In the latest trading session, Cleveland-Cliffs (CLF) closed at $11.55, marking a -0.26% move from the previous day. This change lagged the S&P 500's 0.12% gain on the day. At the same time, the Dow added 0.23%, and the tech-heavy Nasdaq gained 0.36%.
Prior to today's trading, shares of the mining company had gained 29.82% over the past month. This has outpaced the Basic Materials sector's gain of 8.1% and the S&P 500's gain of 6.17% in that time.
Investors will be hoping for strength from CLF as it approaches its next earnings release. In that report, analysts expect CLF to post earnings of -$0.05 per share. This would mark year-over-year growth of 37.5%. Meanwhile, our latest consensus estimate is calling for revenue of $122.63 million, down 48.69% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $1.59 per share and revenue of $2.27 billion. These totals would mark changes of -25.35% and -5.06%, respectively, from last year.
It is also important to note the recent changes to analyst estimates for CLF. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 2.75% lower. CLF is currently a Zacks Rank #3 (Hold).
Looking at its valuation, CLF is holding a Forward P/E ratio of 7.28. For comparison, its industry has an average Forward P/E of 14.54, which means CLF is trading at a discount to the group.
The Mining - Miscellaneous industry is part of the Basic Materials sector. This industry currently has a Zacks Industry Rank of 40, which puts it in the top 16% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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