U.S. Steel: It’s Even Worse Than It Looks

Heading into U.S. Steel's ( X ) first-quarter earnings, analyst consensus was for a big per-share profit, as they extrapolated from higher steel prices to greater revenue for the U.S. steel company. Instead, U.S. Steel reported a surprise loss , one which caused its shares to lose a quarter of their value. And to make matters worse, it cut its 2017 guidance in half. Oops. The new guidance may be even worse than it looks, explain Macquarie's Aldo Mazzaferro and Amanda Adami. They explain why: