Latest news with #EAFs
Yahoo
3 days ago
- Business
- Yahoo
Nucor Corporation (NUE): A Bull Case Theory
We came across a bullish thesis on Nucor Corporation (NUE) on Business Model Mastery's Substack. In this article, we will summarize the bulls' thesis on NUE. Nucor Corporation (NUE)'s share was trading at $108.94 as of 29th May. NUE's trailing and forward P/E were 19.20 and 14.14 respectively according to Yahoo Finance. A steel rod, bent and contoured to the exact specifications of the company. Nucor stands out as a vertically integrated steel producer operating through three synergistic segments—steel mills, steel products, and raw materials—underpinned by its control of critical inputs, including 3.5 million metric tons of direct reduced iron (DRI) and 18 million tons of recycled scrap annually. This integration enables tight cost control and reliable supply chains. The company's strategic focus on high-value products like insulated panels, overhead doors, and custom racking systems has driven meaningful margin expansion, further bolstered by premium-branded offerings such as ECONIQ™ and AEOS™, which meet growing demand in low-carbon and seismic-resistant construction markets. Nucor's operational flexibility is a core strength, with nearly all production relying on electric arc furnaces (EAFs) that offer rapid scalability and deliver 60–70% lower carbon emissions compared to traditional blast furnaces. Its micro mill strategy and regional footprint enhance both cost efficiency and environmental performance. The company's unique decentralized culture, with just 200 employees at headquarters overseeing over 32,000 teammates, empowers plant-level decision-making and incentivizes performance, driving innovation and responsiveness. This structure supports its aggressive capex-driven growth strategy—$11.8 billion deployed over the past three years, with 63% allocated to capacity expansion and 37% to acquisitions. These investments target fast-growing sectors such as data centers, renewable energy, and automated warehousing, positioning Nucor for long-term structural advantage. The company's integrated model, flexible operations, and disciplined capital deployment collectively support a compelling narrative of margin growth, sustainable production leadership, and strategic evolution in key demand verticals. For a comprehensive analysis of another standout stock covered by the same author, we recommend reading our summary of their of Sanofi (SNY). Since our coverage, the stock is up 4.7%. Nucor Corporation (NUE) is not on our list of the 30 Most Popular Stocks Among Hedge Funds. As per our database, 51 hedge fund portfolios held NUE at the end of the first quarter which was 50 in the previous quarter. While we acknowledge the potential of NUE as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an extremely cheap AI stock that is also a major beneficiary of Trump tariffs and onshoring, see our free report on the best short-term AI stock. READ NEXT: 8 Best Wide Moat Stocks to Buy Now and 30 Most Important AI Stocks According to BlackRock. Disclosure: None. This article was originally published at Insider Monkey. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
eNCA
20-05-2025
- Business
- eNCA
India steel plans threaten global emissions goals: report
BANGKOK - India's plans to massively expand coal-based steel and iron production threaten global efforts to reduce the sector's carbon emissions, a key contributor to climate change, a report said on Tuesday. The sector accounts for 11 percent of global carbon dioxide emissions, and India aims to double production by 2030. Switching from coal-dependent blast furnaces to electric arc furnaces (EAFs), which produce significantly fewer emissions, could reduce that figure. EAF production is projected to make up 36 percent of the sector by 2030, but that falls short of the 37 percent the International Energy Agency (IEA) says is needed to stay on track for net-zero by 2050. "The only realistic way to meet that 37 percent goal is with a change of plans from India," said Astrid Grigsby-Schulte from the Global Energy Monitor (GEM) think tank. That seemingly marginal one-percent difference "represents tens of millions of tonnes of CO2 generation", Grigsby-Schulte told AFP. EAFs generally rely on melting scrap steel, a process that does not use coal. They produce significantly fewer emissions, even when they rely on electricity from coal-dependent grids. Meeting the 2030 target is "critical", she said, "not only because of emissions immediately avoided, but also because it means we are laying the necessary groundwork for broader decarbonisation by 2050." China currently dominates global steel production, but its sector is stagnant. Meanwhile, India, which targets carbon neutrality only by 2070, plans to massively expand domestic capacity. And the majority of India's announced steel development plans involve higher-emissions blast furnace production, in a country whose steel industry is already the world's most carbon intensive. However, there is a growing gap between India's steel capacity plans and actual developments on the ground, GEM said. Just 12 percent of its announced new capacity has come online since the country released its 2017 National Steel Policy. The comparable figure for China is 80 percent, GEM said. That suggests India's "ambitious growth plans are more talk than action thus far," the group added. And it "leaves a huge percentage of their development plans that could still shift to lower-emissions technologies," added Grigsby-Schulte. Demand for steel is continuing to grow, and the iron and steel industry is expected to be one of the last to continue using coal in the IEA's 2050 net-zero pathway. The organisation has warned that the sector needs to "accelerate significantly" to meet 2050 targets, including with innovative production methods that are currently in their infancy.
France 24
20-05-2025
- Business
- France 24
India steel plans threaten global emissions goals: report
The majority of India's announced steel development plans involve higher-emissions blast furnace production, in a country whose steel industry is already the world's most carbon intensive The sector accounts for 11 percent of global carbon dioxide emissions, and India aims to double production by 2030. Switching from coal-dependent blast furnaces to electric arc furnaces (EAFs), which produce significantly fewer emissions, could reduce that figure. EAF production is projected to make up 36 percent of the sector by 2030, but that falls short of the 37 percent the International Energy Agency (IEA) says is needed to stay on track for net-zero by 2050. "The only realistic way to meet that 37 percent goal is with a change of plans from India," said Astrid Grigsby-Schulte from the Global Energy Monitor (GEM) think tank. That seemingly marginal one-percent difference "represents tens of millions of tonnes of CO2 generation", Grigsby-Schulte told AFP. EAFs generally rely on melting scrap steel, a process that does not use coal. They produce significantly fewer emissions, even when they rely on electricity from coal-dependent grids. Meeting the 2030 target is "critical", she said, "not only because of emissions immediately avoided, but also because it means we are laying the necessary groundwork for broader decarbonisation by 2050." China currently dominates global steel production, but its sector is stagnant. Meanwhile India, which targets carbon neutrality only by 2070, plans to massively expand domestic capacity. Steel production techniques © John SAEKI / AFP And the majority of India's announced steel development plans involve higher-emissions blast furnace production, in a country whose steel industry is already the world's most carbon intensive. However, there is a growing gap between India's steel capacity plans and actual developments on the ground, GEM said. Just 12 percent of its announced new capacity has come online since the country released its 2017 National Steel Policy. The comparable figure for China is 80 percent, GEM said. That suggests India's "ambitious growth plans are more talk than action thus far," the group added. And it "leaves a huge percentage of their development plans that could still shift to lower-emissions technologies," added Grigsby-Schulte. Demand for steel is continuing to grow, and the iron and steel industry is expected to be one of the last to continue using coal in the IEA's 2050 net-zero pathway. The organisation has warned that the sector needs to "accelerate significantly" to meet 2050 targets, including with innovative production methods that are currently in their infancy. © 2025 AFP
Yahoo
20-05-2025
- Business
- Yahoo
India steel plans threaten global emissions goals: report
India's plans to massively expand coal-based steel and iron production threaten global efforts to reduce the sector's carbon emissions, a key contributor to climate change, a report said Tuesday. The sector accounts for 11 percent of global carbon dioxide emissions, and India aims to double production by 2030. Switching from coal-dependent blast furnaces to electric arc furnaces (EAFs), which produce significantly fewer emissions, could reduce that figure. EAF production is projected to make up 36 percent of the sector by 2030, but that falls short of the 37 percent the International Energy Agency (IEA) says is needed to stay on track for net-zero by 2050. "The only realistic way to meet that 37 percent goal is with a change of plans from India," said Astrid Grigsby-Schulte from the Global Energy Monitor (GEM) think tank. That seemingly marginal one-percent difference "represents tens of millions of tonnes of CO2 generation", Grigsby-Schulte told AFP. EAFs generally rely on melting scrap steel, a process that does not use coal. They produce significantly fewer emissions, even when they rely on electricity from coal-dependent grids. Meeting the 2030 target is "critical", she said, "not only because of emissions immediately avoided, but also because it means we are laying the necessary groundwork for broader decarbonisation by 2050." China currently dominates global steel production, but its sector is stagnant. Meanwhile India, which targets carbon neutrality only by 2070, plans to massively expand domestic capacity. And the majority of India's announced steel development plans involve higher-emissions blast furnace production, in a country whose steel industry is already the world's most carbon intensive. However, there is a growing gap between India's steel capacity plans and actual developments on the ground, GEM said. Just 12 percent of its announced new capacity has come online since the country released its 2017 National Steel Policy. The comparable figure for China is 80 percent, GEM said. That suggests India's "ambitious growth plans are more talk than action thus far," the group added. And it "leaves a huge percentage of their development plans that could still shift to lower-emissions technologies," added Grigsby-Schulte. Demand for steel is continuing to grow, and the iron and steel industry is expected to be one of the last to continue using coal in the IEA's 2050 net-zero pathway. The organisation has warned that the sector needs to "accelerate significantly" to meet 2050 targets, including with innovative production methods that are currently in their infancy. sah/dhw/tym
Int'l Business Times
20-05-2025
- Business
- Int'l Business Times
India Steel Plans Threaten Global Emissions Goals: Report
India's plans to massively expand coal-based steel and iron production threaten global efforts to reduce the sector's carbon emissions, a key contributor to climate change, a report said Tuesday. The sector accounts for 11 percent of global carbon dioxide emissions, and India aims to double production by 2030. Switching from coal-dependent blast furnaces to electric arc furnaces (EAFs), which produce significantly fewer emissions, could reduce that figure. EAF production is projected to make up 36 percent of the sector by 2030, but that falls short of the 37 percent the International Energy Agency (IEA) says is needed to stay on track for net-zero by 2050. "The only realistic way to meet that 37 percent goal is with a change of plans from India," said Astrid Grigsby-Schulte from the Global Energy Monitor (GEM) think tank. That seemingly marginal one-percent difference "represents tens of millions of tonnes of CO2 generation", Grigsby-Schulte told AFP. EAFs generally rely on melting scrap steel, a process that does not use coal. They produce significantly fewer emissions, even when they rely on electricity from coal-dependent grids. Meeting the 2030 target is "critical", she said, "not only because of emissions immediately avoided, but also because it means we are laying the necessary groundwork for broader decarbonisation by 2050." China currently dominates global steel production, but its sector is stagnant. Meanwhile India, which targets carbon neutrality only by 2070, plans to massively expand domestic capacity. And the majority of India's announced steel development plans involve higher-emissions blast furnace production, in a country whose steel industry is already the world's most carbon intensive. However, there is a growing gap between India's steel capacity plans and actual developments on the ground, GEM said. Just 12 percent of its announced new capacity has come online since the country released its 2017 National Steel Policy. The comparable figure for China is 80 percent, GEM said. That suggests India's "ambitious growth plans are more talk than action thus far," the group added. And it "leaves a huge percentage of their development plans that could still shift to lower-emissions technologies," added Grigsby-Schulte. Demand for steel is continuing to grow, and the iron and steel industry is expected to be one of the last to continue using coal in the IEA's 2050 net-zero pathway. The organisation has warned that the sector needs to "accelerate significantly" to meet 2050 targets, including with innovative production methods that are currently in their infancy. The majority of India's announced steel development plans involve higher-emissions blast furnace production, in a country whose steel industry is already the world's most carbon intensive AFP
