Cleveland-Cliffs, Inc. (CLF) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

Nucor Corp.

Commercial Metals Co.

Steel Dynamics, Inc.

Reliance, Inc.

Worthington Enterprises, Inc.

Cleveland-Cliffs, Inc.

Metallus, Inc.

Radius Recycling, Inc.

United States Steel Corp.

Ryerson Holding Corp.

Mesabi Trust

Why is Cleveland-Cliffs, Inc. ?

The company has declared Negative results for the last 4 consecutive quarters

PRE-TAX PROFIT(Q) At USD -493 MM has Fallen at -43.11%
OPERATING CASH FLOW(Y) Lowest at USD -862 MM
ROCE(HY) Lowest at -25.79%

Risky - Negative Operating Profits

The stock is trading risky as compared to its average historical valuations
Over the past year, while the stock has generated a return of 13.93%, its profits have fallen by -232.1%

Real-Time Research Report

Verdict Report

How much should you sell?

All quantity irrespective of whether you are making profits or losses

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Ferrous Metals)

When to re-enter? - We will constantly monitor the company and review our call based on new data

Is Cleveland-Cliffs, Inc. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Cleveland-Cliffs, Inc.

-19.21%

-0.20

72.98%

S&P 500

14.9%

0.70

20.15%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

28.89%

EBIT Growth (5y)

-253.80%

EBIT to Interest (avg)

3.96

Debt to EBITDA (avg)

757.34

Net Debt to Equity (avg)

1.21

Sales to Capital Employed (avg)

1.66

Tax Ratio

24.74%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

81.19%

ROCE (avg)

12.10%

ROE (avg)

15.99%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

NA (Loss Making)

Industry P/E

Price to Book Value

0.85

EV to EBIT

-9.29

EV to EBITDA

-329.87

EV to Capital Employed

0.93

EV to Sales

0.67

PEG Ratio

Dividend Yield

ROCE (Latest)

-10.05%

ROE (Latest)

-20.62%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bullish

RSI

Bullish

Bollinger Bands

Bearish

Moving Averages

Mildly Bullish (Daily)

KST

Bearish

Mildly Bullish

Dow Theory

Mildly Bearish

OBV

Mildly Bearish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

7What is working for the Company

RAW MATERIAL COST(Y)

Fallen by -15.94% (YoY

DEBTORS TURNOVER RATIO(HY)

Highest at 12.33 times

NET PROFIT(Q)

Highest at USD -226 MM

EPS(Q)

Highest at USD -0.44

-13What is not working for the Company

NET PROFIT(9M)

At USD -819 MM has Grown at -47.3%

OPERATING CASH FLOW(Y)

Lowest at USD -462 MM

INTEREST(HY)

At USD 305 MM has Grown at 28.69%

INVENTORY TURNOVER RATIO(HY)

Lowest at 3.93 times

NET SALES(Q)

Lowest at USD 4,313 MM

Here's what is working for Cleveland-Cliffs, Inc.

Net Profit

Highest at USD -226 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (USD MM)

EPS

Highest at USD -0.44

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (USD)

Debtors Turnover Ratio

Highest at 12.33 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Raw Material Cost

Fallen by -15.94% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin

Raw Material Cost as a percentage of Sales

Here's what is not working for Cleveland-Cliffs, Inc.

Operating Cash Flow

Lowest at USD -462 MM and Fallen

In each year in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (USD MM)

Interest

At USD 305 MM has Grown at 28.69%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (USD MM)

Net Sales

Lowest at USD 4,313 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (USD MM)

Inventory Turnover Ratio

Lowest at 3.93 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio