Streetbeat News

NISTF

Nippon Steel Corporation

https://www.nipponsteel.com/

Industry

Iron and Steel Mills and Ferroalloy Manufacturing

Open

20.10

Mkt cap

21B

Volume

100

High

20.10

P/E Ratio

6.59

52-wk high

25.22

Low

20.10

Div yield

0.00

52-wk low

19.10

Cleveland-Cliffs (NYSE:CLF) is set to receive up to $575 million from the U.S. Department of Energy for decarbonization projects in Ohio and Pennsylvania, aiming to significantly reduce carbon intensity in steel production. This move, part of a broader shift towards renewable energy steelmaking, positions Cleveland-Cliffs as a leader in the industry. The projects are expected to save $450 million annually in production costs, preserve 2,500 jobs, and create additional jobs. This initiative is supported by strong government backing and could enhance Cleveland-Cliffs' position in the domestic steel sector amidst Nippon Steel's acquisition of U.S. Steel (NYSE:X) and political interest in supporting the domestic industry.

Portfolio Pulse from Stjepan Kalinic

March 25, 2024 | 8:58 pm

U.S. Steel (NYSE:X) forecasts Q1 EPS of $0.80-$0.84, below the consensus of $0.89, with adjusted EBITDA around $425 million. The company expects improvements in its Flat-Rolled and Mini Mill segments, while anticipating a decline in the Tubular segment. The merger with Nippon Steel is highlighted as a strategic move towards becoming the 'Best Steelmaker'. Last quarter, U.S. Steel exceeded earnings expectations, and its shares saw a slight increase.

Portfolio Pulse from Lekha Gupta

March 18, 2024 | 4:40 pm

President Joe Biden and Donald Trump have both expressed opposition to Nippon Steel Corp's (OTC:NISTF) acquisition of United States Steel Corporation (NYSE:X) for $14.1 billion, emphasizing the importance of keeping the company American-owned. U.S. Steel shares dropped 2.8% following the report. Cleveland-Cliffs Inc. (NYSE:CLF) had previously made a bid for U.S. Steel, which was rejected.

Portfolio Pulse from Nabaparna Bhattacharya

March 14, 2024 | 5:05 pm

United States Steel Corp (NYSE:X) is set to report Q4 earnings with expectations of 26 cents EPS and $3.76 billion in revenues. The stock has risen 70% over the past year. U.S. Steel's proposed acquisition by Nippon Steel Corp (OTCPK: NISTF) for $14.1 billion is under scrutiny, with Biden's advisors suggesting increased support for labor and an investigation into the fairness of the $55 per share offer. Analysts hold a Neutral rating on U.S. Steel with a price target of $27.95, while JP Morgan has a Neutral rating with a $52 target. U.S. Steel trades at $48.30, and analysts are focused on the company's plans regarding the Nippon deal.

Portfolio Pulse from Surbhi Jain

January 31, 2024 | 6:16 pm

Coeur Mining, Inc. (CDE) reported significant drilling results from its Silvertip project, with high-grade mineral intercepts. Nippon Steel Corp.'s (NISTF) acquisition of United States Steel Corp. (X) was defended by Larry Summers, citing benefits to the U.S. steel industry. 5E Advanced Materials, Inc. (FEAM) completed a $10 million equity financing round to advance mining operations.

Portfolio Pulse from Austin DeNoce

January 22, 2024 | 8:02 pm

Larry Summers, former Treasury Secretary, supports the acquisition of United States Steel Corp. (NYSE:X) by Japan's Nippon Steel Corp. (OTCPK: NISTF), despite the Biden administration's national security concerns. The $14.1 billion deal is under US review, potentially until 2025. Summers argues there's no national security risk and sees the deal as beneficial, potentially lowering steel prices and infusing capital into the US steel industry. The White House has expressed concerns over national security and supply chain impacts. Both companies are cooperating with the CFIUS review process.

Portfolio Pulse from Benzinga Neuro

January 20, 2024 | 3:29 am

Brian Deese, a Biden campaign adviser, has expressed concerns about Nippon Steel Corporation's proposed acquisition of United States Steel Corporation. Deese, who previously led the White House National Economic Council, suggested that the Biden administration should scrutinize the deal. His comments were made in a personal capacity, and the official stance of the White House remains cautious, with only a potential regulatory review indicated. The deal has also faced opposition from U.S. legislators and the United Steelworkers union. Shares of United States Steel Corporation (X) were trading lower by 0.82% at last check.

Portfolio Pulse from Nabaparna Bhattacharya

December 20, 2023 | 7:22 pm

Arcelor Mittal SA (NYSE:MT) shares rose nearly 7% on Monday, potentially due to an M&A deal between Nippon Steel Corp (OTC:NISTF) and United States Steel Corporation (NYSE:X). U.S. Steel's shares surged over 27% after Nippon Steel's announcement to acquire it for $55 per share in an all-cash transaction valued at $14.9 billion, including debt. The deal is expected to close in the second or third quarter of 2024, enhancing Nippon's manufacturing and technology capabilities and diversifying its global footprint. Arcelor Mittal's stock movement was accompanied by a trading volume of 5.56 million shares, significantly higher than its average of 2.06 million shares. Arcelor Mittal was also a bidder for U.S. Steel, reportedly ready to offer $45 per share.

Portfolio Pulse from Ryan Gustafson

December 18, 2023 | 10:53 pm

United States Steel Corp (NYSE:X) stock surged over 28% in premarket trading due to its acquisition by Nippon Steel Corp (OTC:NISTF), valuing the company at $14.9 billion. Over the past year, U.S. Steel has outperformed the S&P 500, with a 59.3% return compared to the S&P 500 ETF's 23.6% gain. The company's stock also outperformed the SPDR S&P Metals & Mining ETF (NYSE:XME) by 40%, with XME holders gaining 17.5% over the same period.

Portfolio Pulse from Surbhi Jain

December 18, 2023 | 1:51 pm

Shares of United States Steel Corp (NYSE: X) surged approximately 28% after the announcement of its acquisition by Nippon Steel Corp (OTC: NISTF) for $14.1 billion plus debt, totaling an enterprise value of $14.9 billion. The offer price of $55 per share is a 40% premium over U. S. Steel's closing price on December 15, 2023. The deal, approved by both companies' boards, is expected to close in the second or third quarter of 2024, subject to shareholder and regulatory approvals. U. S. Steel recently provided Q4 guidance with adjusted EPS of $0.20-$0.25 and adjusted EBITDA of approximately $250 million.

Portfolio Pulse from Lekha Gupta

December 18, 2023 | 11:43 am

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