Goldman (NYSE:GS) Slashes US Steel (NYSE:X) Price Target

Goldman Sachs (NYSE:GS) dramatically cut their price target on US Steel (NYSE:X), slashing it from $73 to $62, although they did maintain their "Buy" rating on the company.

According to Goldman, their reasoning was, "We are reducing our 3Q-2010 earnings estimate for US Steel to $0.96 from $1.36 as we now expect lower volume due to higher-than-expected demand slowdown in summer months... Our 2010 estimate is now $1.35 down from $1.75 earlier."

Demand is definitely a concern as almost everywhere we're hearing the global economy isn't performing to the expected levels projected, and that is reducing analysts' estimates for a number of companies.

Even so, Goldman concluded, "We believe that this is one of the best positioned companies in the universe due to its backward integration."

Analysts are looking for $0.59 a share on revenue of $4.61 billion.