CLF might rally a little today but It's going down further. It is a $16-$18 stock near-term, and won't move until Iron-ore prices move up. No one wants the stock until the divy is good enough to support the share price. (That would be in the 3-3.5% range). Short and staying short!
Mike, My view is that with iron ore prices at these levels and earnings that will probably be bad, $16-$18 is where I would buy CLF. Others, might start picking at this when the dividend gets to 3%, ($19-$20 range). Whichever scenario happens, this is dead money until iron-ore prices rise.
At these prices? IO is at $134 today and has averaged $149.526 since January. Recall that IO averaged $141 in the 1q of 2012, $139 in the 2q of '12 $112 3q '12, $120 in 4q '12. If you are basing your target off of just today's price that would seem to be a low target, a $16-18 target in theory needs IO averages below the GS estimates, which are some of the lowest out there.