GLJ double upgrades U.S. Steel on sum-of-the-parts analysis

GLJ Research analyst Gordon Johnson double upgraded U.S. Steel to Buy from Sell with a $38.57 price target. The firm’s sum-of-the-parts analysis suggests 23% upside from current trading levels when applying peer-industry multiples to consensus 2025 EBITDA estimates for each of U.S. Steel’s segments. The current share price does not fully credit the company with the current ramp of Big River 2, as well as the “hefty valuations investors are willing to pay for domestic steel assets at present,” the analyst tells investors in a research note.