U.S. Steel price target lowered to $39 from $47 at Morgan Stanley

Morgan Stanley analyst Carlos De Alba lowered the firm’s price target on U.S. Steel (X) to $39 from $47 and keeps an Overweight rating on the shares after President Biden blocked Nippon Steel’s (NPSCY) proposed acquisition, citing national security concerns and a responsibility to keep America’s steel industry domestically owned and operated. The firm, which updated its price target to reflect a standalone valuation, reiterates an Overweight rating on standalone U.S. Steel based on the company’s “transformation into a more flexible and competitive steelmaker with increasing free cash flow generation.”