Jim Cramer prefers Nucor over Gerdau for steel investments
- Jim Cramer expressed a lack of interest in Gerdau S.A. during a segment on CNBC.
- He recommended Nucor as the preferred choice for steel investments, highlighting its status as the largest steel producer in the U.S.
- Cramer's preference is likely influenced by Gerdau's recent financial decline, including a drop in sales and net income.
On CNBC's 'Mad Money Lightning Round,' Jim Cramer expressed his lack of enthusiasm for Gerdau S.A., a major player in the steel industry, stating that he prefers Nucor as a steel investment. Cramer highlighted Nucor as the largest steel producer in the U.S., contrasting it with Gerdau, which is recognized as the largest producer of long steel in the Americas. Gerdau's recent financial performance showed a decline, with second-quarter sales dropping from R$18.265 billion to R$16.616 billion compared to the previous year, and adjusted net income falling significantly from R$2.143 billion to R$945 million. This downturn in Gerdau's financials may have influenced Cramer's preference for Nucor, which he believes is a more favorable investment option. The discussion also touched on other companies, including Motorola Solutions and Domino's Pizza, with Cramer providing insights into their market positions and recent performance. Overall, Cramer's commentary reflects a strategic approach to steel investments, emphasizing Nucor's strengths over Gerdau's recent struggles.