NucorNYSE: NUE

Nucor (NUE) shared its earnings report 30 days ago. What can we expect for the stock moving forward?

The market is reaching record highs, but some stocks, such as Nucor and UPS, are not performing as well.

Over the last eight years, Nucor has invested strategically around half of its market value.

Nucor Corporation, the biggest steel maker and scrap recycler in the US, is struggling with strong competition from Chinese steel exporters, which affects its market results. Even though the company reported better-than-expected adjusted earnings per share and revenue for the third quarter of 2024, it experienced major drops in net revenue, EBIT, and EBITDA because of low prices and fewer shipments. Although long-term operating margins are similar to those before 2021, recent quarters have shown a notable decrease in margins due to market challenges and less pricing power.

Nucor Corporation is experiencing challenges because of falling steel prices, which could lead to reduced production volumes as cheap, carbon-heavy steel imports affect local prices. Their financial results indicate a 50% drop in pretax earnings for steel mills and a 20% decrease for steel products, with lower expectations for the fourth quarter of 2024. To counter these market difficulties, management is focusing on diversifying and investing in growth through acquisitions and new projects to help stabilize cash flow.

Jim Cramer, the host of 'Mad Money,' takes a close look at Nucor's earnings.

Jim Cramer, the host of 'Mad Money,' takes a close look at Nucor's earnings.

Nucor Corporation (NYSE:NUE) will hold its Q3 2024 Earnings Conference Call on October 22, 2024, at 10:00 AM ET. The call will feature several company executives, including Jack Sullivan, Leon Topalian, and Steve Laxton, among others. Various analysts from different financial institutions will also participate in the call.

NUE's profits fell in the third quarter because of reduced average selling prices.