To The Moon

After surging 21% on Friday, $U.S. Steel(X)$ gained an additional 1% on Tuesday.

In 2025, the stock performance of U.S. Steel was significantly influenced by Nippon Steel's acquisition plans.

U.S. President Trump officially approved Nippon Steel's investment plan for U.S. Steel, ending a year-and-a-half-long acquisition dispute. This deal is expected to bring $14 billion in investment to the U.S. and create approximately 70,000 jobs, marking an important milestone in U.S.-Japan industrial cooperation.

Trump announced the decision on social media, emphasizing that U.S. Steel would continue to be headquartered in Pittsburgh, preserving its brand and operational independence.

He stated that this move would enhance the competitiveness of the U.S. steel industry and ensure the domestication of key manufacturing. The market reacted positively to this decision, with U.S. Steel's stock price rising over 21% after the announcement, reaching its highest level since 2011.

Analysts believe that this transaction will not only help improve the competitiveness of the U.S. steel industry but also strengthen the cooperation between the U.S. and Japan in the industrial sector.

Analysts are optimistic about U.S. Steel's performance in 2025. Étienne Ricard, an analyst at BMO Capital Markets, raised the target price from a previous $52 to $55, while reiterating the "outperform" rating on the company's stock.

Ricard's analysis highlighted U.S. Steel's strong Q4 performance, with organic revenue growth of 17%, indicating excellent operational performance. The analyst report pointed out that U.S. Steel's four high-growth business segments have all set record performance, currently accounting for about half of the company's total revenue of $15.64 billion. Ricard expects U.S. Steel to achieve approximately 20% profit growth in 2025, which will be the most significant growth the company has seen in five years.