NEW YORK (TheStreet) -- Shares of United States Steel Corp. (X) are up 11.49% to $30.85 in pre-market trade after the country's largest steelmaker's second quarter loss narrowed as the company continues to cut costs amid an ongoing global glut, the Wall Street Journal reports.
For the quarter, the company reported a loss of $18 million, or 12 cents per share, compared with a loss of $78 million, or 54 cents per share, a year earlier. Excluding litigation reserves and other items, the company reported earnings of 17 cents a share.
Net sales fell to $4.4 billion from $4.43 billion as total steel shipments declined 4%.
Analysts surveyed by Thomson Reuters expected a loss of 29 cents a share on $4.21 billion in sales.
Total operating expenses dropped almost 2% to $4.37 billion.
Shipments of flat-rolled products were down 5%.
TheStreet Ratings team rates UNITED STATES STEEL CORP as a Hold with a ratings score of C. TheStreet Ratings Team has this to say about their recommendation:
"We rate UNITED STATES STEEL CORP (X) a HOLD. The primary factors that have impacted our rating are mixed some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strengths can be seen in multiple areas, such as its solid stock price performance, good cash flow from operations and growth in earnings per share. However, as a counter to these strengths, we also find weaknesses including generally higher debt management risk, disappointing return on equity and poor profit margins."