United States Steel (X) Increases Despite Market Slip: Here's What You Need to Know
United States Steel (X) closed the most recent trading day at $38.85, moving +1.54% from the previous trading session. The stock outpaced the S&P 500's daily loss of 0.65%. Meanwhile, the Dow lost 0.49%, and the Nasdaq, a tech-heavy index, lost 0.96%.
The steel maker's shares have seen a decrease of 16.43% over the last month, not keeping up with the Basic Materials sector's gain of 6.99% and the S&P 500's gain of 3.27%.
Investors will be eagerly watching for the performance of United States Steel in its upcoming earnings disclosure. The company is forecasted to report an EPS of $0.88, showcasing a 14.29% upward movement from the corresponding quarter of the prior year. At the same time, our most recent consensus estimate is projecting a revenue of $4.24 billion, reflecting a 5.11% fall from the equivalent quarter last year.
Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $3.45 per share and revenue of $16.45 billion. These totals would mark changes of -27.06% and -8.88%, respectively, from last year.
Investors should also take note of any recent adjustments to analyst estimates for United States Steel. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 13.76% higher. As of now, United States Steel holds a Zacks Rank of #3 (Hold).
Looking at valuation, United States Steel is presently trading at a Forward P/E ratio of 11.09. For comparison, its industry has an average Forward P/E of 10.31, which means United States Steel is trading at a premium to the group.
The Steel - Producers industry is part of the Basic Materials sector. This industry currently has a Zacks Industry Rank of 178, which puts it in the bottom 30% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.
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United States Steel Corporation (X) : Free Stock Analysis Report
