Is Nucor Stock a Buy?
The U.S. government is debating an infrastructure spending bill, and domestic steelmakers are likely to benefit. Indeed, the big question isn't whether or not there should be a bill, but how big it will be. Steel is integral to infrastructure. With that backdrop, you might be wondering if you should consider buying Nucor (NYSE: NUE), the largest U.S. steelmaker. Here's some things to think about before you make the final call.
Nucor has a $30 billion market capitalization, which is more than twice the size of the next-largest domestic competitor. The company lays claim to being the largest and most diversified mill in North America, with 27 million tons of capacity across 25 mills. It has the No. 1 or No. 2 position in 11 industry segments. Notably, around 20% of its volume comes from its steel products groups, which take internally generated steel and create higher value products to sell, increasing the company's margin along the way.
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Source Fool.com
