Nucor's Stock Drops After Profit Warning

Shares of Nucor Corp. dropped 2.9% in premarket trade, after the steelmaker provided a downbeat second-quarter profit outlook, as market conditions for hot-rolled sheet products have been more challenging than expected. The company expects earnings per share in the range of $1.00 to $1.05, below the FactSet EPS consensus of $1.22. "Nonresidential construction markets continue an overall positive trend, but conditions in the second quarter of 2017 have not been as robust as previously expected," the company said in a statement. The company said imports continue to hurt the U.S. steel industry, as finished steel imports through the first five months of the year have increased an estimated 14% from the same period a year ago, and now account for 26% of the U.S. market. Nucor's stock has eased 0.7% year to date through Wednesday, while the SPDR Materials Select Sector ETF has climbed 9.7% and the S&P 500 has gained 8.9%.