The Quarter, conditions considering, was OK to decent. The hitch was the unexpected reduction in EBIDTA due to poor hot rolled prices dictated by ONE contract. That is changing and will continue to get better for reasons I already mentioned. Even with that the Q was ok. WS is forward looking so....watch out. Reduced steel imports, pollution restrictions in China, DRI and a HUGE cash refund as well as asset sales. 3 dollars is seeming more and more like a once in a life time bargain for CLF.
no tariffs as of yet.
Earnings were good? Earnings were ok - at best - albeit in a horrible operating environment - seaborn glut and steel prices in the toilet due to dumping. Good earnings would've saw ~600 in revenue and about 130 in EBIDTA. 64 million in interest - oh my. We could see a downgrade if the 2H steel market (prediction) is ignored. We need US steel to rebound - plain and simple. China to slow production due to pollution and the FTC to place tariffs on imported steel.
He is a bit of a moron - however, LG does need to defend this stock otherwise shorts will reload. He keeps promising and blowing smoke and they leaves longs hanging.
$10 - no chance in six months. Maybe 6 if we are lucky. However, i do think the worse of the domestic IO issues are behind us. Legislation is already slowing down imports and an new initiative/legislation in China to curb pollution will idle steel plants there - that will further balance exports. Possibly even require them to move to pellets, DRI or even steel imports. Cliff may be in the right place at the right town this time around. Maybe....
You're so stupid. They have enough liquidity without earning a cent to keep the company alive for about 4 years. They haven't been negative cash flow yet even with ore in the toilet. It would have to drop a lot lower before they'd be insolvent. Your posts are becoming more and more suspect. they went from ill informed conjecture to plain stupid.
Listen to VIP - they are worthless. Their lack of response has been commented on too many times to count on this board. We've all contacted them to no avail. The only one that supposedly has gotten a response is Lishe - and considering the lack of response to anyone else - I think that may even be suspect. Paul and the iR department need to eliminated.
Do su** that much d!k for a living or do you do it to support your shorting? Either way i'll give you 5 of my CLF shares if you come over right now and do what I believe you're so good at. That's 3x's what you normal get so don't insult my generosity.
Yeah - in fact they are going announce the entire IO industry is going bankrupt before earnings....hell they'll probably announce the Fed is bankrupt too. Is your stupidity intended or does it come natural?
His wording implied if not right out stating it. Either way many thought they'd keep the divy - no matter how irrational it was. Just check the analyst notes - I am not stating anything that hasn't already been stated by the buy sides as well as the sell sides.
That is what most thought when it was 10 while others argued we'd see 5/share - now most would kill to see 5 again. Without an active management this stock is toast..
However, that doesn't mean WS can't deem this company worthless...Fundamentals are only part of the story. Management should have shown that they had 1. confidence in the company and 2. wasn't bluffing and demanded analysts take notice - by buying back the stock. They showed their hand and WS swallowed them up.
For all who believe that "this" earnings call will somehow reveal the direction, etc or CLF's - youre are wrong. It will trot along just as it has for the better part of 3 years. Swaying and dropping - barely staying a float while management desperately tries to fix the situation - A renewed contract with Mittal would do this stock wonders but at this point I doubt we'll hear anything.
I've made this point a number of times. BK is unlikely even under the most dire commodity market, but the reality is that the stock is being hammered by investors because they know they can. LG's bluff was called and they bet on his credibility - he was determined to be less than disingenuous once he failed to execute his plan as he laid out, scrapping the divy despite him claiming it was safe and finally the absence of a buyback. His brazen and bold face lies helped lead us here. If he had any credibility with WS they would've been very cautious shorting at $6/5 share. Book value and EBIDTA stood out - debt was the only instrument shorts used to blackball the stock and the company but that seemed to be under control. When that didn't work they repainted cliffs as seaborn dependent and blindly shorted in large volume, Without a buyback or positive announcement they new MGM was asleep at the wheel or that their hands were tied. Wash, rinse, repeat and here we have it. We are here BECAUSE of LG and the BOD not in spite of them like some want to think. A failure and because of it - we will go sub $1.
OMG - I am shocked - you are right. This ship is turning around...:-) All kidding aside I still have some faith in MGMT to undo some of the mess the previous team screwed up but LG approach and timing is really bad. He needs to say less if he isn't willing to pull the trigger.
oh please - the stock is the worst performing commodity stock of the decade. The stock dropped nearly 16% yesterday. Even that kind of momentum needs a breather now and again.