital Expenditures - Planned capital expenditures for 2025 are approximately $3.0 billion, with significant investments in ongoing projects including a sheet mill in West Virginia and two new manufacturing locations[262]. - Cash used in investing activities increased by $1.24 billion to $3.17 billion in 2024, primarily due to $758 million for acquisitions compared to $71 million in 2023, with $565 million allocated to the acquisition of Rytec[250]. - Pre-operating and start-up costs of new facilities increased to approximately $594 million in 2024 from approximately $400 million in 2023, primarily related to new mills in Kentucky, West Virginia, and Arizona[37]. Shareholder Returns - Nucor returned approximately $2.7 billion to stockholders in 2024 through dividends and share repurchases, maintaining a commitment to return a minimum of 40% of net earnings[246]. - Stock repurchases amounted to $2.22 billion in 2024, up from $1.55 billion in 2023, an increase of $663 million, while cash dividends to stockholders rose slightly to $522 million from $515 million[251]. - Nucor paid aggregate dividends of $2.16 per share in 2024, an increase from $2.04 per share in 2023, and declared a quarterly cash dividend of $0.55 per share for May 2025[257]. Liquidity and Financial Ratios - Cash and cash equivalents decreased to $3.56 billion in 2024 from $6.38 billion in 2023, reflecting a significant reduction in liquidity[242]. - The current ratio declined to 2.5 at year-end 2024 from 3.6 at year-end 2023, impacted by lower cash and cash equivalents and increased current portion of long-term debt[242]. - Total accounts receivable turnover was approximately every five weeks in 2024, consistent with 2023, while inventory turnover improved from approximately every 11 weeks in 2023 to every ten weeks in 2024[243]. Debt and Obligations - Nucor's funded debt to total capital ratio was 24.5% as of December 31, 2024, with a $1.75 billion undrawn revolving credit facility maturing on November 5, 2026[252]. - Total contractual obligations as of December 31, 2024, amounted to $17.25 billion, with long-term debt obligations of $6.73 billion[259]. - Nucor's long-term debt consists of 21% variable-rate instruments and 79% fixed-rate instruments as of December 31, 2024[283]. Risk Management - A hypothetical 10% change in natural gas prices could negatively affect pre-tax earnings by $11 million, while a 25% change could result in a $28 million impact[286]. - The company is exposed to foreign currency risk primarily through operations in Canada, Europe, and Mexico, with insignificant open foreign currency derivative contracts as of December 31, 2024[287]. - Nucor's DRI facilities in Trinidad and Louisiana provide flexibility in managing input costs, particularly when demand for prime scrap increases[284]. Other Financial Metrics - Equity in earnings of unconsolidated affiliates rose to $30 million in 2024 from $13 million in 2023, mainly due to decreased losses at NJSM[228]. - Losses and impairments of assets in 2024 totaled $137 million, including an $83 million impairment charge related to a long-term note receivable[229]. - Interest expense decreased to $228 million in 2024 from $246 million in 2023, while interest income decreased to $258 million from $276 million[230].

Core Viewpoint - Nucor's recent earnings report shows a decline in earnings and revenues year-over-year, but the company has outperformed the S&P 500 in the past month, raising questions about future performance leading up to the next earnings release [1][2]. Financial Performance - Nucor reported earnings of $1.22 per share for Q4 2024, down from $3.16 in the same quarter last year, but exceeded the Zacks Consensus Estimate of 64 cents [2]. - Net sales for Q4 2024 were approximately $7.1 billion, an 8.2% decrease year-over-year, yet surpassed the Zacks Consensus Estimate of around $6.6 billion [2]. - For the full year 2024, Nucor's net earnings were $2.03 billion or $8.46 per share, compared to $4.52 billion or $18 per share in 2023 [6]. Operating Metrics - Total sales tons to outside customers for steel mills in Q4 were 4,580,000 tons, a 4% increase year-over-year, exceeding estimates of 4,202,000 tons [3]. - The overall operating rate for steel mills was 74% in Q4 2024, consistent with Q4 2023 and slightly down from 75% in Q3 2024 [3]. Segment Performance - Earnings from the steel mills unit fell 71% year-over-year due to lower average selling prices and volumes [4]. - The steel products segment saw a 49.8% decline in earnings year-over-year, attributed to lower volumes and average selling prices [4]. - The raw materials segment reported earnings of $57 million, a significant improvement from a loss of $14 million a year ago [4]. Financial Position - At the end of Q4 2024, Nucor had cash and cash equivalents and short-term investments totaling $4.14 billion, with an undrawn $1.75 billion revolving credit facility set to expire in November 2026 [5]. Future Outlook - Nucor anticipates that earnings in the steel mills and steel products segments for Q1 2025 will be comparable to Q4 2024, while earnings in the raw materials segment are expected to decline [7]. - The company expects higher corporate, administrative, and tax impacts in Q1 2025 compared to Q4 2024, which may lead to lower net earnings overall [7]. Industry Comparison - Nucor is part of the Zacks Steel - Producers industry, where Steel Dynamics, a competitor, reported a revenue decline of 8.5% year-over-year in its latest quarter [11]. - Steel Dynamics is expected to post earnings of $1.64 per share for the current quarter, reflecting a 55.3% decrease from the previous year [12].

Core Insights - Nu E Power Corp. is advancing its operations with a focus on developing renewable energy projects, particularly the Hanna Solar Farm, which is a significant investment in clean energy infrastructure [1][4]. Project Overview - The Hanna solar project is designed to have a capacity of 300 MWac/360 MWdc and is located approximately 200 kilometers northeast of Calgary, Alberta [2]. - The project has undergone an initial wildlife assessment and is considered low risk to wildlife, currently in the interconnection process with the Alberta Electric System Operator [2]. - Anticipated to break ground in mid-to-late 2026, the project represents an investment of approximately $400 million and aims to create long-term jobs in Alberta [3]. Environmental Impact - Once operational, the Hanna solar project is expected to generate around 650,000 MWh of electricity annually and provide 280,000 tonnes of carbon offsets each year [3]. Company Background - Nu E Power Corp. is focused on developing, constructing, and operating clean and renewable energy infrastructure across North America, with a goal of developing up to 2 GW of renewable energy projects in Canada by 2030 [4]. - The company has partnered with Low Carbon Canada Solar Limited to facilitate non-dilutive investment [4].

Core Viewpoint - Investors should focus on the quality of businesses rather than short-term events like tariffs, as emotional reactions can lead to stock price fluctuations [1][12]. Group 1: Steel Industry Overview - The steel industry primarily utilizes two production methods: blast furnaces for primary steel and electric arc mini-mills for recycling scrap steel [3][5]. - Blast furnaces are profitable in high-demand environments but incur high operating costs when demand is low, leading to potential losses [4]. - Electric arc mini-mills, used by companies like Nucor and Steel Dynamics, are more flexible and environmentally friendly, allowing for consistent profitability even during low demand periods [5][6]. Group 2: Company Comparisons - Nucor and Steel Dynamics are highlighted as superior investments in the steel sector due to their use of advanced technology and diversified business models [6][8]. - Nucor has a long history of increasing dividends for over 50 years, establishing itself as a Dividend King, while Steel Dynamics has increased dividends for 14 years, demonstrating resilience during challenging market conditions [9][10]. - Steel Dynamics is diversifying further by building an aluminum mill, adding a layer of diversification not offered by Nucor [10]. Group 3: Investment Strategy - Long-term investors should prioritize quality companies like Nucor and Steel Dynamics over those that may experience short-term gains due to market excitement [7][11]. - The emotional reactions of the market can lead to dramatic stock movements, making it essential for investors to maintain a long-term perspective [12][13].