Cliffs Natural Resources
The 10-second takeaway
For the quarter ended Dec. 31 (Q4), Cliffs Natural Resources missed slightly on revenues and missed estimates on earnings per share.
Compared to the prior-year quarter, revenue dropped and GAAP earnings per share dropped to a loss.
Margins dropped across the board.
Cliffs Natural Resources logged revenue of $1.54 billion. The 14 analysts polled by S&P Capital IQ anticipated revenue of $1.56 billion on the same basis. GAAP reported sales were 7.6% lower than the prior-year quarter's $1.66 billion.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
EPS came in at $0.41. The 21 earnings estimates compiled by S&P Capital IQ predicted $0.55 per share. GAAP EPS were -$11.36 for Q4 compared to $1.39 per share for the prior-year quarter.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 15.5%, 1,420 basis points worse than the prior-year quarter. Operating margin was 5.2%, 1,480 basis points worse than the prior-year quarter. Net margin was -105.4%, 11,730 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $1.08 billion. On the bottom line, the average EPS estimate is $0.33.
Next year's average estimate for revenue is $5.43 billion. The average EPS estimate is $3.18.
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 1,523 members out of 1,584 rating the stock outperform, and 61 members rating it underperform. Among 342 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 329 give Cliffs Natural Resources a green thumbs-up, and 13 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Cliffs Natural Resources is hold, with an average price target of $42.44.
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