3Q16 earnings miss
U.S. Steel Corporation (X) released its 3Q16 financial results on November 1 after the market closed, and it held its earnings conference call on November 2. The company reported an adjusted net income of $37 million, which translates into adjusted EPS (earnings per share) of $0.40.
U.S. Steel’s 3Q16 performance improved considerably from previous quarters. The company posted adjusted EPS of -$0.32 in 2Q16 and -$0.70 in 3Q15. Notably, 3Q16 marks the first time since 4Q14 when U.S. Steel generated a net profit. The company had posted a net loss for six consecutive quarters before 3Q16.
Setback for U.S. Steel bulls
However, U.S. Steel’s 3Q16 earnings fell well short of analysts’ estimates. Analysts polled by Bloomberg expected U.S. Steel to deliver EPS of $0.84 in 3Q16. U.S. Steel bulls (SSO) were left heartbroken after the company’s 3Q16 earnings release, and the stock fell 4.8% on November 2.
We’re in the middle of the 3Q16 earnings season. Nucor (NUE), AK Steel (AKS), and Steel Dynamics (STLD) have already released their 3Q16 earnings results. ArcelorMittal (MT) is expected to release its 3Q16 earnings on November 8. You can read ArcelorMittal’s 3Q16 Earnings: What’s the Word on Wall Street to learn more about analysts’ expectations for MT’s 3Q16 earnings.
In this series, we’ll analyze U.S. Steel’s 3Q16 earnings. We’ll explore what drove U.S. Steel’s 3Q16 financial performance, and the key takeaways from the company’s earnings conference call. We’ll also analyze the business outlook and guidance provided by U.S. Steel. Let’s begin by looking at U.S. Steel’s 3Q16 revenue.
U.S. Steel Corporation (X) released its 3Q16 financial results on November 1 after the market closed, and it held its earnings conference call on November 2. The company reported an adjusted net income of $37 million, which translates into adjusted EPS (earnings per share) of $0.40. U.S. Steel’s 3Q16 performance improved considerably from previous quarters. […]
Broadcom (AVGO) stock fell ~8.5% after markets closed yesterday following the semiconductor giant's fiscal 2019 second-quarter earnings release. It missed analysts' revenue estimate and cut its fiscal 2019 revenue guidance by $2 billion to $22.5 billion due to sluggishness in its semiconductor solutions business.
The SPDR Gold Shares ETF (GLD), which tracks physical gold prices, has underperformed the broader markets year-to-date, rising just 4.4% compared to the S&P 500’s (SPY) gain of 15.9% as of June 14. The sentiment for gold, however, has been turning around.
Safe havens such as Treasuries and gold were back in favor on June 14 as stocks fell due to rising tensions in the Middle East, concerns over growth, and the looming threat of the US-China trade war. The tech-heavy Nasdaq Composite Index fell 0.67% in the first hour of trading.
Lululemon (LULU) stock rose 2.1% on June 13 in reaction to better-than-expected first-quarter results and an upgraded outlook for fiscal 2019 overall. The company's first-quarter adjusted EPS grew 34.5% to $0.74 on revenue growth of 20.4% to $782.32 million. Analysts had expected EPS of $0.70 and revenue of $755.31 million. Here's why the outlook got an upgrade.
As of 4:40 AM Eastern Time today, US crude oil active futures were at $51.83, ~4% below their closing level in the previous week. If US crude oil prices stay at those levels today, they'll mark their third week of decline in five weeks.
Amazon is discontinuing its Amazon Restaurants service, which has been delivering food for restaurants in parts of the United States. Amazon Restaurants launched in the United States in 2015 and entered the British market the following year. However, it met strong opposition in the British market.