Next up is AK Steel Holding Corporation (NYSE:AKS), a producer of steel and steel products. During the last three months of 2017, AK Steel also registered a boost in popularity among the funds tracked by Insider Monkey. In their latest 13F filing, 28 funds reported a stake in the steel maker, up from 26 registered after the third quarter 13F filings. Ken Griffin’s Citadel Investment Group has massively increased its exposure to AK Steel Holding Corporation (NYSE:AKS), having reported ownership of approximately 6.94 million shares. Peter Muller’s PDT Partners initiated a fresh bet on AK Steel during the fourth quarter and accumulated 3.66 million shares according to regulatory filings. Looking at valuation measures, AK Steel Holding Corporation (NYSE:AKS) shares do seem to be overvalued at a Price to Earnings (P/E) multiple of 275. However, analysts expect a significant increase in the company’s profits and have projected a forward P/E ratio of 7.66.
One of the largest US steel producers, Nucor Corporation (NYSE:NUE) is also one of the most popular steel stocks among the funds followed by Insider Monkey. At the end of December 2017, 33 funds had Nucor in their equity portfolios up from 27 a quarter before. Ken Griffin’s Citadel Investment Group is leading the way again, having established a fresh position during the fourth quarter. According to its latest 13F filing, Citadel held roughly 1.73 million shares of Nucor. Jonathan Barrett and Paul Segal, the managers of Luminus Management, were also bullish on this stock and had quadrupled their stake to 1.65 million shares. Analysts are recommending Nucor Corporation (NYSE:NUE) mainly as a Buy and have placed a price target of $69.47 per share, which indicates an upside potential of roughly 3%. Although Nucor Corporation (NYSE:NUE) experienced a 14% drop as part of the recent correction, it has regained most of the ground lost and is not up 8% year-to-date. The company pays an annual dividend of $1.51 per share, which translates into a 2.2% yield, the highest among the stocks analyzed in this article.