What Drove United States Steel Corporation Stock Up 17.1% in August

In a big surprise, United States Steel Corporation (NYSE: X) delivered its best month so far this year in August, as shares surged 17.1% despite lack of any big news from the steelmaker's side. Two factors appear to have driven the shares higher: a spillover of U.S. Steel's strong second-quarter numbers that came out at the end of July, and Hurricane Harvey.

As has historically been the case, U.S. Steel's earnings can fluctuate wildly from quarter to quarter. So after an abysmal set of first-quarter numbers in April that sent the stock plummeting double digits, U.S. Steel bounced back late in July with a sharp jump in profits for its second quarter. It reported 22% higher revenue and earnings per share of $1.48 versus a loss of $0.32 per share in the year-ago quarter.

While a one-time gain from the sale of U.S. Steel Canada lifted the company's profits, its adjusted earnings per share (EPS) were still substantially higher versus last year, thanks to improving volumes and prices.

Source: Fool.com