Cliffs Natural Resources’ (CLF) share price has fallen by 78% in 2015 and another 5% since the start of 2016, through January 28.
Of the 15 analysts covering the Cliffs, eight have given it a “hold” recommendation, and seven have given it a “sell” recommendation. The stock has received no “buy” recommendations.
Cliffs Natural Resources ended 4Q15 with net debt of $2.4 billion as compared to $2.5 billion at the end of 3Q15.
Cliffs Natural Resources (CLF) ended 4Q15 with $450 million in liquidity. This includes $285 million in cash and cash equivalents.
Cliffs Natural Resources delivered better-than-expected cash cost reduction in USIO with costs of $45 per ton is 4Q15 and $54 per ton for full-year 2015.
Cliffs Natural Resources’ (CLF) current direct exposure to the seaborne iron ore trade only remains in its APIO (Asia–Pacific iron ore) division. Management wants to exit this division and region as soon as possible.
The average realized prices for Cliffs were 25% lower year-over-year in 4Q15 to $74.20 per ton. This represents a multiyear low realized price for USIO.
Cliffs Natural Resources’ US Iron Ore segment mainly sells iron ore to integrated steel companies in the United States and Canada. The companies include U.S. Steel (X), AK Steel (AKS), and ArcelorMittal (MT).
Cliffs Natural Resources (CLF) reported revenues of $476 million for 4Q15, a decline of 54% YoY. The revenues for 2015 also dropped 40% YoY to $2 billion.
Cliffs Natural Resources’ (CLF) results for 4Q15 were a mixed bag. While it missed the consensus expectations on revenues and earnings per share, it beat the consensus expectations of EBITDA.
Gold has risen about 5.2% in the current month after a whopping $15 trillion global selloff.
Eldorado Gold (EGO) is Canada’s second-largest gold mining company, whose price is trading at $2.22 per share as of January 28, 2016.
Barrick Gold is among the top-performing assets in Canada and has regained its title as one of the best-performing precious metals mining companies.
On January 28, the inventory levels of all the base metals fell, except for copper and nickel stock levels, in the LME (London Metal Exchange). Tin fell the most.
Base metal miners’ equities were strong on January 28, 2016. Freeport-McMoRan (FCX) broke its rising streak. It closed in a loss for the first time in the week.
Base metals broke the rising streak and fell on January 28, 2016. All of the base metals, except for lead, fell to lower price levels.
Over the past five years, both the Brazilian real and the Indian rupee have depreciated against the dollar. This means that it takes more of the local currency to purchase a single dollar.
The US is the third-largest importer of the phosphate fertilizers, according to the Mosaic Company (MOS). The inventory levels as of January 2016 stand at 773,000 short tons above the peak of 737,000 short tons in April 2015.
Corn is a bellwether crop for many fertilizer products. When corn prices are high, farmers would be incentivized to increase their output to take advantage of the high corn prices and increase their profitability.
The average prices of DAP (diammonium phosphate) have been declining over the past few months. As of January 18, 2016, the average price of DAP was at its lowest, at $314 per short ton.