United States Steel Corporation (NYSE:X) was downgraded by investment analysts at Cowen and Company from a “market perform” rating to an “underperform” rating in a report released on Friday, Marketbeat reports. They presently have a $20.00 price target on the basic materials company’s stock, down from their previous price target of $24.00. Cowen and Company’s price objective indicates a potential downside of 22.45% from the company’s previous close.

The analysts wrote, “material exposure” to spot flat-rolled prices should have investors concerned as nearly 60 percent of the U.S. flat-rolled segment is exposed to any move in the spot market.Moreover, U.S. Steel’s vertically integrated iron ore supply structure adds another headwind to the story, the analyst continued. The company should be seen as an “undercover iron ore play” because when iron ore prices rise, steel prices normally follows the lead and the company benefits from the fixed price of its internally sourced iron ore.”This enables margins to expand more rapidly than a steel mill that is having to buy iron orein the open market,” the analyst explained. “The issue is that when iron ore prices are falling, the company does not benefit from the reduction in input costs that a mill which is short iron ore would be able to achieve.Bottom line, a decline in HRC prices would prove to be “detrimental” for U.S. Steel’s overall earnings power due to its “significant”

Other research analysts have also issued reports about the company. Standpoint Research upgraded United States Steel Corporation from a “hold” rating to a “buy” rating and set a $28.00 price objective for the company in a research report on Wednesday, June 7th. They noted that the move was a valuation call. Longbow Research upgraded United States Steel Corporation from a “neutral” rating to a “buy” rating in a research report on Monday, June 19th. Jefferies Group LLC reiterated a “buy” rating on shares of United States Steel Corporation in a research report on Friday, June 30th. Deutsche Bank AG upgraded United States Steel Corporation from a “hold” rating to a “buy” rating and set a $30.00 price objective for the company in a research report on Friday, June 23rd. Finally, Argus increased their price objective on United States Steel Corporation to $1.48 and gave the stock a “buy” rating in a research report on Friday, July 28th. Five equities research analysts have rated the stock with a sell rating, seven have given a hold rating and ten have assigned a buy rating to the company’s stock. The company presently has an average rating of “Hold” and a consensus price target of $28.29.

United States Steel Corporation (NYSE:X) traded down 2.8856% on Friday, hitting $23.9484. The stock had a trading volume of 13,738,281 shares. The company has a 50 day moving average price of $25.03 and a 200-day moving average price of $25.65. United States Steel Corporation has a 52-week low of $16.17 and a 52-week high of $41.83. The company has a market cap of $4.19 billion, a price-to-earnings ratio of 151.5721 and a beta of 2.88.

United States Steel Corporation (NYSE:X) last issued its quarterly earnings data on Tuesday, July 25th. The basic materials company reported $1.07 earnings per share for the quarter, topping the consensus estimate of $0.41 by $0.66. The company had revenue of $3.14 billion during the quarter, compared to analyst estimates of $2.98 billion. United States Steel Corporation had a return on equity of 6.50% and a net margin of 0.24%. The firm’s revenue for the quarter was up 21.7% compared to the same quarter last year. During the same period in the prior year, the business posted ($0.32) earnings per share. On average, equities research analysts predict that United States Steel Corporation will post $1.76 earnings per share for the current year.

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In other United States Steel Corporation news, Director Eugene Sperling purchased 1,000 shares of the business’s stock in a transaction on Friday, September 15th. The shares were bought at an average cost of $25.16 per share, for a total transaction of $25,160.00. Following the completion of the purchase, the director now directly owns 3,009 shares in the company, valued at $75,706.44. The acquisition was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, Director Murry Gerber purchased 4,000 shares of the business’s stock in a transaction on Friday, September 1st. The stock was acquired at an average price of $26.89 per share, for a total transaction of $107,560.00. Following the completion of the purchase, the director now owns 168,457 shares of the company’s stock, valued at $4,529,808.73. The disclosure for this purchase can be found here. Over the last 90 days, insiders acquired 64,597 shares of company stock worth $1,764,452. 1.00% of the stock is owned by insiders.

A number of institutional investors have recently bought and sold shares of X. Ardsley Advisory Partners acquired a new stake in shares of United States Steel Corporation during the second quarter worth about $4,426,000. WFG Advisors LP increased its position in shares of United States Steel Corporation by 84.3% during the second quarter. WFG Advisors LP now owns 20,400 shares of the basic materials company’s stock worth $452,000 after purchasing an additional 9,333 shares in the last quarter. Toronto Dominion Bank acquired a new stake in shares of United States Steel Corporation during the second quarter worth about $294,000. Advisory Services Network LLC increased its position in shares of United States Steel Corporation by 21.5% during the second quarter. Advisory Services Network LLC now owns 22,050 shares of the basic materials company’s stock worth $488,000 after purchasing an additional 3,900 shares in the last quarter. Finally, Dynamic Technology Lab Private Ltd increased its position in shares of United States Steel Corporation by 135.5% during the second quarter. Dynamic Technology Lab Private Ltd now owns 14,600 shares of the basic materials company’s stock worth $323,000 after purchasing an additional 8,400 shares in the last quarter. Institutional investors own 63.36% of the company’s stock.

United States Steel Corporation Company Profile

United States Steel Corporation is an integrated steel producer. The Company is engaged in producing flat-rolled and tubular products with production operations in North America and Europe. The Company operates through three segments: Flat-Rolled Products (Flat-Rolled), U. S. Steel Europe (USSE) and Tubular Products (Tubular).

Analyst Recommendations for United States Steel Corporation (NYSE:X)

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