UNITED STATES STEEL CORP (X) Stock Fundamental Analysis
NYSE:X - New York Stock Exchange, Inc. - US9129091081 - Common Stock - Currency: USD
Taking everything into account, X scores 4 out of 10 in our fundamental rating. X was compared to 153 industry peers in the Metals & Mining industry. There are concerns on the financial health of X while its profitability can be described as average. X is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
X had positive earnings in the past year.
In the past year X had a positive cash flow from operations.
Of the past 5 years X 4 years were profitable.
Each year in the past 5 years X had a positive operating cash flow.
1.2 Ratios
X's Return On Assets of 1.90% is fine compared to the rest of the industry. X outperforms 66.67% of its industry peers.
X has a Return On Equity of 3.39%. This is in the better half of the industry: X outperforms 66.67% of its industry peers.
Looking at the Return On Invested Capital, with a value of 1.04%, X is in line with its industry, outperforming 46.41% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for X is in line with the industry average of 8.53%.
The 3 year average ROIC (7.54%) for X is well above the current ROIC(1.04%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.9% | ||
| ROE | 3.39% | ||
| ROIC | 1.04% |
ROA(3y)6.42%
ROA(5y)6.6%
ROE(3y)12.06%
ROE(5y)10.35%
ROIC(3y)7.54%
ROIC(5y)N/A
1.3 Margins
With a decent Profit Margin value of 2.41%, X is doing good in the industry, outperforming 67.32% of the companies in the same industry.
In the last couple of years the Profit Margin of X has declined.
X has a Operating Margin (1.27%) which is comparable to the rest of the industry.
In the last couple of years the Operating Margin of X has declined.
X's Gross Margin of 10.33% is in line compared to the rest of the industry. X outperforms 42.48% of its industry peers.
X's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 1.27% | ||
| PM (TTM) | 2.41% | ||
| GM | 10.33% |
OM growth 3Y-64.66%
OM growth 5YN/A
PM growth 3Y-50.78%
PM growth 5YN/A
GM growth 3Y-28.65%
GM growth 5Y7.55%
2. Health
2.1 Basic Checks
X has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
The number of shares outstanding for X has been increased compared to 1 year ago.
Compared to 5 years ago, X has more shares outstanding
X has about the same debt/assets ratio as last year.
2.2 Solvency
X has an Altman-Z score of 2.11. This is not the best score and indicates that X is in the grey zone with still only limited risk for bankruptcy at the moment.
X's Altman-Z score of 2.11 is in line compared to the rest of the industry. X outperforms 48.37% of its industry peers.
X has a Debt/Equity ratio of 0.35. This is a healthy value indicating a solid balance between debt and equity.
Looking at the Debt to Equity ratio, with a value of 0.35, X is doing worse than 65.36% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.35 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 2.11 |
ROIC/WACC0.12
WACC8.75%
2.3 Liquidity
X has a Current Ratio of 1.67. This is a normal value and indicates that X is financially healthy and should not expect problems in meeting its short term obligations.
X has a worse Current ratio (1.67) than 66.01% of its industry peers.
A Quick Ratio of 1.08 indicates that X should not have too much problems paying its short term obligations.
With a Quick ratio value of 1.08, X is not doing good in the industry: 64.05% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.67 | ||
| Quick Ratio | 1.08 |
3. Growth
3.1 Past
X shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -56.09%.
The Earnings Per Share has been growing by 97.25% on average over the past years. This is a very strong growth
The Revenue for X has decreased by -13.37% in the past year. This is quite bad
The Revenue has been growing slightly by 3.87% on average over the past years.
EPS 1Y (TTM)-56.09%
EPS 3Y-46.24%
EPS 5Y97.25%
EPS Q2Q%-119.4%
Revenue 1Y (TTM)-13.37%
Revenue growth 3Y-8.29%
Revenue growth 5Y3.87%
Sales Q2Q%-15.32%
3.2 Future
X is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 17.33% yearly.
Based on estimates for the next years, X will show a small growth in Revenue. The Revenue will grow by 2.74% on average per year.
EPS Next Y-4.83%
EPS Next 2Y22.68%
EPS Next 3Y17.33%
EPS Next 5YN/A
Revenue Next Year7.37%
Revenue Next 2Y5.24%
Revenue Next 3Y2.5%
Revenue Next 5Y2.74%
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 20.79, which indicates a rather expensive current valuation of X.
X's Price/Earnings ratio is a bit cheaper when compared to the industry. X is cheaper than 74.51% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 27.85, X is valued a bit cheaper.
X is valuated rather expensively with a Price/Forward Earnings ratio of 21.85.
Compared to the rest of the industry, the Price/Forward Earnings ratio of X is on the same level as its industry peers.
X is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 20.77, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.79 | ||
| Fwd PE | 21.85 |
4.2 Price Multiples
X's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. X is cheaper than 62.75% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 11.13 |
4.3 Compensation for Growth
X has a very decent profitability rating, which may justify a higher PE ratio.
X's earnings are expected to grow with 17.33% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)0.21
EPS Next 2Y22.68%
EPS Next 3Y17.33%
5. Dividend
5.1 Amount
X has a yearly dividend return of 0.46%, which is pretty low.
X's Dividend Yield is a higher than the industry average which is at 2.90.
Compared to an average S&P500 Dividend Yield of 2.45, X's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.46% |
5.2 History
X has been paying a dividend for at least 10 years, so it has a reliable track record.
The dividend of X decreased recently.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years1
5.3 Sustainability
DP0%
EPS Next 2Y22.68%
EPS Next 3Y17.33%
43.46
-0.25 (-0.57%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryMetals & Mining
Earnings (Last)
Earnings (Next)
Inst Owners96.69%
Inst Owner Change0.16%
Ins Owners1.43%
Ins Owner Change5.3%
Market Cap9.84B
Analysts76.67
Price Target42.1 (-3.13%)
Short Float %9.81%
Short Ratio3.35
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.46% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)11.74%
Min EPS beat(2)7.65%
Max EPS beat(2)15.83%
EPS beat(4)3
Avg EPS beat(4)38.03%
Min EPS beat(4)-11.66%
Max EPS beat(4)140.32%
EPS beat(8)7
Avg EPS beat(8)29.22%
EPS beat(12)8
Avg EPS beat(12)17.77%
EPS beat(16)12
Avg EPS beat(16)19.16%
Revenue beat(2)2
Avg Revenue beat(2)0.31%
Min Revenue beat(2)0.21%
Max Revenue beat(2)0.41%
Revenue beat(4)3
Avg Revenue beat(4)1.33%
Min Revenue beat(4)-3.3%
Max Revenue beat(4)8%
Revenue beat(8)5
Avg Revenue beat(8)1.45%
Revenue beat(12)8
Avg Revenue beat(12)1.69%
Revenue beat(16)10
Avg Revenue beat(16)1.42%
PT rev (1m)3.77%
PT rev (3m)-2.36%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-167%
EPS NY rev (1m)-7.25%
EPS NY rev (3m)-27.62%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-5.34%
Revenue NY rev (1m)2.79%
Revenue NY rev (3m)0.8%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.79 | ||
| Fwd PE | 21.85 | ||
| P/S | 0.6 | ||
| P/FCF | N/A | ||
| P/OCF | 8.95 | ||
| P/B | 0.85 | ||
| P/tB | 0.96 | ||
| EV/EBITDA | 11.13 |
EPS(TTM)2.09
EY4.81%
EPS(NY)1.99
Fwd EY4.58%
FCF(TTM)-5.83
FCFYN/A
OCF(TTM)4.86
OCFY11.18%
SpS71.88
BVpS51.14
TBVpS45.21
PEG (NY)N/A
PEG (5Y)0.21
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.9% | ||
| ROE | 3.39% | ||
| ROCE | 1.2% | ||
| ROIC | 1.04% | ||
| ROICexc | 1.16% | ||
| ROICexgc | 1.27% | ||
| OM | 1.27% | ||
| PM (TTM) | 2.41% | ||
| GM | 10.33% | ||
| FCFM | N/A |
ROA(3y)6.42%
ROA(5y)6.6%
ROE(3y)12.06%
ROE(5y)10.35%
ROIC(3y)7.54%
ROIC(5y)N/A
ROICexc(3y)9.58%
ROICexc(5y)N/A
ROICexgc(3y)10.79%
ROICexgc(5y)N/A
ROCE(3y)8.71%
ROCE(5y)N/A
ROICexcg growth 3Y-71.13%
ROICexcg growth 5YN/A
ROICexc growth 3Y-70.71%
ROICexc growth 5YN/A
OM growth 3Y-64.66%
OM growth 5YN/A
PM growth 3Y-50.78%
PM growth 5YN/A
GM growth 3Y-28.65%
GM growth 5Y7.55%
F-Score4
Asset Turnover0.79
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.35 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 3.66 | ||
| Cap/Depr | 267.89% | ||
| Cap/Sales | 14.86% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 99.1% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.67 | ||
| Quick Ratio | 1.08 | ||
| Altman-Z | 2.11 |
F-Score4
WACC8.75%
ROIC/WACC0.12
Cap/Depr(3y)251.79%
Cap/Depr(5y)195.44%
Cap/Sales(3y)12.43%
Cap/Sales(5y)9.8%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-56.09%
EPS 3Y-46.24%
EPS 5Y97.25%
EPS Q2Q%-119.4%
EPS Next Y-4.83%
EPS Next 2Y22.68%
EPS Next 3Y17.33%
EPS Next 5YN/A
Revenue 1Y (TTM)-13.37%
Revenue growth 3Y-8.29%
Revenue growth 5Y3.87%
Sales Q2Q%-15.32%
Revenue Next Year7.37%
Revenue Next 2Y5.24%
Revenue Next 3Y2.5%
Revenue Next 5Y2.74%
EBIT growth 1Y-81.16%
EBIT growth 3Y-67.59%
EBIT growth 5YN/A
EBIT Next Year339.5%
EBIT Next 3Y80.82%
EBIT Next 5Y44.96%
FCF growth 1Y-1168.27%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-55.39%
OCF growth 3Y-39.21%
OCF growth 5Y6.15%