US Steel slips on first-quarter guidance

US Steel's stock slips on 'weak' first-quarter guidance

Associated Press

NEW YORK (AP) -- Shares of US Steel Corp. fell on Tuesday after investors were under-whelmed by its first-quarter guidance.

Late Monday, the company reported a net loss of $122 million, or 84 cents per share, and said revenue fell 5 percent to $4.27 billion. Without special items it would have earned 27 cents per share, which was better than analysts had been expecting.

But Citi analyst Richard Yu wrote that US Steel's guidance for the first quarter "appears weak," as falling prices for tubular steel more than offset reduced operating costs and increased shipments.

However, prices and shipments for flat-rolled steel are both expected to rise, and maintenance and repair costs are expected to fall. The company also expects results from Europe to be comparable to the fourth quarter as prices and raw material costs both rise.

The results were released late Monday. US Steel executives plan a conference call at 4 p.m. Eastern time on Tuesday.

In afternoon trading, the Pittsburgh company's shares fell 56 cents to $24.90.

View Comments (0)