Latest news with #LaFemina
Business Insider
22-07-2025
- Business
- Business Insider
Jefferies Sticks to Their Hold Rating for Cleveland-Cliffs (CLF)
Jefferies analyst Chris LaFemina maintained a Hold rating on Cleveland-Cliffs today and set a price target of $11.00. The company's shares closed today at $10.66. Elevate Your Investing Strategy: Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence. Make smarter investment decisions with TipRanks' Smart Investor Picks, delivered to your inbox every week. According to TipRanks, LaFemina is a 4-star analyst with an average return of 5.8% and a 49.02% success rate. LaFemina covers the Basic Materials sector, focusing on stocks such as Glencore, Cleveland-Cliffs, and Anglo American. Currently, the analyst consensus on Cleveland-Cliffs is a Hold with an average price target of $10.05, implying a -5.72% downside from current levels. In a report released today, Citi also maintained a Hold rating on the stock with a $11.00 price target. Based on Cleveland-Cliffs' latest earnings release for the quarter ending March 31, the company reported a quarterly revenue of $4.63 billion and a GAAP net loss of $495 million. In comparison, last year the company earned a revenue of $5.2 billion and had a GAAP net loss of $67 million Based on the recent corporate insider activity of 36 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of CLF in relation to earlier this year. Most recently, in May 2025, James D. Graham, the EVP Chief Legal Admin & Sec of CLF sold 120,000.00 shares for a total of $822,000.00.
Yahoo
04-07-2025
- Business
- Yahoo
Jefferies Raise Franco-Nevada (FNV) PT, Keeps Hold Rating
Franco-Nevada Corporation (NYSE:FNV) is one of the 10 Best Gold Stocks To Buy Right Now. On May 28, Jefferies analyst Christopher LaFemina raised the price target on Franco-Nevada Corporation (NYSE:FNV) to $171 from $169 and kept a 'Hold' rating. This adjustment came after a detailed review of Franco-Nevada Corporation's (NYSE:FNV) recent $1 billion acquisition of the Cote Gold royalty and other factors that could affect the company's financial model. An aerial view of a large gold mine showing the extensive activity of natural resource extraction. The analyst pointed out that investors responded positively to the Cote Gold acquisition because of its large size. Deals of this size are rare in the royalty or streaming business. Additionally, the deal is generating cash flow and there is potential for exploration and throughput increases in the future. However, the feedback for investors did bring about some concerns about the cost of this deal. LaFemina's analysis of net present value (NPV) and internal rate of return (IRR) suggests that Franco-Nevada Corporation (NYSE:FNV) may have paid too much for this deal. Franco-Nevada Corporation (NYSE:FNV) is a leading gold-focused royalty and streaming company that is based in Canada. While we acknowledge the potential of FNV as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock. READ NEXT: 11 Stocks That Will Bounce Back According To Analysts and 11 Best Stocks Under $15 to Buy According to Hedge Funds. Disclosure: None.
Yahoo
29-05-2025
- Automotive
- Yahoo
Jefferies Downgrades Cleveland-Cliffs on US Steel Competition Concern
On May 28, Jefferies analyst Christopher LaFemina downgraded Cleveland-Cliffs Inc. (NYSE:CLF) to a 'Hold' from a 'Buy.' The analyst also cut the price target to $6 from $10. The downgrade comes as the stock tanked 39% year to date, an underperformance that has seen it trade close to a 52-week-low. An experienced day trader at a modern trading workstation, looking intently at changing stock prices and reviewing portfolios. Additionally, the downgrade and price adjustment underscore' Jefferies' concerns over the potential impact of significant investment in the US Steel sector. Nippon has proposed a $14 billion investment in US Steel's operations. LaFemina has warned that investments in US steel could hurt other steel producers. Given its high leverage, Cleveland Cliffs is the most susceptible to changes in US Steel pricing. Consequently, the Jefferies analyst insists the company's outlook remains uncertain, given increased competition in the market. The report does not specify when changes in the steel market will happen, but Jefferies expects Nippon's investment to have long-term effects. Cleveland-Cliffs' stock price could be impacted as investors react to higher industry investment and capacity. The company has a debt-to-equity ratio of 1.22, and analysts predict a loss of $2.20 per share in 2025. The company delivered first-quarter 2025 results that missed estimates. It posted a net loss per share of $0.92, wider than the expected loss per share of $0.67. Revenue in the quarter totaled $4.63 billion, below the $4.68 million that analysts predicted. Following the wider-than-expected net loss, Cleveland Cliffs has started taking steps to return to profitability. It has already idled non-core assets and considers asset sales to generate value. The company plans to restart one of its blast furnaces in 2026 to meet automotive steel demand. Cleveland-Cliffs is a steel producer known for its flat-rolled steel and focus on the automotive industry. It is involved in mining iron ore to produce finished steel products like sheet steel and other vehicle components. While we acknowledge the potential of Cleveland-Cliffs Inc. (NYSE:CLF) as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than CLF and that has 100x upside potential, check out our report about the cheapest AI stock. READ NEXT: and. Disclosure: None. Sign in to access your portfolio
Yahoo
29-05-2025
- Business
- Yahoo
Jefferies lowers Cleveland-Cliffs rating on high exposure to steel price changes
-- Jefferies downgraded Cleveland-Cliffs (NYSE:CLF) to Hold from Buy, citing growing risks tied to steel price volatility and an increasingly uncertain outlook for the U.S. steel market following Nippon Steel's (TYO:5401) $14 billion investment commitment into United States Steel Corporation (NYSE:X). The brokerage firm also cut its price target on the stock to $6 from $10, just 1% above recent trading levels. Jefferies said the green-lighted deal between Nippon and U.S. Steel, more investment from Nippon into the industry than initially anticipated, and the prospect of foreign producers expanding U.S. capacity to gain tariff-free access could weaken the steel market outlook. In this environment, Cleveland-Cliffs stands out due to its high exposure to finished steel prices. 'Cliffs is most leveraged to changes in finished steel prices,' Jefferies analyst Christopher LaFemina emphasized. The company operates high fixed cost blast furnace assets and holds nearly $8 billion in net debt, which amplifies its sensitivity to price shifts. While current spot prices allow for free cash flow generation and debt reduction, LaFemina noted that 'the risk is just too high to justify a Buy rating at present.' The analyst warned that the surge in Nippon's capital spending—expected to total $14 billion over just 14 months—could significantly impact medium-term steel fundamentals by increasing volumes and lowering production costs. That, combined with already subdued infrastructure-driven demand and growing supply, puts downward pressure on steel price forecasts. Despite these concerns, LaFemina acknowledged potential upside from political developments or a sustained rebound in steel prices, stating that 'this leverage is a double-edged sword.' He also adjusted its estimates to reflect a more prolonged impact of tariffs on Stelco (TSX:STLC) sales, a factor further clouding Cliffs' near-term outlook. Jefferies had initially expected a more modest $3 billion investment from Nippon into aging blast furnaces. The revised plan, which now includes building a new steel mill, suggests a more aggressive capacity expansion that could shift the supply landscape. The expected $14 billion investment "would leave ~$10bn to be invested in U.S. Steel's current operations, which would likely negatively affect medium-term steel market fundamentals as it could lead to higher volumes and lower costs,' LaFemina continued. Tariffs may offer some near-term support, but the longer-term pricing outlook now tilts slightly to the downside, he added. Related articles Jefferies lowers Cleveland-Cliffs rating on high exposure to steel price changes TSX lower after NVIDIA earnings and Trump tariff blockage JPMorgan: Macy's is a share gainer in a volatile consumer environment Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
27-05-2025
- Business
- Yahoo
Jeffries Downgrades United States Steel (X) to Hold, Lifts PT
On Monday, May 26, Jefferies analyst Chris LaFemina downgraded his rating on United States Steel Corp. (NYSE:X) to Hold from Buy after President Trump approved a potential partnership between the company and Nippon Steel Corp. (OTC:NPSCY). LaFemina also raised his price target from $50 to $55, the price that Nippon agreed to pay in the event of a complete takeover. United States Steel's share price rallied 21% on Friday, May 23, as the market appears to be already factoring in a potential acquisition by Nippon. However, LaFemina believes the agreement's details remain vague, and he finds it prudent to stay on the sidelines until more specifics are confirmed. He also noted that the deal could take a complex partnership structure, potentially delivering far less value to shareholders than a complete merger. His conservative stance appears justified considering the stock has already approached the offer price, and the upside seems limited. A steel coil being loaded into a facility for further processing and distribution. It should be noted that the original deal dates back to December 18, 2023, when Nippon Steel announced its agreement to acquire United States Steel in an all-cash transaction at $55 per share. The offer represented a 40% premium and valued the company at a total enterprise value of $14.9 billion. At the time, the transaction was expected to be closed by Q3 2024 after necessary approvals. However, the Biden administration blocked it due to national security concerns and labor unions' pressure. The deal is now expected to generate at least 70,000 jobs and domestic investment of $14 billion. President Trump is scheduled to visit U.S. Steel's Pittsburgh plant on May 30, when more deal details could emerge. United States Steel Corporation (NYSE:X) is a leading steel manufacturer with operations in the United States of America and Central Europe. It has an annual raw steel production capability of 25.4 million net tons (20.4 million tons in North America and 5.0 million tons in Europe). While we acknowledge the potential of X as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than X and that has 100x upside potential, check out our report about the cheapest AI stock. READ NEXT: The Best and Worst Dow Stocks for the Next 12 Months and 10 Unstoppable Stocks That Could Double Your Money. Disclosure: None. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
