United States Steel Corp Rates High in Guru Strategy Model

United States Steel Corp (X) receives an 80% rating based on Kenneth Fisher's Price/Sales Investor model. This solid evaluation suggests potential stock price appreciation, driven by its strong fundamentals despite some weaknesses.

Date: 15-02-2025

AI Rating: 6

Overall Assessment of United States Steel Corp
The report indicates that United States Steel Corp, with ticker X, has been analyzed through Kenneth Fisher's Price/Sales Investor strategy, which emphasizes stocks with robust long-term profit growth, significant free cash flow, and consistent profit margins. An 80% rating on the stock suggests that it meets several of the strategy's critical requirements, which generally positions it positively in the market.

Evaluation of Key Metrics
1. **Price/Sales Ratio**: The stock passes this criterion, indicating a favorable valuation relative to its sales.
2. **Total Debt/Equity Ratio**: A pass here signifies that the company maintains a manageable level of debt compared to its equity, which is a positive sign for investors.
3. **Price/Research Ratio**: This also passes, suggesting that the stock is priced well in relation to research valuations.
4. **Long-Term EPS Growth Rate**: Here, the stock fails, highlighting a concern regarding its earnings per share growth over an extended period, which could be a red flag for investors looking for growth potential.
5. **Free Cash Per Share**: Another failure indicates that the company may not generate sufficient free cash flow per share, which could limit its ability to reinvest in growth or return capital to shareholders.
6. **Three-Year Average Net Profit Margin**: This passes, suggesting the company has maintained healthy profitability over the last three years.

In summary, while United States Steel Corp shows strength in key areas like price/sales and profit margins, the failures in EPS growth and free cash flow could temper expectations for future stock performance. Investors may view the strong evaluation as promising but will likely weigh the negatives in their decision-making process.

Stocks: X