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Another day, another new 52-week low for Cliffs Natural Resources (CLF -7.2%) after Goldman...

Another day, another new 52-week low for Cliffs Natural Resources (CLF -7.2%) after Goldman Sachs cut its price target to $20 from $24. CLF has more problems than just weak iron ore prices, the firm says, most notably the inability to control costs at its Bloom Lake mine. Yesterday, BAML cut its price target to $25, and shares plunged through BAML's barrier before the report's ink was dry.
Comments (4)
  • Is Goldman Sachs buying (RIO) and (CLF) following downgrades?

     

    Think it isn't possible?

     

    They rated (NOK) a "sell" while they were buying some 60M shares.
    19 Mar 2013, 12:13 PM Reply Like
  • My biggest concern, as shareholder, is why senior management is dumping their stock at such low valuations. They obviously know something we don't. But, then again, these are the same Darwin award winners that made acquisitions at record high prices then had to write them down by $1 billion. Perhaps, their valuation of their own company is a great contrarian signal!
    19 Mar 2013, 03:40 PM Reply Like
  • Goldman forecast average seaborne iron ore price 62% fe at $136/dry metric ton.
    That price level is inconsistent with lowering the price target for CLF to $20..

     

    CLF could make as much as $3.50 - $ 4.0 if iron ore price remains at $136 !
    19 Mar 2013, 03:40 PM Reply Like
  • Time will only tell if I have any brains or not because I smelled something BAD WRONG when the company announced that dividend. Didnt make sense to me at all. I smelled mismanagement and now goldman finally is probably thinking same thing although not coming right out and saying it. Cant believe I was the only one at the time. No one called it out. Only now they are smelling something besides china?
    21 Mar 2013, 02:00 PM Reply Like
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