Cleveland-Cliffs (CLF) Stock Sinks As Market Gains: Here's Why
Cleveland-Cliffs (CLF) closed at $17.82 in the latest trading session, marking a -0.72% move from the prior day. The stock's change was less than the S&P 500's daily gain of 0.88%. On the other hand, the Dow registered a gain of 0.54%, and the technology-centric Nasdaq increased by 1.35%.
Coming into today, shares of the mining company had lost 13.74% in the past month. In that same time, the Basic Materials sector lost 5.92%, while the S&P 500 gained 0.64%.
The upcoming earnings release of Cleveland-Cliffs will be of great interest to investors. The company's earnings report is expected on January 29, 2024. The company is predicted to post an EPS of -$0.07, indicating a 76.67% growth compared to the equivalent quarter last year. Meanwhile, the latest consensus estimate predicts the revenue to be $5.16 billion, indicating a 2.34% increase compared to the same quarter of the previous year.
It's also important for investors to be aware of any recent modifications to analyst estimates for Cleveland-Cliffs. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 2.94% higher. Right now, Cleveland-Cliffs possesses a Zacks Rank of #2 (Buy).
Looking at valuation, Cleveland-Cliffs is presently trading at a Forward P/E ratio of 8.01. This signifies a discount in comparison to the average Forward P/E of 10.99 for its industry.
The Mining - Miscellaneous industry is part of the Basic Materials sector. This industry, currently bearing a Zacks Industry Rank of 175, finds itself in the bottom 31% echelons of all 250+ industries.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.
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Cleveland-Cliffs Inc. (CLF) : Free Stock Analysis Report
