Cleveland-Cliffs Target of Unusually Large Options Trading (NYSE:CLF)

Cleveland-Cliffs Inc. (NYSE:CLF) was the recipient of unusually large options trading on Thursday. Traders bought 86,150 call options on the company. This represents an increase of approximately 77% compared to the typical volume of 48,730 call options.

Analyst Ratings Changes

A number of equities research analysts have recently commented on the stock. Barclays started coverage on shares of Cleveland-Cliffs in a report on Thursday, May 21st. They set an “underweight” rating and a $9.00 price target for the company. Morgan Stanley reissued an “equal weight” rating and set a $12.50 price objective (up from $12.00) on shares of Cleveland-Cliffs in a research note on Monday, June 22nd. Glj Research upgraded shares of Cleveland-Cliffs from a “sell” rating to a “hold” rating and raised their target price for the stock from $9.03 to $15.01 in a research report on Tuesday, June 9th. KeyCorp assumed coverage on shares of Cleveland-Cliffs in a research note on Wednesday, March 25th. They issued a “sector weight” rating for the company. Finally, Citigroup cut their price target on Cleveland-Cliffs from $11.00 to $10.00 and set a “neutral” rating for the company in a report on Tuesday, July 7th. Nine analysts have rated the stock with a Hold rating and two have issued a Sell rating to the stock. Based on data from MarketBeat.com, Cleveland-Cliffs has a consensus rating of “Reduce” and a consensus target price of $11.50.

Cleveland-Cliffs News Summary

Here are the key news stories impacting Cleveland-Cliffs this week:

• Positive Sentiment: Cleveland-Cliffs reported second-quarter revenue of about $5.23 billion, topping estimates and rising year over year, while adjusted EPS of a $0.20 loss narrowly beat expectations. Cleveland-Cliffs (CLF) Reports Q2 Loss, Tops Revenue Estimates
• Positive Sentiment: The company’s outlook for the third quarter was stronger than expected, with investors focusing on improving profitability and management’s forecast for a meaningful increase in EBITDA. Cleveland-Cliffs shares jump as upbeat third-quarter forecast outweighs earnings miss (NYSE:CLF)
• Positive Sentiment: The board promoted CFO Celso Goncalves to President and CFO and added him to the board, a sign of leadership continuity and confidence in the company’s strategy. Cleveland-Cliffs Announces Promotion of Chief Financial Officer Celso Goncalves from Executive Vice President to President and Appointment to Board of Directors

Cleveland-Cliffs Stock Up 17.8%

NYSE CLF traded up $1.68 during trading hours on Thursday, hitting $11.13. The company had a trading volume of 26,635,010 shares, compared to its average volume of 18,565,545. Cleveland-Cliffs has a fifty-two week low of $7.73 and a fifty-two week high of $16.70. The company has a market capitalization of $6.35 billion, a price-to-earnings ratio of -4.75 and a beta of 2.13. The company has a debt-to-equity ratio of 1.29, a current ratio of 2.02 and a quick ratio of 0.64. The firm’s 50 day moving average is $11.25 and its 200 day moving average is $11.04.

Cleveland-Cliffs (NYSE:CLF) last issued its quarterly earnings data on Thursday, July 23rd. The mining company reported ($0.20) EPS for the quarter, topping analysts’ consensus estimates of ($0.21) by $0.01. Cleveland-Cliffs had a negative return on equity of 15.48% and a negative net margin of 6.42%.The company had revenue of $5.23 billion for the quarter, compared to analysts’ expectations of $5.15 billion. During the same quarter in the previous year, the firm posted ($0.50) earnings per share. The firm’s quarterly revenue was up 5.9% on a year-over-year basis. Sell-side analysts anticipate that Cleveland-Cliffs will post -0.18 earnings per share for the current fiscal year.

Insider Buying and Selling

In related news, EVP Celso L. Goncalves, Jr. sold 214,308 shares of the business’s stock in a transaction dated Friday, June 5th. The shares were sold at an average price of $13.41, for a total value of $2,873,870.28. Following the completion of the transaction, the executive vice president owned 184,542 shares of the company’s stock, valued at approximately $2,474,708.22. The trade was a 53.73% decrease in their position. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Corporate insiders own 0.95% of the company’s stock.

Institutional Trading of Cleveland-Cliffs

A number of hedge funds and other institutional investors have recently modified their holdings of the business. Phocas Financial Corp. increased its position in shares of Cleveland-Cliffs by 47.0% during the fourth quarter. Phocas Financial Corp. now owns 474,862 shares of the mining company’s stock worth $6,306,000 after purchasing an additional 151,868 shares in the last quarter. Vanguard Group Inc. lifted its holdings in shares of Cleveland-Cliffs by 13.4% during the 4th quarter. Vanguard Group Inc. now owns 54,391,397 shares of the mining company’s stock valued at $722,318,000 after purchasing an additional 6,447,462 shares during the last quarter. Havemeyer Place LP acquired a new stake in shares of Cleveland-Cliffs in the 4th quarter worth $1,331,000. Friedenthal Financial acquired a new stake in shares of Cleveland-Cliffs in the 4th quarter worth $1,019,000. Finally, CenterBook Partners LP grew its stake in Cleveland-Cliffs by 39.5% during the 4th quarter. CenterBook Partners LP now owns 257,571 shares of the mining company’s stock worth $3,421,000 after buying an additional 72,883 shares during the last quarter. 67.68% of the stock is owned by hedge funds and other institutional investors.

Cleveland-Cliffs Company Profile

Cleveland-Cliffs Inc is a leading North American producer of iron ore pellets and flat-rolled steel products. Tracing its roots to 1847, the company has evolved from an iron-ore mining concern in the Great Lakes region into a fully integrated steelmaker. Today, Cleveland-Cliffs operates iron ore mining complexes in Michigan and Minnesota as well as steelmaking and finishing facilities across the United States.

The company’s integrated platform begins with direct control of key raw materials, including iron ore and scrap, and extends through every stage of steel production.