What to Expect From United States Steel

Seth Jayson, The Motley Fool
Updated

United States Steel (NYS: X) is expected to report Q2 earnings around July 31. Here's what Wall Street wants to see:

The 10-second takeaway
Comparing the upcoming quarter to the prior-year quarter, average analyst estimates predict United States Steel's revenue will wither 2.5% and EPS will drop 57.1%.

The average estimate for revenue is $4.99 billion. On the bottom line, the average EPS estimate is $0.48.


Revenue details
Last quarter, United States Steel reported revenue of $5.17 billion. 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.

EPS details
Last quarter, non-GAAP EPS came in at $0.67. GAAP EPS were -$1.52 for Q1 against -$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.

Recent performance
For the preceding 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.

Looking ahead
The full year's average estimate for revenue is $19.57 billion. The average EPS estimate is $1.49.

Investor sentiment
The stock has a three-star rating (out of five) at Motley Fool CAPS, with 1,959 members out of 2,117 rating the stock outperform, and 158 members rating it underperform. Among 432 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 386 give United States Steel a green thumbs-up, and 46 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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The article What to Expect From United States Steel originally appeared on Fool.com.

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. The Motley Fool has no positions in the stocks mentioned above. 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.

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