Cliffs Natural Resources -1.8% on Wells Fargo downgrade

Cliffs Natural Resources (CLF) -1.8% premarket after Wells Fargo downgrades shares to Underperform from Market Perform and lowers its valuation range to $12-$14 from $19-$24 due to a challenging macro environment.

Global spot pricing is weakening due to a slowdown in China, excess inventories, and ramping supply from low cost miners, the firm says as it lowers its estimated 2014 EPS to $0.55 from $1.75.

While the firm likes the new CEO and sees value in shares if management sells high cost assets, it is not yet convinced the efforts will be enough to keep shares afloat.

From other sites
Comments (5)
  • Parker Logan
    , contributor
    Comments (247) | Send Message
    Its the season of downgrading mining companies before May. I saw this story last year. Thanks for creating more volatility.
    4 Mar 2014, 09:03 AM Reply Like
  • chunghk
    , contributor
    Comments (351) | Send Message
    CLF - investors powerless; downward trend looming; tomorrow $18.75 - $19.18; many barriers. No liberators. Hoping iron ore price rise, as Gary's leadership heavily ignored in grading. Gary's Chinese acupuncture cure erectile dysfunction laudable. Thanks.
    4 Mar 2014, 08:02 PM Reply Like
  • User 11798721
    , contributor
    Comments (4) | Send Message
    I bought in at $18, if CLF goes to $12 I'm buying more.
    4 Mar 2014, 10:34 PM Reply Like
  • chunghk
    , contributor
    Comments (351) | Send Message
    CLF - User 117 good shot. Valuable stock. Failed to understand downward, almost safe bottom $16, not so seriously $10. Thanks.
    5 Mar 2014, 11:27 AM Reply Like
  • chunghk
    , contributor
    Comments (351) | Send Message
    CLF - Daily range $0.50; tomorrow range - $19.15 to $19.64; temporary range bound $19 to $20. No vivid catalysts, investors patience test. Those hoping $38 to $45 needs extra long time waiting. Maybe 2024? Thanks.
    5 Mar 2014, 08:32 PM Reply Like
DJIA (DIA) S&P 500 (SPY)
ETF Screener: Search and filter by asset class, strategy, theme, performance, yield, and much more
ETF Performance: View ETF performance across key asset classes and investing themes
ETF Investing Guide: Learn how to build and manage a well-diversified, low cost ETF portfolio
ETF Selector: An explanation of how to select and use ETFs