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United States Steel (X) Dips More Than Broader Markets: What You Should Know

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In the latest trading session, United States Steel (X - Free Report) closed at $25.77, marking a -0.73% move from the previous day. This change lagged the S&P 500's daily loss of 0.6%. At the same time, the Dow lost 0.33%, and the tech-heavy Nasdaq lost 2.87%.

Heading into today, shares of the steel maker had gained 3.02% over the past month, lagging the Basic Materials sector's gain of 7.21% and the S&P 500's gain of 6.22% in that time.

United States Steel will be looking to display strength as it nears its next earnings release, which is expected to be April 27, 2023. On that day, United States Steel is projected to report earnings of $0.57 per share, which would represent a year-over-year decline of 81.31%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $4.16 billion, down 20.44% from the year-ago period.

Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $3.64 per share and revenue of $17.13 billion. These totals would mark changes of -63.42% and -18.69%, respectively, from last year.

Investors should also note any recent changes to analyst estimates for United States Steel. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. 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.

The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 18.24% higher within the past month. United States Steel is holding a Zacks Rank of #1 (Strong Buy) right now.

In terms of valuation, United States Steel is currently trading at a Forward P/E ratio of 7.13. For comparison, its industry has an average Forward P/E of 7.6, which means United States Steel is trading at a discount to the group.

The Steel - Producers industry is part of the Basic Materials sector. This group has a Zacks Industry Rank of 14, putting it in the top 6% 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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