Nucor Corporation (NUE) Dividends

NUE Price Forecast Based on Dividend Discount Model

The Dividend Discount Model (DDM) is a valuation model that attempts to determine a fair share price for a stock, based on the dividend it provides in comparison to several company-specific metrics indicative of the riskiness of the stock and the financial health of the company. In the case of NUE, the dividend discount model StockNews created for the company implies a negative return of 24.17%. To help understand and contextualize the model's evaluation of NUE, investors may wish to consider are:

• As for its position relative to other Basic Materials stocks that issue dividends, NUE provides shareholders with a dividend yield greater than 77.31% such stocks.
• If we compare the valuation opportunity a dividend discount model provides relative to other dividend stocks in the Basic Materials sector, the expected return of -24.17%, based on the stock's current share price and target price based on a dividend discount model, is greater than 68.91% of the DDM-forecasted return of its its sector peers.
• Out of all stocks in our universe of US-listed dividend-issuing stocks, NUE has a discount rate lower than 68.91% of them (a lower discount rate is associated with lower risk).
• Based on dividend growth rate, NUE boasts a higher growth rate in terms of its annual cash distributed to its owners than only 21.97% of the dividend issuers in our set.

NUE Dividends vs. Peers