Why is Cleveland-Cliffs (CLF) stock up today?
Why Is Cleveland-Cliffs (CLF) Stock Up Today? Steelmaker Cleveland-Cliffs (NYSE: CLF) is in focus today as investors pay close attention to commodity markets. With steel prices rising, CLF stock is up 12%.
How did Cleveland-Cliffs perform in the third quarter?
Cleveland-Cliffs delivered an exceptional third-quarter report today. Here are the numbers you must know: Revenue surged 265% to $6 billion. Net income jumped to $1.3 billion from only $2 million in the year-ago quarter. Earnings per share shot up to $2.33 from a loss of $0.02 last year.
What does Cleveland-Cliffs’ management expect in 2022?
CEO Lourenco Goncalves revealed the company had already renewed several annual fixed-price contracts with key customers at high prices, and therefore expects to realize even higher average prices in 2022. For perspective, Cleveland-Cliffs realized an average price of $1,334 per net ton of steel products in Q3, up 33% year over year.
Is Cleveland-Cliffs stock a buy?
ClevelandCliffs Inc. may be undervalued. Its Value Score of A indicates it would be a good pick for value investors. The financial health and growth prospects of CLF, demonstrate its potential to outperform the market. It currently has a Growth Score of A.
What companies does Cleveland-Cliffs own?
Cliffs Natural Stone, LLC(11)MinnesotaCliffs Oil Shale Corp.(2)ColoradoCliffs Reduced Iron CorporationDelawareCliffs Reduced Iron Management Company(4)DelawareCliffs Sales CompanyOhio37 more rows
What will happen to stock market in 2022?
Stocks in 2022 are off to a terrible start, with the S&P 500 down close to 20% since the start of the year as of May 23. Investors in Big Tech are growing more concerned about the economic growth outlook and are pulling back from risky parts of the market that are sensitive to inflation and rising interest rates.
How high can Cleveland-Cliffs stock go?
The 9 analysts offering 12-month price forecasts for Cleveland-Cliffs Inc have a median target of 24.40, with a high estimate of 39.00 and a low estimate of 16.00. The median estimate represents a +56.71% increase from the last price of 15.57.
Who is the CEO of Cleveland-Cliffs?
Lourenco C. Goncalves (Aug 7, 2014–)Cleveland-Cliffs / CEO
Who is Cleveland-Cliffs owned by?
Top 10 Owners of Cleveland-Cliffs IncStockholderStakeTotal value ($)The Vanguard Group, Inc.8.36%674,490,578BlackRock Fund Advisors6.94%559,942,364Fidelity Management & Research Co...4.04%325,643,929SSgA Funds Management, Inc.3.37%272,119,9636 more rows
Should I pull my money from stocks?
The answer is simpler than you might think: do nothing. While it may sound counterintuitive, simply holding your investments and waiting it out is often the best way to survive periods of volatility without losing money. During market downturns, your portfolio could lose value in the short term.
Where should I put my money before the market crashes?
If you are a short-term investor, bank CDs and Treasury securities are a good bet. If you are investing for a longer time period, fixed or indexed annuities or even indexed universal life insurance products can provide better returns than Treasury bonds.
Should I buy stocks now?
For most younger investors, however, now is an excellent time to buy stocks. The S&P 500 has always bounced back from a low to continue reaching new highs over time. Those who were aggressive in times of major uncertainty gained the most.
Does Cleveland-Cliffs have a dividend?
Cleveland-Cliffs (CLF) does not pay a dividend.
What is the target price on Cleveland-Cliffs stock?
Stock Price Target CLFHigh$39.00Median$26.00Low$16.00Average$28.27Current Price$15.47
Why is Cleveland-Cliffs stock dropping?
Cleveland-Cliffs stock is falling after its fourth-quarter earnings disappointed the market. Shares of the steelmaker are inexpensive, but investors fear falling profits—and sliding prices for the metal. Cliffs (ticker: CLF) stock was down 3.1% on Friday morning.
Some of the diluted share count just went "poof!"
I like things that go "boom." Sonic or otherwise, that means I tend to gravitate towards defense and aerospace stocks. But to tell the truth, over the course of a dozen years writing for The Motley Fool, I have covered -- and continue to cover -- everything from retailers to consumer goods stocks, and from tech to banks to insurers as well.
What happened
Shares of iron ore mining company and steelmaker Cleveland-Cliffs ( NYSE:CLF) closed 5.5% higher on Thursday, buoyed by news that it has bought back from ArcelorMittal ( NYSE:MT) all of its Series B Participating Redeemable Preferred Stock.
So what
The preferred stock in question amounted to 58 million common shares, and was worth $1.2 billion in total.
Now what
Now, because Cleveland-Cliffs just finished reporting second-quarter earnings last week, it will be another several months before shareholders see the benefit of this transaction in dollars and cents. Still, that benefit could be substantial.
Where is Howard from The Fool?
Howard grew up in Philadelphia watching the Philly sports teams struggle for championships. He has been investing since 1989 and been a Fool since 2001. Prior to joining The Fool as a contract writer in 2019, Howard worked in the steel business as an engineer for 28 years. When he isn’t writing, he is usually out for a run, or relaxing to the music of the Grateful Dead.
Is Cleveland Cliffs a strong business?
Investors clearly expected to see more benefits in the current, strong business environment. Cleveland-Cliffs has borrowed heavily to grow its business beyond a supplier to steelmakers into the largest flat-rolled steel producer in North America.
Did Cleveland Cliffs buy ArcelorMittal?
Over the weekend, Cleveland-Cliffs worked out a deal to buy virtually all of ArcelorMittal's U.S. steelmaking business. At a cost of roughly $1.4 billion, it's a fairly sizable purchase for Cleveland-Cliffs, with its approximately $2.5 billion market cap. Although the acquisition won't include any debt from the U.S. operations of ArcelorMittal, Cleveland-Cliffs will assume pension and other liabilities, bringing the total value of the deal to about $3.3 billion.
Is Cleveland Cliffs a well-played purchase?
If both of those beliefs pan out, it will indeed be a well-played purchase.
Is Cleveland Cliffs a primary steel producer?
As one of the largest primary steel producers in the U.S. market, Cleveland-Cliff s' steel mills would see extra demand. However, the integrated company is also one of the largest producers of iron ore in North America.
Is Cleveland Cliffs stock based on a rumor?
Investors shouldn't get too excited about Cleveland-Cliffs' stock price advance. Not only is it based on a rumor, it coincides with a broad-based upturn in construction-related names. Effectively, Wall Street is painting a large collection of companies with the same brush.
