Wells Fargo Starts Nucor (NUE) at Outperform; Macro Tough, But Dividend Allows For Patience

Wells Fargo initiates coverage on Nucor (NYSE: NUE) with an Outperform. PT range $40-$45.00.

Wells analyst says, "Given challenging fundamentals (excess supply, inflated inputs, sluggish macro), we prefer a more-defensive stance on the group and favor Nucor due to its balance sheet, high dividend yield, lean cost structure, and product diversification. Longer term, we also view Nucor as a patient play on a construction recovery. Our valuation range on shares is $40-45, based on a 10-12x multiple on 2012E EPS."

For more ratings news on Nucor click here and for the rating history of Nucor click here.

Shares of Nucor closed at $34.57 yesterday.

---

Serious News for Serious Traders! Try StreetInsider.com Premium Free!

---

You May Also Be Interested In

• Wells Fargo Starts Huntington Bancshares (HBAN) at Overweight
• Jefferies Assumes Honeywell International (HON) at Hold
• Compass Point Starts Gorilla Tech Group/ (GRRR) at Buy