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Cleveland-Cliffs (CLF) Stock Sinks As Market Gains: Here's Why
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Cleveland-Cliffs (CLF - Free Report) closed at $15.93 in the latest trading session, marking a -1.73% move from the prior day. This change lagged the S&P 500's 0.64% gain on the day. On the other hand, the Dow registered a gain of 1.85%, and the technology-centric Nasdaq increased by 0.2%.
Shares of the mining company have appreciated by 9.23% over the course of the past month, outperforming the Basic Materials sector's gain of 0.91% and the S&P 500's gain of 3.82%.
The investment community will be closely monitoring the performance of Cleveland-Cliffs in its forthcoming earnings report. The company is scheduled to release its earnings on July 22, 2024. On that day, Cleveland-Cliffs is projected to report earnings of $0 per share, which would represent a year-over-year decline of 100%. Simultaneously, our latest consensus estimate expects the revenue to be $5.24 billion, showing a 12.45% drop compared to the year-ago quarter.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $0.34 per share and a revenue of $20.92 billion, indicating changes of -68.22% and -4.9%, respectively, from the former year.
Investors should also take note of any recent adjustments to analyst estimates for Cleveland-Cliffs. These latest adjustments often mirror the shifting dynamics of short-term business patterns. Consequently, upward revisions in estimates express analysts' positivity towards the company's business operations and its ability to generate profits.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection has moved 30.69% lower. Cleveland-Cliffs is holding a Zacks Rank of #4 (Sell) right now.
Valuation is also important, so investors should note that Cleveland-Cliffs has a Forward P/E ratio of 48.39 right now. This valuation marks a premium compared to its industry's average Forward P/E of 15.09.
We can also see that CLF currently has a PEG ratio of 1.09. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. The average PEG ratio for the Mining - Miscellaneous industry stood at 2.66 at the close of the market yesterday.
The Mining - Miscellaneous industry is part of the Basic Materials sector. At present, this industry carries a Zacks Industry Rank of 199, placing it within the bottom 22% of over 250 industries.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.
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Cleveland-Cliffs (CLF) Stock Sinks As Market Gains: Here's Why
Cleveland-Cliffs (CLF - Free Report) closed at $15.93 in the latest trading session, marking a -1.73% move from the prior day. This change lagged the S&P 500's 0.64% gain on the day. On the other hand, the Dow registered a gain of 1.85%, and the technology-centric Nasdaq increased by 0.2%.
Shares of the mining company have appreciated by 9.23% over the course of the past month, outperforming the Basic Materials sector's gain of 0.91% and the S&P 500's gain of 3.82%.
The investment community will be closely monitoring the performance of Cleveland-Cliffs in its forthcoming earnings report. The company is scheduled to release its earnings on July 22, 2024. On that day, Cleveland-Cliffs is projected to report earnings of $0 per share, which would represent a year-over-year decline of 100%. Simultaneously, our latest consensus estimate expects the revenue to be $5.24 billion, showing a 12.45% drop compared to the year-ago quarter.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $0.34 per share and a revenue of $20.92 billion, indicating changes of -68.22% and -4.9%, respectively, from the former year.
Investors should also take note of any recent adjustments to analyst estimates for Cleveland-Cliffs. These latest adjustments often mirror the shifting dynamics of short-term business patterns. Consequently, upward revisions in estimates express analysts' positivity towards the company's business operations and its ability to generate profits.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection has moved 30.69% lower. Cleveland-Cliffs is holding a Zacks Rank of #4 (Sell) right now.
Valuation is also important, so investors should note that Cleveland-Cliffs has a Forward P/E ratio of 48.39 right now. This valuation marks a premium compared to its industry's average Forward P/E of 15.09.
We can also see that CLF currently has a PEG ratio of 1.09. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. The average PEG ratio for the Mining - Miscellaneous industry stood at 2.66 at the close of the market yesterday.
The Mining - Miscellaneous industry is part of the Basic Materials sector. At present, this industry carries a Zacks Industry Rank of 199, placing it within the bottom 22% of over 250 industries.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.