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United States Steel (X) Beats Stock Market Upswing: What Investors Need to Know

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In the latest market close, United States Steel (X - Free Report) reached $48.61, with a +0.54% movement compared to the previous day. This change outpaced the S&P 500's 0.14% gain on the day. At the same time, the Dow added 0.3%, and the tech-heavy Nasdaq gained 0.16%.

Shares of the steel maker have appreciated by 36.51% over the course of the past month, outperforming the Basic Materials sector's gain of 8.36% and the S&P 500's gain of 4.89%.

Analysts and investors alike will be keeping a close eye on the performance of United States Steel in its upcoming earnings disclosure. The company is predicted to post an EPS of $0.20, indicating a 77.01% decline compared to the equivalent quarter last year. Simultaneously, our latest consensus estimate expects the revenue to be $3.87 billion, showing a 10.69% drop compared to the year-ago quarter.

For the full year, the Zacks Consensus Estimates project earnings of $4.34 per share and a revenue of $17.83 billion, demonstrating changes of -56.38% and -15.37%, respectively, from the preceding year.

Investors should also note any recent changes to analyst estimates for United States Steel. These revisions help to show the ever-changing nature of near-term business trends. Consequently, upward revisions in estimates express analysts' positivity towards the company's business operations and its ability to generate profits.

Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.

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. Over the past month, there's been a 1.35% rise in the Zacks Consensus EPS estimate. Currently, United States Steel is carrying a Zacks Rank of #2 (Buy).

In terms of valuation, United States Steel is currently trading at a Forward P/E ratio of 11.13. Its industry sports an average Forward P/E of 9.95, so one might conclude that United States Steel is trading at a premium comparatively.

The Steel - Producers industry is part of the Basic Materials sector. At present, this industry carries a Zacks Industry Rank of 65, placing it within the top 26% of over 250 industries.

The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.


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