Cleveland-Cliffs (CLF) Reports Q4 Loss, Tops Revenue Estimates

Group 1: Earnings Performance - Cleveland-Cliffs reported a quarterly loss of $0.68 per share, which was worse than the Zacks Consensus Estimate of a loss of$ 0.65, and compared to a loss of $0.05 per share a year ago, indicating a significant decline in performance [1] - The company posted revenues of$ 4.33 billion for the quarter ended December 2024, surpassing the Zacks Consensus Estimate by 0.27%, but down from $5.11 billion in the same quarter last year [2] - Over the last four quarters, Cleveland-Cliffs has only surpassed consensus EPS estimates once [2] Group 2: Stock Performance and Outlook - Cleveland-Cliffs shares have increased approximately 20.8% since the beginning of the year, outperforming the S&P 500's gain of 2.2% [3] - The company's earnings outlook is crucial for investors, as it includes current consensus earnings expectations for upcoming quarters and any recent changes to those expectations [4] - The current consensus EPS estimate for the coming quarter is -$ 0.38 on revenues of $4.74 billion, and -$ 0.48 on revenues of $20.15 billion for the current fiscal year [7] Group 3: Industry Context - The Mining - Miscellaneous industry, to which Cleveland-Cliffs belongs, is currently ranked in the bottom 28% of over 250 Zacks industries, indicating a challenging environment [8] - Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can impact Cleveland-Cliffs' stock performance [5] - The unfavorable trend in estimate revisions has resulted in a Zacks Rank 5 (Strong Sell) for Cleveland-Cliffs, suggesting expected underperformance in the near future [6]