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Nucor Corporation

Daniel Becker, Damian Maurer, Ryan Dowrick, Abdul Idris, Nilima Thapa
Industry Overview: Steel and Iron
Nucor Corporation is an American producer of steel and related products. It uses electric
arc furnaces to melt scrap steel as opposed to blast furnaces to melt iron. Nucor is also
North America's largest recycler of any material.

Industry Competitors:

Company Name Market Share

Nucor Corporation 25%

U.S Steel Corporation 5%

Steel Dynamics INC. 11%

Arcelormittal 29%

Reliance Steel & Aluminum 7%

Others 23%
Gross Revenue Analysis
Industry: $16.08 Billion
Nucor Corporation: $2.03 Billion

Nucor Corporation is the largest steel producer in America


Has about 12% of the entire steel and iron industrys gross revenues
Is only surpassed by international firms
Core Competencies
Nucor is in the production of steel and steel products.

Nucor focuses their product production in the industries of heavy equipment,


automotive, energy, transportation, and construction.

Nucor is a secondary steel producer, meaning the company uses scrap


metal for the creation of their products, instead of mining steel from the start
as iron ore.
Stock Price Analysis
Nucor Corporations stock price started at $49.05 in 2014. Then it showed a dramatic decrease to $40.30
in 2015. However, after this market down Nucor Corporations stock price reached its peak over the three
years in 2016 with stock price of $59.52.
Revenue & Gross Profit Analysis
Nucor Corporation was able to make the highest profit in 2016. As illustrated with the light blue bars,
Nucor Corporation had the lowest revenue in 2016, over the past three years. However, they were able to
make the highest profit in the same year.
Comparative Analysis
Ethical Concerns
Involved with the Brazilian Supply chain
o Human Rights violations in the supply chain:
Child Labor
Slavery
Forced Labor
o Illegal Deforestation of forest
Purchase of pig iron from resources acquired from the forests.
Nucor took advantage of the terrible situation in Brazil for profit
o Change had to occur because Investors were not willing to take the risk with the
company
Recommendations
Encourage more steel production within the booming industries.
Highly depends on domestic markets
Expansion in US market through M&A
Expand their steel production more in foreign countries using most
advanced technology to lower operating cost
Entry in Asia and Europe markets through joint-venture
Strategy to maintain strong leadership to motivate workforce for
innovation
Invest more in R&D
Build a long term relationship with the customers by understanding
the products and their needs.
MISSION STATEMENT

TAKE CARE OF OUR CUSTOMERS


References
Yahoo Finance - Business Finance, Stock Market, Quotes, News. Retrieved April 24, 2017, from
https://finance.yahoo.com/

HEAVY EQUIPMENT. Retrieved April 24, 2017, from http://www.nucor.com/products/markets/

Names of Competitors. (2014, July). Retrieved April 24, 2017, from http://www.hoovers.com/company-
information/cs/competition.nucor_corporation.d50e14a0f0bc931d.html

Dguggen Follow. (2010, November 09). Nucor. Retrieved May 01, 2017, from
https://www.slideshare.net/dguggen/nucor

Kanzer, A. (2009). STRENGTHENING COMMUNITY BASED SOLUTIONS THROUGH SHAREHOLDER ACTION.


Fighting Slavery in Brazil: Strengthening Local Solutions. Retrieved May 01, 2017, from
https://www.domini.com/sites/default/files/_files/fighting_slavery_v1.pdf.

NUE Income Statement | Nucor Corporation Common Stock - Yahoo Finance. Retrieved May 01, 2017, from
https://finance.yahoo.com/quote/NUE/financials?p=NUE3

Iron & Steel Industry. Retrieved May 01, 2017, from http://csimarket.com/Industry/Industry_Data.php?ind=107
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