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United States Steel Financial Strength

: 7 (As of Jun. 2022)
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United States Steel has the Financial Strength Rank of 7.

GuruFocus Financial Strength Rank measures how strong a company's financial situation is. It is based on these factors:

1. The debt burden that the company has as measured by its Interest Coverage (current year). The higher, the better.
2. Debt to revenue ratio. The lower, the better.
3. Altman Z-Score.

United States Steel's Interest Coverage for the quarter that ended in Jun. 2022 was 33.97. United States Steel's debt to revenue ratio for the quarter that ended in Jun. 2022 was 0.16. As of today, United States Steel's Altman Z-Score is 3.16.


Competitive Comparison

For the Steel subindustry, United States Steel's Financial Strength, along with its competitors' market caps and Financial Strength data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

   

United States Steel Financial Strength Distribution

For the Steel industry and Basic Materials sector, United States Steel's Financial Strength distribution charts can be found below:

* The bar in red indicates where United States Steel's Financial Strength falls into.



United States Steel Financial Strength Calculation

GuruFocus Financial Strength Rank measures how strong a company's financial situation is. It is based on these factors

A company ranks high with financial strength is likely to withstand any business slowdowns and recessions.

1. The debt burden that the company has as measured by its Interest Coverage (current year). The higher, the better.

Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income (EBIT) by its Interest Expense:

United States Steel's Interest Expense for the months ended in Jun. 2022 was $-39 Mil. Its Operating Income for the months ended in Jun. 2022 was $1,325 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Jun. 2022 was $3,988 Mil.

United States Steel's Interest Coverage for the quarter that ended in Jun. 2022 is

Interest Coverage=-1*Operating Income (Q: Jun. 2022 )/Interest Expense (Q: Jun. 2022 )
=-1*1325/-39
=33.97

The higher the ratio, the stronger the company's financial strength is.

2. Debt to revenue ratio. The lower, the better.

United States Steel's Debt to Revenue Ratio for the quarter that ended in Jun. 2022 is

Debt to Revenue Ratio=Total Debt (Q: Jun. 2022 ) / Revenue
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / Revenue
=(107 + 3988) / 25160
=0.16

3. Altman Z-Score.

Z-Score model is an accurate forecaster of failure up to two years prior to distress. It can be considered the assessment of the distress of industrial corporations.

The zones of discrimination were as such:

When Z-Score is less than 1.81, it is in Distress Zones.
When Z-Score is greater than 2.99, it is in Safe Zones.
When Z-Score is between 1.81 and 2.99, it is in Grey Zones.

United States Steel has a Z-score of 3.16, indicating it is in Safe Zones. This implies the Z-Score is strong.

Good Sign:

Altman Z-score of 3.16 is strong.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


United States Steel  (NYSE:X) Financial Strength Explanation

The maximum rank is 10. Companies with rank 7 or higher will be unlikely to fall into distressed situations. Companies with rank of 3 or less are likely in financial distress.

United States Steel has the Financial Strength Rank of 7.


United States Steel Financial Strength Related Terms

Thank you for viewing the detailed overview of United States Steel's Financial Strength provided by GuruFocus.com. Please click on the following links to see related term pages.


United States Steel Business Description

United States Steel logo
Address
600 Grant Street, Pittsburgh, PA, USA, 15219-2800
United States Steel Corp operates primarily in the United States but also has a steelmaking capacity in Slovakia. The company's operating segments include North American Flat-Rolled (Flat-Rolled), Mini Mill, U. S. Steel Europe (USSE), and Tubular Products (Tubular). The Flat-Rolled segment includes U. S. Steel's integrated steel plants and equity investees in North America involved in the production of slabs, strip mill plates, sheets, and tin mill products, as well as all iron ore and coke production facilities in the United States. It primarily serves North American customers in the service center, conversion, transportation, construction, container, and appliance, and electrical markets.
Executives
Dunlap Terry L director 1000 SIX PPG PLACE PITTSBURGH PA 15222
Brown Daniel R officer: SVP Adv. Tech. Steelmaking 600 GRANT STREET, SUITE 1844 C/O UNITED STATES STEEL CORPORATION PITTSBURGH PA 15219
Jaycox Kenneth E officer: SVP & Chief Comm. Officer 600 GRANT STREET, SUITE 6100 PITTSBURGH PA 15219
Atkinson Tracy A director MFS INVESTMENT MANAGEMENT 500 BOYLSTON ST. BOSTON MA 02116
Johnson Jeh C. director 77 BEALE ST. P.O. BOX 770000 SAN FRANCISCO CA 94177
Grewal Manpreet officer: VP, Controller & CAO 600 GRANT STREET PITTSBURGH PA 15219
Mcgarry Michael H director PPG INDUSTRIES, INC. ONE PPG PLACE PITTSBURGH PA 15272
Faraci John V director C/O INTERNATIONAL PAPER 400 ATLANTIC STREET STAMFORD CT 06921
Fast Kimberly D officer: Acting Controller 600 GRANT STREET PITTSBURGH PA 15219
Holloway Duane D officer: SVP, GC, CCO & Corp. Sec C/O UNITED STATES STEEL CORPORATION 600 GRANT STREET PITTSBURGH PA 15219
Melnkovic A Barry officer: SVP & CHRO 600 GRANT STREET SUITE 1500 PITTSBURGH PA 15219
Rintoul David J. officer: Sr VP, Tubular Business 600 GRANT STREET, SUITE 6100 PITTSBURGH PA 15219
Greenstein Sara A. officer: Sr VP, Consumer Solutions 600 GRANT STREET PITTSBURGH PA 15219
Darragh Colleen M. officer: Vice President and Controller 600 GRANT STREET, SUITE 1944 PITTSBURGH PA 15219
Fruehauf Richard officer: Deputy Gen Counsel - Corporate 600 GRANT STREET PITTSBURGH PA 15219

United States Steel Headlines

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