1 Steel Stock to Own as the U.S. Economy Rebuilds
We need steel to build bridges,wind farms and electric cars. With the $1.2 trillion Infrastructure Investment and Jobs Act of 2021 ramping up, alongside pent-up demand for durable goods such as autos as the economy recovers from COVID-19, Nucor (NYSE: NUE), the largest steel producer in the US, may stand the best chance to benefit from that need.
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To meet that challenge, Nucor has been adding additional steel mills and increasing its production capacity. It added two start-up rebar mills in 2020 and has announced plans to build a new $350 million plant in Indiana. As a leader in the US economy's clean energy buildout, Nucor is launching a line of net zero carbon steel products and General Motors will be the first to use the product early this year. When you look at how much Nucor's spending to maintain or upgrade its facilities – its capital expenditures – as a percentage of its overall assets, you can see how Nucor's considerably outpacing its main competitor, Cleveland Cliffs (NYSE: CLF).
Source Fool.com
