|Bid||0.00 x 800|
|Ask||0.00 x 800|
|Day's Range||36.46 - 37.79|
|52 Week Range||22.38 - 47.64|
|PE Ratio (TTM)||11.48|
|Earnings Date||Aug 1, 2018|
|Forward Dividend & Yield||0.20 (0.55%)|
|1y Target Est||46.77|
Wednesday was a relatively mellow day for U.S. stocks, as many equities consolidated their gains from the prior session. That allowed some high-quality setups to emerge, helping us pluck out a few top stock trades.Top Stock Trades for Tomorrow #1: JPMorgan (JPM)
U.S. Steel Corporation: Are the Bulls Extinct or Hibernating? In this part, we’ll see what could work in U.S. Steel Corporation’s favor in the coming months. While the Section 232 tariffs have lifted US steel prices, the escalating trade war has put pressure on metals and mining shares (CLF). The trade war would need to de-escalate before investors discover their lost love for US steel stocks.
U.S. Steel Corporation: Are the Bulls Extinct or Hibernating? U.S. Steel Corporation (X) and Cleveland-Cliffs (CLF) provide their earnings guidance during their quarterly earnings call. AK Steel (AKS) gives a broad quantitative guidance during its quarterly earnings call.
We’re into the second-quarter earnings season. Nucor (NUE) is scheduled to kick off the earnings season on July 19. AK Steel (AKS) is scheduled to release its second-quarter earnings on July 30. ArcelorMittal (MT) and U.S. Steel Corporation (X) are slated to release their earnings on August 1. In this part, we’ll see what analysts are projecting for U.S. Steel Corporation’s earnings in the coming quarters.
In this part of the series, we’ll look at Cleveland-Cliffs’ (CLF) valuation and compare it to those of its US steel peers. We’ll also look at its forward EV-to-EBITDA (enterprise value-to-EBITDA) and PE multiples.
As we noted previously, US steel stocks have been subdued this year despite the Section 232 tariffs. Analysts’ opinions are mixed about how the tariffs will ultimately benefit US steel companies in the long term. In this part, we’ll see what could be making Wall Street bearish on steel stocks (CLF).
U.S. Steel Corporation (X) has had a love-hate relationship with Wall Street analysts for quite some time. Michael Gambardella of J.P. Morgan has been leading the bullish camp, while Gordon Johnson of Vertical Research has been generally bearish on the stock.
Based on the July 16 closing prices, U.S. Steel Corporation has only risen 3.4% this year. On the other hand, AK Steel (AKS) is deep in the red. AK Steel has seen its market capitalization fall 19.8% this year.
Nucor (NUE), the leading US-based steel producer, is scheduled to release its second-quarter earnings on July 19. AK Steel (AKS) has scheduled its second-quarter earnings release for July 30, while U.S. Steel Corporation’s (X) earnings are scheduled for August 1. ArcelorMittal (MT), the world’s largest steel producer, is expected to release its second-quarter earnings on August 1.
It is too early to assess which industries will suffer the most because of the trade war, but it can be safely said that domestic steelmakers stand to gain the most.
Additionally, this was an improvement in sentiment as investors who seek to profit from falling equity prices reduced their short positions on July 3. Over the last month, growth of ETFs holding X is favorable, with net inflows of $4.73 billion. This is among the highest net inflows seen over the last one-year and the rate of additional inflows appears to be increasing.
United States Steel Corporation ( X) has been drifting sideways since the Trump administration threatened to impose steel tariffs in the first quarter, although the policy is intended to support the American steel industry. This holding pattern may continue through the summer months while optimists hope for a negotiated solution and pessimists prepare for the worst-case scenario.
WallStEquities.com reexplores the Steel and Iron sector, which covers the manufacture of steel into basic shapes and forms that then can be used to create products.Under evaluation this morning are the following four stocks: Steel Dynamics Inc. (NASDAQ: STLD), United States Steel Corp. (NYSE: X), Gerdau S.A. (NYSE: GGB), and Nucor Corp. (NYSE: NUE). On Tuesday, shares in Fort Wayne, Indiana headquartered Steel Dynamics Inc. recorded a trading volume of 1.49 million shares.
Among the analysts polled by Thomas Reuters on July 6, four analysts rate U.S. Steel Corporation (X) as a “strong buy,” six analysts rate as a “buy,” four analysts rate it as a “hold,” and one analyst rates it as a “sell.” The stock’s mean consensus target price of $46.85 represents a 32.6% upside over its closing prices on July 6. AK Steel (AKS) and Cleveland-Cliffs (CLF) are trading 23.0% and 15.1%, respectively, below their mean consensus target prices.
The second-quarter earnings season is quickly approaching. Nucor (NUE) is expected to release its quarterly earnings on July 19. Steel Dynamics’ (STLD) second-quarter earnings are scheduled to be released on July 23. AK Steel (AKS) has scheduled its second-quarter earnings for July 30, while U.S. Steel Corporation’s (X) earnings are slated for August 1. The company would hold its second-quarter earnings call on August 2. ArcelorMittal (MT), the world’s largest steel producer, is expected to release its second-quarter earnings on August 1.
The next-generation e-coat primer will help PPG Industries (PPG) to address the unique demand of domestic original equipment manufacturers in China.
If President Trump does what he said he will do, the trade war will only intensify. It's a prerequisite that we see who gains and who loses from the situation.
Steel prices are the major driver of steelmakers’ earnings and revenues. According to Platts, US (SPY) steel prices rose 17.5% on average in 2017 compared to 2016. According to SteelBenchmarker, US HRC prices were $982 per metric ton on June 11. Higher steel prices are expected to boost earnings for steel companies like U.S. Steel (X) and AK Steel (AKS).
As a result, investors who are interested in Cleveland-Cliffs (CLF) track US steel demand. In this part of our series, we’ll see how investors can track the demand for US steel by monitoring demand indicators. The housing sector seems to be feeling the pinch of President Donald Trump’s tariffs. President Trump imposed anti-subsidy duties on Canadian softwood lumber imports in April last year.
US steel production is the key variable that drives US steelmakers’ (SLX) (XME) revenues. AK Steel and ArcelorMittal are Cleveland-Cliffs’ (CLF) customers. Investors track production data to get a sense of the direction of overall volumes.
Cleveland-Cliffs’ (CLF) US iron ore segment contributes the most to its revenues and earnings. Cleveland-Cliffs’ customers, including AK Steel and ArcelorMittal, are impacted directly by steel imports into the United States. As a result, investors should track this data to get a sense of the future shipments outlook for Cliffs.
In this article, we’ll look at steel companies’ forward EV-to-EBITDA multiples. U.S. Steel Corporation (X) has the lowest 2018 EV-to-EBITDA multiple of 4.28x among the companies that we’re comparing in this article, and AK Steel (AKS) has the highest multiple of 6.14x.
Forecast-topping earnings performance, upbeat outlook and trade actions on imported steel have contributed to the run up in U.S. Steel's (X) shares.