4-Star Mining Stocks Poised to Pop: Cliffs Natural Resources
Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, iron-ore miner Cliffs Natural Resources (NYS: CLF) has earned a respected four-star ranking.
With that in mind, let's take a closer look at Cliffs and see what CAPS investors are saying about the stock right now.
Cliffs facts
Headquarters (founded) | Cleveland (1847) |
Market Cap | $5.2 billion |
Industry | Steel |
Trailing-12-Month Revenue | $6.2 billion |
Management | Chairman/CEO Joseph Carrabba CFO Terrance Paradie |
Return on Equity (average, past 3 years) | 25.8% |
Cash / Debt | $36.3 million / $3.9 billion |
Dividend Yield | 6.9% |
Competitors | Alpha Natural Resources (NYS: ANR) CONSOL Energy (NYS: CNX) Peabody Energy (NYS: BTU) |
Sources: S&P Capital IQ and Motley Fool CAPS.
On CAPS, 96% of the 1,559 members who have rated Cliffs believe the stock will outperform the S&P 500 going forward.
Just a few weeks ago, one of those Fools, DrGoldin, highlighted Cliffs as a rather solid bargain opportunity:
I understand that iron-ore prices are under pressure. I understand that the company isn't particularly well-diversified. I also see that their dividend yield is over 6% and their payout ratio is tiny. And China is not CRASHING; it's just slowing down. [Cliffs] has repeated that the dividend is safe, and I really don't see much danger. So why on earth is this not a buy at these prices? I'm getting hammered right now because I made my buy call a touch early, but in the long run I don't think it's going to matter much.
If you want market-thumping returns, you need to put together the best portfolio you can. Of course, despite a strong four-star rating, Cliffs may not be your top choice.
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The article 4-Star Mining Stocks Poised to Pop: Cliffs Natural Resources originally appeared on Fool.com.
Fool contributor Brian Pacampara has no positions in the stocks mentioned above. The Motley Fool has no positions in the stocks mentioned above. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.
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