US Steel gains after JPM upgrades to overweight
** Shares of U.S. Steel X.N rise 2.5% to $32 premarket
** J.P.Morgan upgrades stock to "overweight" from "neutral", raises PT on stock to $42 from $40
** Expects co's shares to retreat further in a knee-jerk reaction if/when co's deal with Nippon Steel breaks officially, which would present a "solid buying opportunity"
** Also likes co's easing capex requirements driving a likely free cash flow inflexion into 2025 and a major part of its core profit being driven by its Mini Mill segment
** JPM believes in more favourable risk/reward for North American steel equities in 2025 against an improved interest rate environment and stable post-election backdrop
** Brokerage also upgrades Nucor NUE.N to "overweight" from "neutral" and Steel Dynamics STLD.O to "neutral" from "underweight"
** Average rating of ten analysts on X is a "buy", median PT $42.50 - LSEG data
** X stock down over 35% YTD, till last close
Reporting by Purvi Agarwal in Bengaluru
Related Assets
Latest News
Disclaimer: The XM Group entities provide execution-only service and access to our Online Trading Facility, permitting a person to view and/or use the content available on or via the website, is not intended to change or expand on this, nor does it change or expand on this. Such access and use are always subject to: (i) Terms and Conditions; (ii) Risk Warnings; and (iii) Full Disclaimer. Such content is therefore provided as no more than general information. Particularly, please be aware that the contents of our Online Trading Facility are neither a solicitation, nor an offer to enter any transactions on the financial markets. Trading on any financial market involves a significant level of risk to your capital.
All material published on our Online Trading Facility is intended for educational/informational purposes only, and does not contain – nor should it be considered as containing – financial, investment tax or trading advice and recommendations; or a record of our trading prices; or an offer of, or solicitation for, a transaction in any financial instruments; or unsolicited financial promotions to you.
Any third-party content, as well as content prepared by XM, such as: opinions, news, research, analyses, prices and other information or links to third-party sites contained on this website are provided on an “as-is” basis, as general market commentary, and do not constitute investment advice. To the extent that any content is construed as investment research, you must note and accept that the content was not intended to and has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such, it would be considered as marketing communication under the relevant laws and regulations. Please ensure that you have read and understood our Notification on Non-Independent Investment. Research and Risk Warning concerning the foregoing information, which can be accessed here.
