Please ensure Javascript is enabled for purposes of website accessibility

Analysis: Nucor (NUE)

from AlphaProfit Sector Investors’ Newsletter Year 2015 can be a good one for Nucor (NUE) as many profit drivers are set to converge. Nucor should realize benefits from its recent $770 million Gallatin Steel acquisition and the Special Bar Quality expansion project. The steel maker also stands to profit from further...

from AlphaProfit Sector Investors’ Newsletter

Year 2015 can be a good one for Nucor (NUE) as many profit drivers are set to converge. Nucor should realize benefits from its recent $770 million Gallatin Steel acquisition and the Special Bar Quality expansion project. The steel maker also stands to profit from further rise in construction activity. The company is likely to direct over $1.5 billion in free cash flow it generates towards growth projects.

Nucor shares suit growth-at-reasonable-price investors. They trade at 80% of sales while EPS is forecasted to grow 60% in the next 12 months. (Next earnings: Late Jan. 2015)

Sam Subramanian, PhD, AlphaProfit Sector Investors’ Newsletter, www.alphaprofit.com, 281-565-6963, December 2014

Dr. Sam Subramanian is the Managing Principal and Chief Investment Officer of AlphaProfit Investments, LLC. He edits and publishes the AlphaProfit Sector Investors’ Newsletter and the AlphaProfit Fund Investors’ Guide. Prior to founding AlphaProfit Investments, Sam worked in positions of increasing responsibility in finance and corporate strategy for McKinsey & Company, Exxon Corporation and Unocal Corporation focusing on acquisitions and divestitures, asset valuation, trading, bankruptcies and risk management. Dr. Subramanian has authored numerous articles for leading financial publications including Forbes, MarketWatch, The Motley Fool and Financial Bridges. He developed the ValuM Investment Process™ for managing investments in 1985. He graduated with honors from the MBA program at the University of Michigan, and has a Doctorate in Chemical Engineering from Syracuse University. He also holds 16 U.S. patents for the pioneering research he conducted at Ford Motor Company.