Demystifying Cleveland-Cliffs: Insights From 6 Analyst Reviews

Cleveland-Cliffs CLF has been analyzed by 6 analysts in the last three months, revealing a diverse range of perspectives from bullish to bearish.

The table below offers a condensed view of their recent ratings, showcasing the changing sentiments over the past 30 days and comparing them to the preceding months.

The 12-month price targets, analyzed by analysts, offer insights with an average target of $21.45, a high estimate of $27.20, and a low estimate of $16.50. This current average represents a 1.74% decrease from the previous average price target of $21.83.

Deciphering Analyst Ratings: An In-Depth Analysis

In examining recent analyst actions, we gain insights into how financial experts perceive Cleveland-Cliffs. The following summary outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Analysts respond to changes in market conditions and company performance, frequently updating their recommendations. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to Cleveland-Cliffs. This information offers a snapshot of how analysts perceive the current state of the company.
• Rating: Analyzing trends, analysts offer qualitative evaluations, ranging from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of Cleveland-Cliffs compared to the broader market.
• Price Targets: Understanding forecasts, analysts offer estimates for Cleveland-Cliffs's future value. Examining the current and prior targets provides insight into analysts' changing expectations.

Assessing these analyst evaluations alongside crucial financial indicators can provide a comprehensive overview of Cleveland-Cliffs's market position. Stay informed and make well-judged decisions with the assistance of our Ratings Table.

Stay up to date on Cleveland-Cliffs analyst ratings.

Get to Know Cleveland-Cliffs Better

Cleveland-Cliffs Inc is a flat-rolled steel producer and manufacturer of iron ore pellets in North America. It is organized into four operating segments based on differentiated products, Steelmaking, Tubular, Tooling and Stamping and European Operations, but operates through one reportable segment -Steelmaking. It is vertically integrated from mined raw materials, direct reduced iron, and ferrous scrap to primary steelmaking and downstream finishing, stamping, tooling and tubing. It serves a diverse range of other markets due to its comprehensive offering of flat-rolled steel products. Geographically, it operates in the United States, Canada and other countries. The majority of revenue is from the United States. It is a supplier of steel to the automotive industry in North America.

Financial Milestones: Cleveland-Cliffs's Journey

Market Capitalization Analysis: Falling below industry benchmarks, the company's market capitalization reflects a reduced size compared to peers. This positioning may be influenced by factors such as growth expectations or operational capacity.

Revenue Growth: Cleveland-Cliffs's revenue growth over a period of 3 months has been noteworthy. As of 31 December, 2023, the company achieved a revenue growth rate of approximately 1.35%. This indicates a substantial increase in the company's top-line earnings. As compared to its peers, the revenue growth lags behind its industry peers. The company achieved a growth rate lower than the average among peers in Materials sector.

Net Margin: Cleveland-Cliffs's net margin lags behind industry averages, suggesting challenges in maintaining strong profitability. With a net margin of -3.03%, the company may face hurdles in effective cost management.

Return on Equity (ROE): Cleveland-Cliffs's ROE falls below industry averages, indicating challenges in efficiently using equity capital. With an ROE of -1.95%, the company may face hurdles in generating optimal returns for shareholders.

Return on Assets (ROA): The company's ROA is below industry benchmarks, signaling potential difficulties in efficiently utilizing assets. With an ROA of -0.87%, the company may need to address challenges in generating satisfactory returns from its assets.

Debt Management: Cleveland-Cliffs's debt-to-equity ratio is below the industry average at 0.4, reflecting a lower dependency on debt financing and a more conservative financial approach.

Analyst Ratings: Simplified

Ratings come from analysts, or specialists within banking and financial systems that report for specific stocks or defined sectors (typically once per quarter for each stock). Analysts usually derive their information from company conference calls and meetings, financial statements, and conversations with important insiders to reach their decisions.

Beyond their standard evaluations, some analysts contribute predictions for metrics like growth estimates, earnings, and revenue, furnishing investors with additional guidance. Users of analyst ratings should be mindful that this specialized advice is shaped by human perspectives and may be subject to variability.

This article was generated by Benzinga's automated content engine and reviewed by an editor.