Don't overlook Nucor's (NUE) share buyback
Back in September, Nucor Corp. (NYSE:NUE), the second-largest U.S.-based steelmaker, said it plans to buy back as much as $1.66 billion of its shares after profit rose to a new record.
Chief Executive Officer Dan DiMicco wants to boost Nucor shares after the stock fell about 20 percent since June. Falling steel prices and speculation metals companies were less likely takeover candidates after credit markets tightened helped send the stock to its lowest level in more than a year on Aug. 16.
Take a look at the last 6 months, the chart speaks for itself:
Fellow Stockmasters - it's now November 19th and shares have once again plummeted - 12% in the last month to be exact.
The buyback of as many as 30 million shares represents about 10 percent of the stock outstanding, and as far as I can tell they have purchased about 1/3 of that in the last quarter. We believe this to be a great opportunity to buy in before they start snatching up the other 2/3 of their planned buyback.
The company's Q3 performance was less than stellar, reporting a 29% decrease in earnings for the quarter. In spite of that, top line growth remains robust as the company reported an 8% increase in net sales.
|PRICE TARGET SUMMARY ON NUE|
Co-Founder of theStockMasters.com
The StockMasters Master Picks Newsletter has a 15.29% Positive return since our inception in October 2006. The Average duration for our stock picks is 3.61 months, and we have the track record to prove it (click here to view Master Picks track record). Our price is only $45 for an entire 12 month subscription. Consider our newsletter as an affordable supplement to your stock research. We aren't trying to kill you with an outrageous annual fee and it will cost you less than a round of beers and shots for you and your crew. Make the right choices, be informed and have more money for flaming Dr. Peppers. Get our newsletter on sale at WallStNewsletters.com
Best of the Blogs
Scanning and identifying the best blog entries every hour
- Stocks 'Safer' Than Bonds? The Last Time This Happened Did Not End Well | ZeroHedge
- EURUSD Plunges To Post-Brexit Lows | ZeroHedge
- Acampora: With Rates at These Levels, Stocks May Have Years Left to Run | Financial Sense
- Q3 EPS Expectations Just Turned Negative: Six Consecutive Quarters Of Declining Earnings | ZeroHedge
- Beyond 28 Pages: The US - Saudi Relationship Starts To Fray | ZeroHedge
- Blue Lives Matter: Is Police Exceptionalism Leading America Toward Second Civil War? | ZeroHedge
- What investors need to know about USAs FOREX rules | ZeroHedge
The most relevant financial news and articles from the Internets
- Men are increasingly willing to pay up to $800 to get a haircut | Business Insider
- Here's the best look yet at Samsung's Galaxy Note 7 | Business Insider
- The augmented and virtual reality markets... | Business Insider
- The secret ingredient used to treat bicycle tires at the Tour de France? Vinegar | Business Insider
- 12 terms you should master to sound smarter about wine | Business Insider
- Virginia Town is Best Place in the U.S. to Raise Kids | BusinessWeek
- The fintech ecosystem explained | Business Insider