Core Viewpoint - Cleveland-Cliffs Inc. (CLF) is expected to report a decline in fourth-quarter 2024 results, influenced by lower steel prices and reduced volumes despite cost-cutting measures [2][4]. Revenue Estimates - The Zacks Consensus Estimate for CLF's fourth-quarter consolidated revenues is $4,313.4 million, indicating a year-over-year decline of 15.6% [4]. Factors Impacting Performance - CLF is anticipated to face challenges from weaker U.S. steel prices, which have dropped over 40% from $1,200 per short ton at the beginning of 2024 due to reduced demand and oversupply [5]. - The average net selling price per net ton of steel products is estimated at $985, reflecting a roughly 10% year-over-year decrease [6]. - External sales volumes for steel products are projected at 3.81 million net tons, suggesting a 5.5% year-over-year decline [8]. Cost Management and Acquisitions - Despite the challenges, CLF is expected to benefit from actions taken to lower steelmaking unit costs, which may support its margins [8]. - The acquisition of Stelco Holdings Inc. on November 1, 2024, is expected to contribute positively to the fourth-quarter results [9]. Earnings Predictions - The Earnings ESP for CLF is -2.80%, with the consensus estimate for earnings indicating a loss of 64 cents for the fourth quarter [11]. - CLF currently holds a Zacks Rank of 5 (Strong Sell), suggesting a low probability of an earnings beat this season [10][11].

Company Performance - Cleveland-Cliffs (CLF) closed at $11.98, reflecting a +1.1% change from the previous trading day's close, outperforming the S&P 500's daily loss of 0.43% [1] - Over the past month, shares of Cleveland-Cliffs have gained 21.91%, significantly surpassing the Basic Materials sector's gain of 3.69% and the S&P 500's gain of 2.6% [1] Earnings Forecast - Cleveland-Cliffs is expected to release its earnings on February 24, 2025, with a predicted EPS of -$0.64, indicating a 1180% decline compared to the same quarter last year [2] - The consensus estimate for revenue is $4.31 billion, reflecting a 15.62% decrease compared to the same quarter of the previous year [2] Analyst Estimates - Recent adjustments to analyst estimates for Cleveland-Cliffs indicate changing near-term business trends, with positive revisions suggesting analyst optimism regarding the company's business and profitability [3] - The Zacks Rank system, which evaluates these estimate changes, currently ranks Cleveland-Cliffs at 5 (Strong Sell), following a 126.95% fall in the Zacks Consensus EPS estimate over the past month [5] Industry Context - Cleveland-Cliffs operates within the Mining - Miscellaneous industry, which is part of the Basic Materials sector, currently holding a Zacks Industry Rank of 173, placing it in the bottom 32% of over 250 industries [6] - The Zacks Industry Rank assesses the strength of industry groups based on the average Zacks Rank of individual stocks, with top-rated industries outperforming the bottom half by a factor of 2 to 1 [6]

Core Viewpoint - Analysts forecast that Cleveland-Cliffs (CLF) will report a quarterly loss of $0.58 per share, indicating a year-over-year decline of 1060% and anticipated revenues of $4.31 billion, reflecting a 15.6% decrease compared to the previous year [1] Earnings Estimates - The consensus EPS estimate has been revised 22.9% lower over the last 30 days, indicating a collective reevaluation by analysts [2] - Changes in earnings estimates are crucial for predicting investor reactions, with empirical studies showing a strong relationship between earnings estimate revisions and short-term stock performance [3] Revenue Projections - Analysts predict 'Revenues- Other Businesses' at $154.30 million, suggesting a year-over-year change of -2.3% [5] - 'Revenues- Steelmaking' is expected to reach $4.23 billion, indicating a year-over-year decline of -14.7% [5] - 'Revenues- Steelmaking- Coated steel' is forecasted at $1.38 billion, reflecting an -8.3% change from the previous year [5] - 'Revenues- Steelmaking- Slab and other steel products' is estimated at $243.21 million, suggesting a -22.6% year-over-year change [6] Sales Volumes - 'External Sales Volumes- Steel Products' is projected at 3,819.69 tons, down from 4,039 tons in the previous year [6] - 'Volumes - Steelmaking - Coated steel' is expected to be 1,110.18 tons, compared to 1,140 tons reported last year [7] - 'Volumes - Steelmaking - Slab and other steel products' is estimated at 344.40 tons, down from 473 tons in the same quarter last year [8] - 'Volumes - Steelmaking - Plate' is projected at 172.51 tons, compared to 213 tons reported last year [8] - 'Volumes - Steelmaking - Cold-rolled steel' is expected to reach 568.06 tons, down from 583 tons [9] - 'Volumes - Steelmaking - Hot-rolled steel' is projected at 1,453.94 tons, compared to 1,472 tons last year [9] - 'Volumes - Steelmaking - Stainless and electrical steel' is expected to reach 167.96 tons, slightly up from 158 tons reported last year [10] Market Performance - Over the past month, shares of Cleveland-Cliffs have returned +11.8%, outperforming the Zacks S&P 500 composite's +4.7% change [11] - Currently, CLF carries a Zacks Rank 5 (Strong Sell), indicating potential underperformance in the near future [11]

Core Viewpoint - Cleveland-Cliffs (CLF) is anticipated to report a significant year-over-year decline in earnings due to lower revenues, with a consensus EPS estimate indicating a loss of $0.58 per share, reflecting a -1060% change compared to the previous year [1][3]. Earnings Expectations - The upcoming earnings report is scheduled for February 24, and the stock may experience upward movement if the reported numbers exceed expectations, while a miss could lead to a decline [2]. - Revenues for the quarter are projected to be $4.31 billion, which is a decrease of 15.6% from the same quarter last year [3]. Estimate Revisions - Over the last 30 days, the consensus EPS estimate has been revised down by 22.93%, indicating a bearish sentiment among analysts regarding the company's earnings prospects [4]. - The Most Accurate Estimate for Cleveland-Cliffs is lower than the Zacks Consensus Estimate, resulting in an Earnings ESP of -14.45%, which complicates the prediction of an earnings beat [10][11]. Earnings Surprise Prediction - The Zacks Earnings ESP model suggests that a positive or negative reading indicates the likely deviation of actual earnings from the consensus estimate, with a strong predictive power for positive readings [7][8]. - Cleveland-Cliffs currently holds a Zacks Rank of 5 (Strong Sell), which further diminishes the likelihood of beating the consensus EPS estimate [11]. Historical Performance - In the last reported quarter, Cleveland-Cliffs was expected to post a loss of $0.31 per share but actually reported a loss of $0.33, resulting in a surprise of -6.45% [12]. - Over the past four quarters, the company has only surpassed consensus EPS estimates once [13]. Industry Comparison - Teck Resources Ltd (TECK), another player in the mining industry, is expected to report earnings of $0.22 per share, reflecting a year-over-year decline of -78.4%, with revenues projected at $1.85 billion, down 38.5% from the previous year [17]. - The consensus EPS estimate for Teck Resources has also been revised down by 23.5% in the last 30 days, resulting in an Earnings ESP of -5.33% and a Zacks Rank of 3 (Hold) [18].

Core Viewpoint - Cleveland-Cliffs is experiencing a decline in projected earnings and revenue, with significant downward revisions in analyst estimates indicating challenges ahead for the company [2][5]. Group 1: Stock Performance - Cleveland-Cliffs closed at $11.48, reflecting a gain of 0.79% from the previous trading session, outperforming the S&P 500's loss of 0.01% [1]. - Over the past month, shares of Cleveland-Cliffs have appreciated by 9.31%, surpassing the Basic Materials sector's gain of 7.95% and the S&P 500's gain of 4.88% [1]. Group 2: Financial Projections - The upcoming earnings announcement is scheduled for February 24, 2025, with an expected EPS of -$0.56, representing a 1020% decline compared to the same quarter last year [2]. - Revenue is projected to be $4.31 billion, indicating a 15.62% decline compared to the corresponding quarter of the prior year [2]. Group 3: Analyst Estimates - Recent changes in analyst estimates for Cleveland-Cliffs show a downward revision of 124.78% in the Zacks Consensus EPS estimate over the past month [5]. - The company currently holds a Zacks Rank of 5 (Strong Sell), reflecting negative sentiment among analysts regarding its business operations and profit generation capabilities [5]. Group 4: Industry Context - Cleveland-Cliffs operates within the Mining - Miscellaneous industry, which is part of the Basic Materials sector, holding a Zacks Industry Rank of 162, placing it in the bottom 36% of over 250 industries [6]. - The Zacks Industry Rank indicates that the top 50% rated industries outperform the bottom half by a factor of 2 to 1, suggesting challenges for the Mining - Miscellaneous industry [6].

Group 1 - The article discusses the author's return to writing after a hiatus of one to two years, indicating a renewed focus on investment analysis [2] - The author has previously written over 150 articles for Seeking Alpha, showcasing extensive experience in investment commentary [2] Group 2 - The article emphasizes that past performance is not indicative of future results, highlighting the inherent uncertainty in investment outcomes [2] - It clarifies that no specific investment recommendations are being made, underscoring the importance of individual investor suitability [2]

Company Overview - Cleveland-Cliffs (CLF) shares increased by 17.9% to $11.84 in the last trading session, with a higher-than-average trading volume [1] - The stock has shown a 1.4% gain over the past four weeks [1] Market Impact - The surge in CLF's shares followed President Trump's executive orders imposing 25% tariffs on all steel and aluminum imports into the U.S., which is expected to boost U.S. steel prices and protect domestic manufacturers [2] Financial Performance Expectations - Cleveland-Cliffs is anticipated to report a quarterly loss of $0.56 per share, reflecting a year-over-year decline of 1020% [3] - Expected revenues for the upcoming quarter are $4.31 billion, down 15.6% from the same quarter last year [3] Earnings Estimate Revisions - The consensus EPS estimate for Cleveland-Cliffs has been revised 12.1% lower in the last 30 days [4] - A negative trend in earnings estimate revisions typically does not lead to price appreciation, indicating potential caution for future stock performance [4] Industry Context - Cleveland-Cliffs is categorized under the Zacks Mining - Miscellaneous industry, where Globe Specialty Metals (GSM) also operates [4] - Globe Specialty Metals' shares increased by 5.5% to $4.02, but it has returned -2.8% over the past month [4] - GSM's consensus EPS estimate for the upcoming report remains unchanged at -$0.01, representing a year-over-year change of -111.1% [5]

Market Overview - Markets opened positively, with the Dow up 167 points (+0.38%), S&P 500 up 40 points (+0.67%), Nasdaq up 190 points (+0.98%), and Russell 2000 up 7.9 points (+0.35%) [1] Steel Industry - Cleveland-Cliffs (CLF) shares surged by 18% on the day and are up 26% year-to-date, indicating strong market response to the steel tariff news [2] - Other steel companies like Nucor (NUE) and Alcoa (AA) experienced modest gains, reflecting a more tempered market reaction [2] Earnings Reports - Vertex Pharmaceuticals (VRTX) reported Q4 earnings of $3.98 per share, missing expectations by a penny, but revenues of $2.91 billion exceeded the $2.77 billion forecast, leading to a slight increase in share price [3] - Lattice Semiconductor (LSCC) reported Q4 earnings of 15 cents per share, below the anticipated 19 cents, but revenues of $117.4 million slightly surpassed expectations, resulting in a 14% increase in after-market trading [4] Upcoming Events - Fed Chair Jerome Powell is scheduled to testify before Congress, marking his first address since President Trump returned to office, which may impact market sentiment [4] - Notable earnings reports expected include Coca-Cola (KO), Marriott (MAR), and Shopify (SHOP) before market open, with DoorDash (DASH), Gilead Pharma (GILD), and Lyft (LYFT) reporting after the close [5]

Shares of steel producer Cleveland-Cliffs (CLF 11.60%) were moving higher today as steel stocks jumped broadly after President Trump said on Sunday that he would impose 25% tariffs on all steel and aluminum imports to the U.S. The news was seen as a positive for U.S. steel producers like Cleveland-Cliffs as it should lead to less competition and higher prices.As of 9:45 a.m. ET, the stock was up 14.1% on the news. The trade war heats upEconomists and investors are generally against trade wars and tariffs, b ...

Shares of Cleveland-Cliffs Inc. CLF are trading higher Monday. This follows President Trump's vow to impose a 25% tariff on steel and aluminum imports. Investors believe that this will help domestically based companies like Cleveland-Cliffs.The stock could be breaking out and the downtrend that began a year ago may finally be over. This is why it is our Stock of the Day.When a stock is trending lower, the market is full of ‘buyer's remorse'. People buy shares and come to regret doing so when the stock falls ...