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United States Steel (X) Outpaces Stock Market Gains: What You Should Know

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In the latest trading session, United States Steel (X - Free Report) closed at $22.10, marking a +1.14% move from the previous day. This change outpaced the S&P 500's 0.74% gain on the day.

Prior to today's trading, shares of the steel maker had gained 0.05% over the past month. This has lagged the Basic Materials sector's gain of 4.68% and the S&P 500's gain of 1.34% in that time.

Investors will be hoping for strength from X as it approaches its next earnings release, which is expected to be October 28, 2021. In that report, analysts expect X to post earnings of $4.56 per share. This would mark year-over-year growth of 476.86%. Our most recent consensus estimate is calling for quarterly revenue of $5.61 billion, up 139.57% from the year-ago period.

Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $13.16 per share and revenue of $19.68 billion. These totals would mark changes of +381.8% and +102.07%, respectively, from last year.

Investors should also note any recent changes to analyst estimates for X. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection has moved 0.19% higher. X currently has a Zacks Rank of #2 (Buy).

Valuation is also important, so investors should note that X has a Forward P/E ratio of 1.66 right now. Its industry sports an average Forward P/E of 4.33, so we one might conclude that X is trading at a discount comparatively.

The Steel - Producers industry is part of the Basic Materials sector. This industry currently has a Zacks Industry Rank of 30, which puts it in the top 12% of all 250+ industries.

The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.

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