Cleveland-Cliffs (CLF - Free Report) closed the most recent trading day at $7.68, moving -1.79% from the previous trading session. This change was narrower than the S&P 500's 2.06% loss on the day. At the same time, the Dow lost 1.81%, and the tech-heavy Nasdaq lost 2.99%.
Prior to today's trading, shares of the mining company had lost 17.68% over the past month. This has lagged the Basic Materials sector's loss of 6.32% and the S&P 500's loss of 6.47% in that time.
Investors will be hoping for strength from CLF as it approaches its next earnings release, which is expected to be January 24, 2019. On that day, CLF is projected to report earnings of $0.60 per share, which would represent year-over-year growth of 130.77%. Meanwhile, our latest consensus estimate is calling for revenue of $752.81 million, up 25.28% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $2.35 per share and revenue of $2.42 billion. These totals would mark changes of +370% and +3.76%, respectively, from last year.
It is also important to note the recent changes to analyst estimates for CLF. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 4.06% lower. CLF is currently a Zacks Rank #3 (Hold).
Investors should also note CLF's current valuation metrics, including its Forward P/E ratio of 3.33. This valuation marks a discount compared to its industry's average Forward P/E of 12.15.
The Mining - Miscellaneous industry is part of the Basic Materials sector. This industry currently has a Zacks Industry Rank of 191, which puts it in the bottom 26% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.