Nucor (NUE) Gets Higher Price Target from Morgan Stanley Amid Supply-Driven Steel Rally

With a 5-Year Average Dividend Growth Rate of 6.57%, Nucor Corporation (NYSE:NUE) is included among the Top 11 Dividend Kings to Buy for Safe Dividend Growth.

Nucor (NUE) Gets Higher Price Target from Morgan Stanley Amid Supply-Driven Steel Rally

On June 22, Morgan Stanley raised the firm’s price recommendation on Nucor Corporation (NYSE:NUE) to $258 from $227. It reiterated an Equal Weight rating on the shares. The firm increased its steel price forecasts to reflect the extended supply-driven rally. At the same time, Morgan Stanley believes the expected higher steel prices are already reflected in the stocks across the group. Analyst Carlos De Alba added that Commercial Metals is the firm’s only Overweight-rated steel stock in North America. The firm believes market concerns about new rebar supply are already overly reflected in the stock.

On June 18, Wells Fargo lowered its price goal on Nucor to $283 from $292. It maintained an Overweight rating on the shares. The firm noted that the company’s second-quarter EPS guidance of $4.50-$4.60 was above the consensus estimate of $4.21 but below Wells Fargo’s estimate of $4.91, even with a $130 million one-time refund. Wells Fargo said it believes intersegment eliminations affected the quarter.

Nucor Corporation (NYSE:NUE) is a manufacturer of steel and steel products, with operating facilities in the United States, Canada, and Mexico. The company also produces and sources ferrous and non-ferrous materials, mainly for use in its steel manufacturing business.

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