Cleveland-Cliffs Inc
Latest Cleveland-Cliffs Inc News and Updates

Is There More Upside Left in CLF and U.S. Steel (X) Stock?

CLF Misses Q2 Earnings Estimates: Is the Stock a Buy or Sell Now?

CLF Stock Is Popular on WallStreetBets, Solid Pick for Investors

CLF Versus CLNE: Which Is the Best Reddit Stock to Buy Now?

CLF Stock Forecast: How High Can It Go Amid Reddit Short Squeeze?

Analysts Say Hold on Cleveland-Cliffs Stock, Reddit Investors Say Buy

Why Rio Tinto has key advantages over its peers
Rio is the largest owner and operator of autonomous—driverless—trucks in the world. These initiatives are part of Rio’s “Mine of the Future” program.

CLF Stock Is a Good Buy as the U.S. Steel Cycle Nears Its Peak

Why U.S. Steel and Cleveland-Cliffs Upgraded Their Earnings Guidance

Cleveland Cliffs (CLF) Stock Is a Buy for Investors on the Pullback
Must-know: Is the share buyback the right thing to do?
Cliffs Natural Resources’ (CLF) new management changed the terms of its debt agreement to repurchase the company’s shares. The shares are worth up to $200 million.

Why Cliffs Raised Guidance for US Volumes
US iron ore (or USIO) is the main driver for Cleveland-Cliffs’s (CLF) top and bottom lines.

AK Steel Could Face Challenges in Meeting Its Goals
AK Steel is working towards stable margins throughout the business cycle. AK Steel has deliberately lowered its exposure to spot markets (X) (CLF).

How China’s Credit Growth Could Progress in 2018
Aggregate financing in China (MCHI) came in at 1.6 trillion yuan in November 2017.

China’s Credit Growth Metrics Also Worsen in April
China’s credit growth clearly has been weaker than expected, especially given the recent easing measures adopted by the government.

Your Key Steel Events to Follow This Week
China’s October fixed asset investment, real estate investment, and industrial production data are all expected to be released on November 14.

Will President Trump’s Pressure Tactics Work Out?
In March 2018, President Donald Trump imposed a tariff of 25% on steel imports. What’s happened since?

Why BHP focuses on productivity
Under equipment, the focus is on increasing availability, utilization, and rate. A 6% increase in utilization helped achieve a 9% increase in group production in FY14.

What Weighed down AK Steel’s 3Q17 Performance?
AK Steel (AKS) reported adjusted EBITDA of $69.2 million in 3Q17, compared with $142 million in 2Q17 and $157 million in 3Q16.

How does Chinese credit easing help iron ore names?
The immediate impact of Chinese credit easing was seen as China’s iron ore and rebar futures posted their strongest gains in three weeks.

China’s industrial output growth slows in November
FAI is a good indicator of how much investment occurs in a country or region. It’s a closely watched indicator of construction activity in China.

China’s Crude Steel Production Impacts Iron Ore Miners Like Vale
Since 98% of mined iron ore goes into making steel, it’s important to track steel production. China consumes two-thirds of seaborne iron ore.

How Do Analysts Rate Rio Tinto?
Citigroup (C) upgraded Rio Tinto’s (RIO) rating from “sell” to “neutral” on June 6, 2016. The broker also raised the target price for the stock from 20 pounds to 21 pounds.

Japanese iron ore imports were flat year-over-year in 2014
Japan accounts for 10%–13% of the seaborne market, so Japanese iron ore imports are another good indicator of demand.

Can U.S. Steel’s Asset Revitalization Plan Spark Its Stock?
U.S. Steel (X) expects its slab production capacity to increase by 1.0 million tons by 2020 from the current level of 10.0 million tons.
Why is the market reacting?
Market analysts have started turning bearish on Cliffs Natural Resources (CLF). There are many downgrades. The target price has been revised down in recent weeks.
Why the demerger of non-core assets makes sense for BHP
BHP had been contemplating whether to sell the non-core assets or go for a demerger. Finally, the company decided in favor of a demerger on August 15. The proposed company will likely have assets in the range of $12–$20 billion.

Factors That Could Cause an Upside to CLF’s Free Cash Flow in 2017
Cleveland-Cliffs’ management noted during its 4Q16 earnings call that it is expecting to generate FCF of $550 million in 2017.

Key Indicators US Steel Investors Should Track in 3Q17
Steel stocks have been consolidating for the last few trading sessions. But so far, they’re having a tepid year.

What Could Lead to Further Upgrades for Cliffs Natural Resources?
The average target price for CLF is $3.4 compared to its current market price of $4.9. The target price still implies a downside potential of 30%.

Why China Is Finding It Difficult to Export Its Steel Woes
China’s steel and aluminum overcapacity has earned it the ire of several countries.

New Probe Shows Fault Line in Trump’s Tariffs
After the imposition of Section 232 steel and aluminum tariffs last year, several observers warned that we could see a spike in downstream imports.

Why Vale’s Iron Ore Margins Should Remain Supported
In this series, we’ll see how Vale is planning to deal with the current volatile commodity price environment.

Outlook for Chinese Steel: Implications for US Steel
China is the world’s largest steel consumer, steel producer, and steel exporter. It dominates the global steel markets probably like no other country ever has.
Why did the Cliff’s share price rally?
Iron ore prices are down 19% year-over-year (or YoY) and coal prices are down 30% YoY—volumes were also down YoY, but the stock rallied 7% in a single trading session the next day of the earnings call and up 3% the subsequent trading day.

What Could Do the Trick for US Steel Prices
Bank of America Merrill Lynch has raised its 2017 hot rolled coil steel forecast to $700 per ton. The brokerage also upgraded U.S. Steel (X) from a “neutral” to “buy.”

These Factors Could Drive Cleveland-Cliffs’ Valuation in 2018
Among the US steel and iron ore peers, Nucor (NUE) is trading at the highest forward multiple of 7.7x.

Steel Companies Tone Down Expectations after Steel Price Rout
U.S. Steel (X) lowered its 2018 EBITDA guidance due to the recent correction in spot steel prices.

These Factors Could Impact CLF’s US Volumes in 3Q17 and Beyond
In 2Q17, Cleveland-Cliffs (CLF) achieved 4% growth year-over-year in US volumes to 4.3 million tons.
Must-know: Why Brazilian iron ore exports fell 9% in August
Brazilian exports show how much volume is shipped out of Brazilian ports to China and the rest of the world. Along with exports from Port Hedland, Australia, this is an important supply side indicator.

Iron Ore Pricing Pressures Likely to Persist
Almost all of the iron ore miners are cutting costs, which is driving the cost curve down. This will put additional pressure on prices.

China’s Steel Prices Might Have Started Giving Up: More Downside?
One of the most dominant factors driving iron ore’s price rally is rising steel production and the resulting increase in steel prices in China (FXI).

China Moves from Manufacturing to Consumption: Impact on Iron Ore
Over the past few months, we’ve seen that China (MCHI) (ASHR) is transitioning from a manufacturing-based to consumption-based economy.

China’s Steel Production Outlook Pressures Iron Ore Prices
According to the China Iron and Steel Association, China’s 2015 crude steel output could decline by as much as 2%. This estimate is lower than CISA’s March estimate of a 1.1% decline.

AK Steel’s Outlook Looks Gloomy after Earnings Miss
AK Steel (AKS) reported its third-quarter earnings on October 25 after the markets closed. The company reported revenues of $1.74 billion.

What to Expect from Cleveland-Cliffs’ 3Q17 Earnings
Cleveland-Cliffs (CLF) is scheduled to release its 3Q17 results before the US market opens on October 20. In this series, we’ll look ahead to CLF’s earnings and management call.

Cleveland-Cliffs’ Q2 2018 Earnings: What to Look Forward To
Cleveland-Cliffs (CLF) will release its second-quarter results before the market opens on July 20.

Steel Companies’ Third-Quarter Guidance: Key Takeaways
During the second-quarter earnings call, U.S. Steel Corporation raised its 2018 EBITDA guidance to $1.85 billion–$1.90 billion.

Why Is Cliffs Going to Idle Iron Ore Pellet Production?
Cliffs announced that it is going to temporarily idle its iron ore pellet production at its Northshore Mining operation in Minnesota by December 1, 2015.

U.S. Steel Might Need to Do Some Firefighting Today
U.S. Steel Corporation (X) released its 1Q18 earnings results yesterday. While the company’s earnings beat analysts’ estimates, its 2018 guidance seems to have spooked markets.

Why U.S. Steel Investors Should Brace for Higher Input Costs
U.S. Steel Corporation (X) produces steel in blast furnaces and uses coking coal and iron ore (CLF) as raw material.

It’s Hard to Be Positive on Long-Term Iron Ore Price Fundamentals
Vale SA will cut the high-cost iron ore production from its Southern and Southeastern systems by 25 million–30 million tons per year. Its 2015 iron ore guidance production is unchanged at 340 million tons.

Understanding S11D’s Impact on Vale’s Earnings Estimates for 2017
Vale’s total volumes should see a significant boost from iron ore volumes as its S11D project starts commercial production.

Inside Cliffs Natural Resources’ Solid 4Q16 Earnings, Big Stock Surge
Cliffs Natural Resources’ results for 4Q16 were hugely positive and beat the market expectations by a wide margin.

Multiyear Low US Steel Prices are Not Helping Matters for Cliffs
Most of Cliffs Natural Resources’ revenues and earnings are tied to the US steel industry. Steel prices are also a component of Cliffs’ pricing formula.

What is Driving the Valuation for Iron Ore Miners?
Valuation multiple The EV-to-EBITDA (enterprise value to earnings before interest, tax, depreciation, and amortization) multiple is a widely used relative valuation multiple for capital-intensive industries such as metals and mining. It takes into account a company’s capital structure. By using this multiple, we can compare companies’ valuations. Miners’ EV-to-EBITDA Vale (VALE) has a forward EV-to-EBITDA multiple […]

Understanding China’s Monthly Record in Steel Production
In April, China’s steel production surpassed the previous monthly record of 72 million achieved in March 2017 by producing 72.78 million tons.

Cliffs’ US Realized Prices Have Ample Upside in 2017. Here’s Why
Cliffs Natural Resources’ average realized prices were 0.5% lower YoY in 4Q16 at $73.8 per ton.

How Will Steel Prices in the US Impact Cliffs’ Realized Revenues?
US steel has seen a change in fortunes this year. Trump’s win has been a positive catalyst for the industry.

Why the Outlook on Iron Ore Is Still Negative
Major iron ore producers are further reducing costs to weather the current market downturn.

Revisiting the Case: How Does Cleveland-Cliffs Look Now?
Cleveland-Cliffs (CLF) has witnessed a turnaround of sorts in the last four years.

Cliffs Natural Resources’ US Volumes: Will There Be a Surprise?
On June 9, 2016, Cliffs announced that it will be reopening its United Taconite plant in northeastern Minnesota two months early due to a contract with U.S. Steel Canada.

U.S. Steel Corporation: Its Earnings Beat Might Impress You
U.S. Steel Corporation (X) released its second-quarter earnings on August 1 after the market closed. Its revenues were $3.6 billion.

Inside Cliff’s Earnings in 2017: What Will Drive Analysts’ Earnings Estimates?
In the past year, analysts have raised their revenue projections for Cliffs from ~$1.8 billion to ~$2.0 billion for the year.

Will Iron Ore Prices Benefit from China’s Credit Growth Prospects?
China’s aggregate financing stood at ~3.7 trillion Chinese yuan in January 2017, as compared to 1.6 trillion yuan in December 2016.

How Will Cliffs Natural Resources’ Costs Progress in 2017?
In 4Q16, Cliffs’ cash costs of goods sold for APIO was $36.4 per ton, or 8% higher YoY.

Seaborne Iron Ore Prices Look Firm, Supporting Cliffs
For the first time in two years, in November, iron ore prices crossed the $80 per ton level, and YTD gains for the steel-making commodity have reached 82%.

CLF Cautions: How Are Analysts Leading after the Recent Run-Up?
Cliff’s Natural Resources has long-term contracts with US steelmakers and is thus affected more by what’s happening in US steel than in seaborne iron ore.

What Does Cliffs Natural Resources’s Valuation Multiple Suggest?
Cliffs Natural Resources (CLF) is trading at a forward EV-to-EBITDA multiple of 13.2x, compared to its last-five-year average of 9.6x. Its stock price has risen 40% in the last month.
Must-know: Key ideas from Blue Ridge Capital’s investment strategy
Blue Ridge Capital is a New York–based hedge fund founded in 1996 by Tiger Cub John Griffin. The fund generally targets “absolute returns.”

Which Iron Ore Miners Currently Look Undervalued or Overvalued?
Rio Tinto has received a boost due to its recent announcement regarding $5 billion of additional free cash flow generation through productivity improvements.

Cliffs’ Asia-Pacific: Will Strong Seaborne Iron Ore Prices Lead to Mine-Extension?
Seaborne iron ore prices have held firm in 2016 and 2017 YTD, despite market participants calling for a downturn.

Here’s What’s Driving Iron Ore Prices through the Roof
Iron ore prices reached a six-month high of $62.7 per ton on October 26, 2016, bringing the YTD (year-to-date) gains for the commodity to an impressive 46%.

What Might Cliffs’ Valuation Catalysts Be in 2017?
Cliffs Natural Resources (CLF) is trading at a forward EV-to-EBITDA multiple of 12.9x, compared to its trailing-five-year average of 9.6x.

Cliffs’ Recommendations after 4Q16: Why Analysts Have Turned Bullish
Cliffs has “buy” and “sell” recommendations from 22% of analysts each, while 56% of the analysts are recommending a “hold.”

What Are Analysts Recommending for Cliffs Natural Resources?
Of the analysts covering Cliffs, one analyst has a “buy” recommendation, eight have “hold” recommendations, and six have “sell” recommendations.

How Does Cliffs’s Competition Look Post-ArcelorMittal Contract?
Cliffs Natural Resources (CLF) is the largest and lowest-cost supplier of iron ore pellets in the United States.

Inside BHP Billiton’s Iron Ore Price Concerns
Iron ore prices were very strong in 2016 and have remained so year-to-date. Prices increased by more than 80% in 2016.

Why the Outlook for US Steel Prices Is Bright beyond 4Q17
While US steel prices rose to a high of $660 per ton in March 2017, they fell to $580 per ton in June.

How Analysts Are Rating ArcelorMittal Ahead of Its 2Q17 Results
ArcelorMittal’s 2Q17 earnings ArcelorMittal (MT), the world’s largest steelmaker, is scheduled to release its 2Q17 earnings on July 27. Analysts polled by Thomson Reuters expect the company to post revenue of $17.4 billion in 2Q17. ArcelorMittal posted revenue of $16.0 billion in 1Q17 and $14.7 billion in 2Q16. ArcelorMittal’s 2Q17 EBITDA (earnings before interest, tax, […]

Analyzing China’s Steel Demand Indicators
China’s automotive sales fell in July. According to the China Association of Automobile Manufacturers, China’s vehicle sales stood at ~1.89 million vehicle units.

What Analysts See in Cliffs Natural Resources under Trump’s Presidency
US steel prices and order books for customers are the major revenue drivers for Cliffs Natural Resources’s (CLF) US division.

What to Watch for in U.S. Steel’s 4Q16 Earnings Call
During U.S. Steel’s 4Q16 earnings call, markets would expect more updates from the company regarding its 2017 coal contracts.

How Does ArcelorMittal’s Valuation Look ahead of 2Q17 Earnings?
In this article, we’ll look at ArcelorMittal’s (MT) valuation multiples ahead of its 2Q17 earnings.

Do Steel Capacity Cuts in China Bode Well for Iron Ore Miners?
China has been reeling under its overcapacity in the steel industry. In 2016, China planned to cut 45 million tons but wound up cutting 80 million tons.
Why investors should know Cliffs’ outlook
Cliffs Natural Resources (CLF) is mainly an iron ore producer. A small percentage of its revenue comes from metallurgical coal sales.

Understanding Cliffs’ New Estimates: Why Are Iron Ore Analysts Second-Guessing?
Most of Cliffs Natural Resources’ (CLF) revenues and earnings are derived from its US steel division. This makes its drivers unique among peers.

What China’s High Iron Ore Imports Suggest
China imported 92 million tons of iron ore in January 2017—a growth of 12.0% YoY and 3.4% month-over-month.

Steel Companies Expect Strong Demand in 2018
Some analysts expect US steel demand to soften. The Section 232 tariffs have led to higher steel prices in the United States.

How Do Falling US Steel Imports Impact Cliffs’ US Volumes?
Cliffs CEO Laurenco Goncalves mentioned during the Goldman Sachs conference on November 16 that the percentage of domestic steel on the market is ~70%.

Are China’s Steel Capacity Cuts for Real?
China produced 808.4 million tons of steel in 2016 and 68.9 million tons of steel products in December 2016—a YoY 7.1% rise.

Is There a Disconnect between CLF’s Valuation and Fundamentals?
In this part of the series, we’ll look at Cleveland-Cliffs’s (CLF) valuation and compare it to its US steel peers.

Declining US Steel Production is Hurting Cliffs
US steel production trends are a good indicator of the health of Cliffs and other integrated iron ore producers in the United States.

Cliffs Natural Resources: How US Steel Demand Is Progressing
Since US steel demand is the major driver behind steel companies’ volumes and prices, it’s important to track the data for Cliffs Natural Resources (CLF).

What Cliffs Natural Resources’ Debt Tender Offer Means
On July 31, 2017, Cliffs Natural Resources (CLF) announced a tender offer for a $575.0 million aggregate principal amount of its 5.75% guaranteed notes due in 2025.

Why China’s Iron Ore Imports Slid in August
China’s iron ore imports contracted 14% month-over-month and 1% year-over-year (or YoY) in the month of August to 74.12 million tons.

Inside China’s Credit Growth Metrics in April
By tracking credit growth in China, investors can gauge patterns that forecast future demand.

What to Expect from Cliffs Natural Resources’ 2Q17 Earnings
In this series, we’ll see what investors could expect from Cliffs Natural Resources’ (CLF) 2Q17 earnings report. CLF stock has gained 23% in the last 15 trading days.

Is the Pullback in Iron Ore Miners Based on Technical Indicators?
Among the stocks under review in this series, Vale SA (VALE) has given the highest trailing-three-month return of 36.4%, while Rio Tinto (RIO) has generated the lowest return of 15.4%.

This Could Lead BHP’s Cost-Reduction Efforts in Iron Ore
Iron ore makes up 38% of BHP Billiton’s (BHP) revenues and 42% of its EBITDA.