CLEVELAND-CLIFFS INC (CLF)
US1858991011 - Common Stock
Taking everything into account, CLF scores 4 out of 10 in our fundamental rating. CLF was compared to 155 industry peers in the Metals & Mining industry. CLF has only an average score on both its financial health and profitability. CLF is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
CLF had positive earnings in the past year.
In the past year CLF had a positive cash flow from operations.
CLF had positive earnings in 4 of the past 5 years.
Of the past 5 years CLF 4 years had a positive operating cash flow.
1.2 Ratios
CLF has a Return On Assets (1.88%) which is comparable to the rest of the industry.
With a decent Return On Equity value of 4.24%, CLF is doing good in the industry, outperforming 63.64% of the companies in the same industry.
With a Return On Invested Capital value of 3.17%, CLF perfoms like the industry average, outperforming 57.14% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for CLF is in line with the industry average of 8.75%.
The 3 year average ROIC (10.46%) for CLF is well above the current ROIC(3.17%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.88% | ||
| ROE | 4.24% | ||
| ROIC | 3.17% |
ROA(3y)7.38%
ROA(5y)12.49%
ROE(3y)22.38%
ROE(5y)83%
ROIC(3y)10.46%
ROIC(5y)11.92%
1.3 Margins
CLF has a Profit Margin (1.55%) which is in line with its industry peers.
In the last couple of years the Profit Margin of CLF has declined.
CLF has a Operating Margin of 2.73%. This is comparable to the rest of the industry: CLF outperforms 48.70% of its industry peers.
In the last couple of years the Operating Margin of CLF has declined.
Looking at the Gross Margin, with a value of 5.30%, CLF is doing worse than 63.64% of the companies in the same industry.
In the last couple of years the Gross Margin of CLF has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 2.73% | ||
| PM (TTM) | 1.55% | ||
| GM | 5.3% |
OM growth 3Y-27.26%
OM growth 5Y-15.95%
PM growth 3Y-26.66%
PM growth 5Y-21.65%
GM growth 3Y-27.67%
GM growth 5Y-15.45%
2. Health
2.1 Basic Checks
CLF has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
Compared to 1 year ago, CLF has more shares outstanding
Compared to 5 years ago, CLF has more shares outstanding
The debt/assets ratio for CLF has been reduced compared to a year ago.
2.2 Solvency
CLF has an Altman-Z score of 2.25. This is not the best score and indicates that CLF is in the grey zone with still only limited risk for bankruptcy at the moment.
The Altman-Z score of CLF (2.25) is comparable to the rest of the industry.
The Debt to FCF ratio of CLF is 2.48, which is a good value as it means it would take CLF, 2.48 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 2.48, CLF is in the better half of the industry, outperforming 76.62% of the companies in the same industry.
A Debt/Equity ratio of 0.43 indicates that CLF is not too dependend on debt financing.
With a Debt to Equity ratio value of 0.43, CLF is not doing good in the industry: 75.32% of the companies in the same industry are doing better.
Even though the debt/equity ratio score it not favorable for CLF, it has very limited outstanding debt, so we won't put too much weight on the DE evaluation.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.43 | ||
| Debt/FCF | 2.48 | ||
| Altman-Z | 2.25 |
ROIC/WACC0.4
WACC7.84%
2.3 Liquidity
CLF has a Current Ratio of 2.11. This indicates that CLF is financially healthy and has no problem in meeting its short term obligations.
CLF's Current ratio of 2.11 is on the low side compared to the rest of the industry. CLF is outperformed by 64.94% of its industry peers.
A Quick Ratio of 0.71 indicates that CLF may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.71, CLF is doing worse than 88.96% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.11 | ||
| Quick Ratio | 0.71 |
3. Growth
3.1 Past
CLF shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -85.47%.
Measured over the past years, CLF shows a very strong growth in Earnings Per Share. The EPS has been growing by 43.67% on average per year.
CLF shows a decrease in Revenue. In the last year, the revenue decreased by -5.85%.
The Revenue has been growing by 65.24% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)-85.47%
EPS 3Y32.46%
EPS 5Y43.67%
EPS growth Q2Q79.31%
Revenue 1Y (TTM)-5.85%
Revenue growth 3Y126.06%
Revenue growth 5Y65.24%
Revenue growth Q2Q-0.85%
3.2 Future
CLF is expected to show a decrease in Earnings Per Share. In the coming years, the EPS will decrease by -9.19% yearly.
Based on estimates for the next years, CLF will show a decrease in Revenue. The Revenue will decrease by -3.57% on average per year.
EPS Next Y-43.28%
EPS Next 2Y-14.04%
EPS Next 3Y-9.19%
EPS Next 5YN/A
Revenue Next Year-4.63%
Revenue Next 2Y-4.85%
Revenue Next 3Y-3.57%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
CLF is valuated quite expensively with a Price/Earnings ratio of 26.20.
Compared to the rest of the industry, the Price/Earnings ratio of CLF indicates a somewhat cheap valuation: CLF is cheaper than 61.04% of the companies listed in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 24.81, CLF is valued at the same level.
With a Price/Forward Earnings ratio of 9.46, the valuation of CLF can be described as very reasonable.
Based on the Price/Forward Earnings ratio, CLF is valued a bit cheaper than 77.92% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 19.91, CLF is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.2 | ||
| Fwd PE | 9.46 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of CLF indicates a somewhat cheap valuation: CLF is cheaper than 67.53% of the companies listed in the same industry.
93.51% of the companies in the same industry are more expensive than CLF, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 6.35 | ||
| EV/EBITDA | 7.82 |
4.3 Compensation for Growth
CLF's earnings are expected to decrease with -9.19% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)0.6
EPS Next 2Y-14.04%
EPS Next 3Y-9.19%
5. Dividend
5.1 Amount
CLF does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
CLEVELAND-CLIFFS INC
NYSE:CLF (12/6/2023, 12:20:08 PM)
17.5527
-0.18 (-1%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryMetals & Mining
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap8.86B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
Max EPS beat(4)
EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
Max Revenue beat(4)
Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.2 | ||
| Fwd PE | 9.46 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)N/A
PEG (5Y)0.6
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.88% | ||
| ROE | 4.24% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 2.73% | ||
| PM (TTM) | 1.55% | ||
| GM | 5.3% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover1.21
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.43 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 2.11 | ||
| Quick Ratio | 0.71 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
Growth
EPS 1Y (TTM)-85.47%
EPS 3Y32.46%
EPS 5Y
EPS growth Q2Q
EPS Next Y-43.28%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)-5.85%
Revenue growth 3Y126.06%
Revenue growth 5Y
Revenue growth Q2Q
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y