About the Stock (NYSE: NUE)
Nucor Corporation is a major American steel and steel products manufacturer, also recognized as the largest recycler in North America. Headquartered in North Carolina, Nucor is the largest steel producer in the United States and the 16th largest globally.
The company operates in three segments: steel mills, steel products, and raw materials.
Stock background:
Nucor Corporation’s stock has underperformed the broader market in recent months. However, the underperformance could be about to end or at least be reduced.
The stock hit a 52-week high on Wednesday after Q3 earnings released a month ago showed sales and net income rose year over year, showing resilience despite the cyclicality of the steel sector. It raised its capex guidance, noting it now supplies more than 95% of all steel products used in data centers.
Why NUE’s Underperformance May Be Ending
Earlier in the year, the stock hit a 52-week low due to the weakness in steel prices, global supply chain disruptions, and demand uncertainty. The sharp hike in tariffs on steel and aluminium imports was one of the major catalysts for a turnaround in the stock market.
Our proprietary TradersGPS system picked the bullish turnaround in the stock, which we captured in our 8 July 2025 article “Nucor Corp: Steel Tariff Hike Boosts Prospects.”
Recent stock upgrades reflect the optimistic outlook on the stock. And not just analysts, Berkshire Hathaway in August revealed new investments in Nucor and three other companies.
The price-to-book ratio around 1.7 is near historical lows, suggesting still-attractive valuations.
NUE (Weekly):
Technical Analysis on Nucor Corporation (NYSE: NUE)
Our proprietary system, TradersGPS (TGPS), turned Bullish on Nucor Corporation on the weekly charts back in May-June 2025.
As per our system, Blue candles indicate the stock’s trend is up. Red candles indicate the trend is down. Since the system turned Bullish earlier this year, the candle colour hasn’t changed despite the recent sideways move in the stock.
NUE (Weekly):
This week’s break above key resistance at the August high of 151 has initially opened the door toward the end-2024 high of 170, followed by the 2024 high of 203.
NUE (Weekly):
More importantly, the stock is now attempting to break above a slightly upward-sloping neckline from April. Although not perfect, a decisive break above (at least one close above on the weekly chart) will trigger a reverse head and shoulders pattern pointing to a potential rise toward the 2024 high of 203 in the coming months.
On the downside, Nucor shares need to hold above immediate support at the October low of 121. Any break below could truncate the uptrend.
FAQ
What’s the near-term upside if momentum holds?
The initial target is the end-of-2024 high near 170, followed by the 2024 high around 203.
What would invalidate the bullish setup?
A decisive break below the October low near 121 would threaten the uptrend.
What does the TradersGPS signal indicate?
TGPS has been Bullish on the weekly chart since May–June 2025; blue candles denote an uptrend.
How do tariffs and data centers matter for Nucor?
Tariff hikes supported domestic steel pricing, and Nucor supplies a very high share of the steel used in data centers, boosting demand visibility.
