U.S. Steel downgraded at Macquarie, just four days after upgrade

|By:, SA News Editor

U.S. Steel (X -2.9%) is downgraded to Underperform from Neutral with an $18 price target, cut from $30, at Macquarie, citing damage to earnings from the planned 3-4 year $1B-plus asset revitalization program to upgrade mills.

The firm says it remains concerned that the company’s high-fixed costs, amplified by weak volumes and pricing, will continue to keep earnings under pressure in the red.

Macquarie had upgraded X to Neutral on Monday, a day before the company issued its disastrous Q1 earnings report that has sent shares plunging 27%.