United States Steel Crushes Earnings Estimates
United States Steel (NYS: X) reported earnings April 24. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended March 31 (Q1), United States Steel beat expectations on revenues and crushed expectations on earnings per share.
Compared to the prior-year quarter, revenue improved and GAAP loss per share expanded.
Gross margins grew, operating margins grew, net margins dropped.
United States Steel reported revenue of $5.17 billion. The 13 analysts polled by S&P Capital IQ predicted net sales of $4.95 billion on the same basis. GAAP reported sales were 6.3% higher than the prior-year quarter's $4.86 billion.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
Non-GAAP EPS came in at $0.67. The 18 earnings estimates compiled by S&P Capital IQ averaged $0.46 per share on the same basis. GAAP EPS were -$1.52 for Q1 compared to -$0.60 per share for the prior-year quarter.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 10.6%, 560 basis points better than the prior-year quarter. Operating margin was 4.1%, 630 basis points better than the prior-year quarter. Net margin was -4.2%, 240 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $5.02 billion. On the bottom line, the average EPS estimate is $0.81.
Next year's average estimate for revenue is $19.65 billion. The average EPS estimate is $2.66.
The stock has a three-star rating (out of five) at Motley Fool CAPS, with 1,963 members out of 2,120 rating the stock outperform, and 157 members rating it underperform. Among 478 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 444 give United States Steel a green thumbs-up, and 34 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on United States Steel is hold, with an average price target of $35.69.
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At the time this article was published Seth Jayson had no position in any company mentioned here at the time of publication. You can view his stock holdings here. He is co-advisor ofMotley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.