Cliffs Natural Resources +2% as Deutsche Bank upgrades to Buy

|About: Cliffs Natural Resources Inc. (CLF)|By:, SA News Editor

Cliffs Natural Resources (CLF+2% premarket after Deutsche Bank upgrades shares to Buy from Hold with a $27 price target (up from $22) on valuation and strategic outlook given significant management changes and cost reductions.

CLF's acquisition of Consolidated Thompson provides an avenue for long-term growth, has re-oriented CLF to the seaborne iron ore market and directs sales to the Asian market, the firm explains.

More than half of its consolidated sales volume is priced based on international seaborne benchmarks but U.S. iron ore contracts provide stable price realizations for CLF, the firm says; uneven performance at its coal business remains a concern.