NEW YORK (TheStreet) -- United States Steel (X) shares are down 6% to $31.35 in trading on Monday following the release of the October steel production numbers by the World Steel Association.
The group reported flat production during October with the world's largest producer, China, reporting a 0.3% decline in production to 67.5 million tons. The decline can be attributed to a downturn in the country's housing market coupled with "persisting credit crunch and tepid infrastructure investment" that has hurt production, according to a Zacks Equity Research article.
India, the world's fourth largest producer behind China, Japan and the U.S., reported an 8.5% increase to 7.1 million tons of steel produced.
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TheStreet Ratings team rates UNITED STATES STEEL CORP as a Buy with a ratings score of B-. TheStreet Ratings Team has this to say about their recommendation:
"We rate UNITED STATES STEEL CORP (X) a BUY. This is driven by multiple strengths, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its revenue growth, compelling growth in net income, notable return on equity, solid stock price performance and impressive record of earnings per share growth. We feel these strengths outweigh the fact that the company shows weak operating cash flow."