Is Nucor Stock a Buy Following a Vote of Confidence From Warren Buffett's Berkshire Hathaway?

I added Nucor (NYSE: NUE) to my portfolio in September 2015. Roughly a decade later, Warren Buffett's Berkshire Hathaway (NYSE: BRK.A)(NYSE: BRK.B) decided to buy the stock, too. I'd love to suggest that Buffett was just following my lead, but that's an obvious joke. However, I am fairly certain Buffett and his team bought the stock for the same basic reason that I did.Here's why you might want to buy this giant U.S. steelmaker, too.Nucor makes steel, as noted in the introduction. But that isn't the whole picture, because there are two general ways to produce steel. The old way is to use blast furnaces, which use iron ore and metallurgical coal, to produce primary steel. That's a very costly process that requires high utilization rates to be profitable. When times are tough in the cyclical steel business, blast furnaces usually bleed red ink. This is not the technology that Nucor uses.Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool