| US Steel shares jump after 3Q outlook update | |
| | |
|
Shares of U.S. Steel soared Wednesday after the steelmaker said it expects third-quarter results to exceed expectations and that its Canadian subsidiary will explore a bankruptcy restructuring that ultimately allows it to compete more effectively.
The Pittsburgh company said it expects a big improvement in its third-quarter operating income from its reportable segments and other businesses. The company said its operations have performed well, and steel market conditions in the United States have remained stable. As a result, it expects results, adjusted for some one-time charges to be "significantly higher" than the current consensus. It didn't provide a specific forecast.
Analysts expect, on average, earnings of 97 cents per share, according to FactSet.
U.S. Steel said it will provide about $165 million in secured, debtor-in-possession financing to U.S. Steel Canada Inc., which will allow the business to continue operating as it explores the restructuring.
"We believe these actions will provide longer term stability for U.S. Steel's employees, suppliers and customers," CEO Mario Longhi said in a statement from the company.
The steelmaker also said it won't continue an expansion of its iron ore pellet operations in Keewatin, Minnesota, and it will forgo further construction of carbon alloy operations at its Gary, Indiana, location. Those moves will allow it to redirect funding to other projects.
Shares of U.S. Steel Corp. hit a new 52-week high of $46.55 after markets opened Wednesday. The stock then fell back a bit but was still up more than 8 percent, or $3.59, to $45 in midmorning trading while broader indexes were nearly flat. U.S. Steel shares had climbed 40 percent so far this year, as of Tuesday's market close.
|
|
|
United States Steel Corporation
|
|
|
CODE : X |
ISIN : US9129091081 |
|
| |
ProfileMarket IndicatorsVALUE : Projects & res.Press releasesAnnual reportRISK : Asset profileContact Cpy |
United States Steel is a iron and tin producing company based in United states of america. United States Steel is listed in United States of America. Its market capitalisation is US$ 6.7 billions as of today (€ 6.1 billions). Its stock quote reached its lowest recent point on March 28, 2003 at US$ 10.01, and its highest recent level on November 30, 2007 at US$ 98.85. United States Steel has 176 184 431 shares outstanding. |