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CLF

Cleveland-CliffsNYSE:CLF Stock Report

Market Cap

US$10.2b

7D

-6.2%

1Y

248.6%

Updated

25 Sep, 2021

Data

Company Financials +
CLF fundamental analysis
Snowflake Score
Valuation3/6
Future Growth1/6
Past Performance2/6
Financial Health3/6
Dividends0/6

CLF Overview

Cleveland-Cliffs Inc. operates as a flat-rolled steel producer in North America.

Cleveland-Cliffs Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Cleveland-Cliffs
Historical stock prices
Current Share PriceUS$20.50
52 Week HighUS$6.16
52 Week LowUS$26.51
Beta2.19
1 Month Change-14.23%
3 Month Change-3.30%
1 Year Change248.64%
3 Year Change61.93%
5 Year Change250.43%
Change since IPO453.59%

Recent News & Updates

Shareholder Returns

CLFUS Metals and MiningUS Market
7D-6.2%-2.8%0.1%
1Y248.6%42.6%35.3%

Return vs Industry: CLF exceeded the US Metals and Mining industry which returned 42.6% over the past year.

Return vs Market: CLF exceeded the US Market which returned 35.3% over the past year.

Price Volatility

Is CLF's price volatile compared to industry and market?
CLF volatility
CLF Beta2.19
Industry Beta1.32
Market Beta1

Stable Share Price: CLF is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 8% a week.

Volatility Over Time: CLF's weekly volatility (8%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
184725,000C. Goncalveshttps://www.clevelandcliffs.com

Cleveland-Cliffs Inc. operates as a flat-rolled steel producer in North America. It also manufactures iron ore pellets. The company is vertically integrated from mined raw materials and direct reduced iron to primary steelmaking and downstream finishing, stamping, tooling, and tubing.

Cleveland-Cliffs Fundamentals Summary

How do Cleveland-Cliffs's earnings and revenue compare to its market cap?
CLF fundamental statistics
Market CapUS$10.24b
Earnings (TTM)US$787.00m
Revenue (TTM)US$13.00b

13.0x

P/E Ratio

0.8x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
CLF income statement (TTM)
RevenueUS$13.00b
Cost of RevenueUS$10.92b
Gross ProfitUS$2.07b
ExpensesUS$1.29b
EarningsUS$787.00m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)1.57
Gross Margin15.96%
Net Profit Margin6.06%
Debt/Equity Ratio125.4%

How did CLF perform over the long term?

See historical performance and comparison

Valuation

Is Cleveland-Cliffs undervalued compared to its fair value and its price relative to the market?

38.9%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: CLF ($20.5) is trading below our estimate of fair value ($33.56)

Significantly Below Fair Value: CLF is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: CLF is poor value based on its PE Ratio (13x) compared to the US Metals and Mining industry average (11.3x).

PE vs Market: CLF is good value based on its PE Ratio (13x) compared to the US market (17.9x).


Price to Earnings Growth Ratio

PEG Ratio: CLF's earnings are forecast to decline next year, so we can't calculate its PEG ratio.


Price to Book Ratio

PB vs Industry: CLF is overvalued based on its PB Ratio (3.2x) compared to the US Metals and Mining industry average (2.3x).


Future Growth

How is Cleveland-Cliffs forecast to perform in the next 1 to 3 years based on estimates from 7 analysts?

-43.7%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: CLF's earnings are forecast to decline over the next 3 years (-43.7% per year).

Earnings vs Market: CLF's earnings are forecast to decline over the next 3 years (-43.7% per year).

High Growth Earnings: CLF's earnings are forecast to decline over the next 3 years.

Revenue vs Market: CLF's revenue is expected to decline over the next 3 years (-7.4% per year).

High Growth Revenue: CLF's revenue is forecast to decline over the next 3 years (-7.4% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: CLF's Return on Equity is forecast to be high in 3 years time (21.2%)


Past Performance

How has Cleveland-Cliffs performed over the past 5 years?

7.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: CLF has a large one-off loss of $377.0M impacting its June 30 2021 financial results.

Growing Profit Margin: CLF became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: CLF's earnings have grown by 7.2% per year over the past 5 years.

Accelerating Growth: CLF has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: CLF has become profitable in the last year, making it difficult to compare its past year earnings growth to the Metals and Mining industry (108.8%).


Return on Equity

High ROE: Whilst CLF's Return on Equity (21.64%) is high, this metric is skewed due to their high level of debt.


Financial Health

How is Cleveland-Cliffs's financial position?


Financial Position Analysis

Short Term Liabilities: CLF's short term assets ($6.6B) exceed its short term liabilities ($3.0B).

Long Term Liabilities: CLF's short term assets ($6.6B) do not cover its long term liabilities ($10.5B).


Debt to Equity History and Analysis

Debt Level: CLF's debt to equity ratio (125.4%) is considered high.

Reducing Debt: CLF had negative shareholder equity 5 years ago, but is now positive and has therefore improved.

Debt Coverage: CLF's debt is not well covered by operating cash flow (3.2%).

Interest Coverage: CLF's interest payments on its debt are well covered by EBIT (5.7x coverage).


Balance Sheet


Dividend

What is Cleveland-Cliffs's current dividend yield, its reliability and sustainability?

0.27%

Forecast Dividend Yield


Dividend Yield vs Market

Notable Dividend: Unable to evaluate CLF's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate CLF's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if CLF's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if CLF's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: CLF is not paying a notable dividend for the US market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of CLF's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

5.8yrs

Average management tenure


CEO

C. Goncalves (63 yo)

7.08yrs

Tenure

US$18,511,405

Compensation

Mr. C. Lourenco Goncalves has been the Chairman, Chief Executive Officer and President at Cleveland-Cliffs Inc. since August 7, 2014. Mr. Goncalves has experience in the metals and mining industries, as we...


CEO Compensation Analysis

Compensation vs Market: C.'s total compensation ($USD18.51M) is above average for companies of similar size in the US market ($USD11.36M).

Compensation vs Earnings: C.'s compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: CLF's management team is seasoned and experienced (5.8 years average tenure).


Board Members

Experienced Board: CLF's board of directors are considered experienced (7 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 25.2%.


Top Shareholders

Company Information

Cleveland-Cliffs Inc.'s employee growth, exchange listings and data sources


Key Information

  • Name: Cleveland-Cliffs Inc.
  • Ticker: CLF
  • Exchange: NYSE
  • Founded: 1847
  • Industry: Steel
  • Sector: Materials
  • Market Cap: US$10.245b
  • Shares outstanding: 499.73m
  • Website: https://www.clevelandcliffs.com

Number of Employees


Location

  • Cleveland-Cliffs Inc.
  • 200 Public Square
  • Suite 3300
  • Cleveland
  • Ohio
  • 44114-2315
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/09/25 22:05
End of Day Share Price2021/09/24 00:00
Earnings2021/06/30
Annual Earnings2020/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.