US Steel falls after BMO lowers rating on valuation

United States Steel's shares X.N fall 1.5% to $42.37 premarket

BMO downgrades to "market perform" from "outperform", says current share price nearing fair fundamental value

"(U.S. Steel- Nippon Steel deal) uncertainty, in our opinion, is too great at this point to maintain an Outperform recommendation solely based on the premise the transaction is completed," BMO says

Brokerage maintains PT of $45, representing 4.7% upside to stock's last close

However, BMO increases its 2025/2026 EBITDA estimates for U.S. Steel on higher assumed underlying steel prices

Two brokerages rate the stock "buy", five "hold" and five "sell"; their median PT is $41.50 - LSEG compiled data

As of last close, stock had risen 26.5% YTD