Cleveland-Cliffs Inc. CLF raised its financial guidance for the second quarter and full-year 2021 based on its recent 2021 financial forecast.
The company now expects second-quarter and full-year adjusted EBITDA of $1.3 billion and $5 billion, respectively. This compares to the prior estimates of roughly $1.2 billion for the second quarter and around $3.5 billion for the full year.
The forecast for full-year is based on current contractual business and the conservative assumption that the US HRC index price averages $1,175 per net ton for the rest of the year.
Shares of Cleveland-Cliffs have rallied 255% in a year compared with 51.2% rise of the industry.
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In the first quarter, the company’s adjusted earnings came in at 35 cents per share that beat the Zacks Consensus Estimate of 33 cents. It also recorded revenues of $4,049 million, beating the Zacks Consensus Estimate of $3,820.8 million.
The company reported Steelmaking revenues of $3.9 billion for the first quarter and average net selling price per net ton of steel products was $900 for the quarter.
Zacks Rank & Key Picks
Cleveland-Cliffs currently carries a Zacks Rank #3 (Hold).
Some better-ranked stocks in the basic materials space are Nucor Corporation NUE, Olin Corporation OLN and Cabot Corporation CBT.
Nucor has a projected earnings growth rate of around 260% for the current year. The company’s shares have surged 131.7% in a year. It currently flaunts a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Olin has an expected earnings growth rate of around 506.7% for the current year. The company’s shares have skyrocketed 278.5% in the past year. It currently sports a Zacks Rank #1.
Cabot has an expected earnings growth rate of around 126% for the current fiscal. The company’s shares have surged 61.8% in the past year. It currently carries a Zacks Rank #1.
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