Nucor Corp (NUE)
Return on total capital
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) | US$ in thousands | 6,130,720 | 9,991,450 | 9,069,070 | 887,593 | 1,840,400 |
| Long-term debt | US$ in thousands | — | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | 20,940,600 | 18,414,700 | 14,016,400 | 10,788,700 | 10,357,900 |
| Return on total capital | 29.28% | 54.26% | 64.70% | 8.23% | 17.77% |
December 31, 2023 calculation
Return on total capital = EBIT ÷ (Long-term debt + Total stockholders’ equity)
= $6,130,720K ÷ ($—K + $20,940,600K)
= 29.28%
Nucor Corp.'s return on total capital has shown fluctuations over the past five years. In 2023, the return on total capital was 22.47%, representing a decrease from the previous year's figure of 41.89% in 2022. However, it is still a strong performance compared to the returns in 2020 and 2019, which were 9.93% and 13.37% respectively. The highest return on total capital was recorded in 2021 at 47.82%, indicating a robust utilization of the company's capital resources that year. Overall, Nucor Corp. has demonstrated the ability to generate meaningful returns on its total capital investment, albeit with some variability in performance over the years.
Peer comparison
Dec 31, 2023