Cliffs Natural Resources Inc. Fundamental Company Report Including Financial, SWOT, Competitors and Industry Analysis

April 2024 | 50 pages | ID: C78CCD0E145BEN
BAC Reports

Abstracts

Cliffs Natural Resources Inc. Fundamental Company Report provides a complete overview of the company’s affairs. All available data is presented in a comprehensive and easily accessed format. The report includes financial and SWOT information, industry analysis, opinions, estimates, plus annual and quarterly forecasts made by stock market experts. The report also enables direct comparison to be made between Cliffs Natural Resources Inc. and its competitors. This provides our Clients with a clear understanding of Cliffs Natural Resources Inc. position in the Metals and Mining Industry.

• The report contains detailed information about Cliffs Natural Resources Inc. that gives an unrivalled in-depth knowledge about internal business-environment of the company: data about the owners, senior executives, locations, subsidiaries, markets, products, and company history.
• Another part of the report is a SWOT-analysis carried out for Cliffs Natural Resources Inc.. It involves specifying the objective of the company's business and identifies the different factors that are favorable and unfavorable to achieving that objective. SWOT-analysis helps to understand company’s strengths, weaknesses, opportunities, and possible threats against it.
• The Cliffs Natural Resources Inc. financial analysis covers the income statement and ratio trend-charts with balance sheets and cash flows presented on an annual and quarterly basis. The report outlines the main financial ratios pertaining to profitability, margin analysis, asset turnover, credit ratios, and company’s long-term solvency. This sort of company's information will assist and strengthen your company’s decision-making processes.
• In the part that describes Cliffs Natural Resources Inc. competitors and the industry in whole, the information about company's financial ratios is compared to those of its competitors and to the industry. The unique analysis of the market and company’s competitors along with detailed information about the internal and external factors affecting the relevant industry will help to manage your business environment. Your company’s business and sales activities will be boosted by gaining an insight into your competitors’ businesses.
• Also the report provides relevant news, an analysis of PR-activity, and stock price movements. The latter are correlated with pertinent news and press releases, and annual and quarterly forecasts are given by a variety of experts and market research firms. Such information creates your awareness about principal trends of Cliffs Natural Resources Inc. business.

About Cliffs Natural Resources Inc.

Cliffs Natural Resources Inc. operates as a mining and natural resources company worldwide. The company produces iron ore pellets in North America, supplies direct-shipping lump and fines iron ore out of Australia, and produces metallurgical coal.

Business Segments

The company’s operations are organized according to product category and geographic location: North American Iron Ore, North American Coal, Asia Pacific Iron Ore, Asia Pacific Coal, and Latin American Iron Ore.

North American Iron Ore

The company produces iron ore pellets in North America and primarily sells its production to integrated steel companies in the United States and Canada. It manages and operates six North American iron ore mines located in Michigan, Minnesota, and eastern Canada that have an annual rated capacity of 38.1 million tons of iron ore pellet production. The company sells its share of North American iron ore production to integrated steel producers, generally pursuant to term supply agreements with various price adjustment provisions. For the year ended December 31, 2009, the company produced a total of 19.6 million tons of iron ore pellets, including 17.1 million tons for its account and 2.5 million tons on behalf of steel company owners of the mines.

The company produces 13 grades of iron ore pellets, including standard, fluxed and high manganese, for use in its customers’ blast furnaces as part of the steelmaking process. Each of its North American Iron Ore mines is located near the Great Lakes or, in the case of Wabush, near the St. Lawrence Seaway, which is connected to the Great Lakes. The majority of its iron ore pellets are transported via railroads to loading ports for shipment via vessel to steelmakers in the U.S. or Canada.

North American Coal

The company owns and operates two North American coking coal mining complexes located in West Virginia and Alabama that have a rated capacity of 5.5 million short tons of production annually. North American Coal’s production is sold to global integrated steel and coke producers in Europe, Latin America, and North America.

Asia Pacific Iron Ore

The company’s Asia Pacific Iron Ore operations are located in western Australia and include its 100 percent owned Koolyanobbing complex and its 50 percent equity interest in Cockatoo Island. The company serves the Asian iron ore markets with direct-shipping fines and lump ore. These two operations supply a total of four direct-shipping export products to Asia via the global seaborne trade market. Koolyanobbing produces a standard lump and fines product, as well as a low grade fines product. Cockatoo Island produces and exports a single premium fines product. The lump products are directly fed to the blast furnace, while the fines products are used as sinter feed. Koolyanobbing is a collective term for the operating deposits at Koolyanobbing, Mount Jackson and Windarling. Blending is undertaken at Koolyanobbing, where the crushing and screening plant is located. Cockatoo Island is located off the Kimberley coast of Western Australia, approximately 1,200 miles north of Perth. Cockatoo Island produces a single high iron product known as Cockatoo Island Premium Fines. Asia Pacific Iron Ore’s production is under contract with steel companies in China and Japan.

Investments

In addition to its reportable business segments, the company is partner to various projects, including Amapa in Brazil and Sonoma in Australia, which comprise its Latin American Iron Ore and Asia Pacific Coal operating segments, respectively.

Amapa: The company is a 30 percent minority interest owner in Amapa, which consists of an iron ore deposit, a 120-mile railway connecting the mine location to an existing port facility and 71 hectares of real estate on the banks of the Amazon River, reserved for a loading terminal.

Sonoma: The company owns a 45% economic interest in Sonoma, located in Queensland, Australia. Production would include an approximate 65/35 mix of thermal and metallurgical grade coal. Sonoma has economically recoverable reserves of 47 million tonnes.

Customers

The company's major customers include ArcelorMittal USA; Algoma; and Severstal.

Acquisitions

In January 2010, the company acquired Freewest Resources Canada Inc., which holds interests in the Ring of Fire properties, which comprise three premier chromite deposits in Ontario, Canada.

Competition

North America: The company compete directly with the Iron Ore Company of Canada as well as steel companies that own interests in iron ore mines, including ArcelorMittal Mines Canada and U.S. Steel. In the coal industry, its North American Coal business segment competes with various metallurgical coal producers of various sizes, including Alpha Natural Resources, Inc.; Patriot Coal Corporation; CONSOL Energy Inc.; Arch Coal, Inc.; Massey Energy Company; Jim Walter Resources, Inc.; Peabody Energy Corp.; United Coal Group Company; and other producers located in North America and globally. In the North American coal industry, the company competes with CONSOL; Massey; Peabody; Alpha; and Alliance Resource Partners.

The Asia Pacific: In the Asia Pacific marketplace, the company competes with major iron ore exporters from Australia, Brazil, and India, including Anglo American, Vale, Rio Tinto, BHP Billiton, and Fortescue Metals Group Ltd. The Sonoma Coal Project competes with other global metallurgical and thermal coal producers, including Anglo American, Rio Tinto, BHP Billiton, Macarthur Coal, Teck Cominco, and Xstrata.

History

Cliffs Natural Resources Inc was founded in 1847.

The above Company Fundamental Report is a half-ready report and contents are subject to change.
It means that we have all necessary data in our database to prepare the report but need 2-3 days to complete it. During this time we are also updating the report with respect to the current moment. So, you can get all the most recent data available for the same price. Please note that preparation of additional types of analyses requires extra time.

Contents

RESEARCH METHODOLOGY

DISCLAIMER

1. CLIFFS NATURAL RESOURCES INC. COMPANY PROFILE

1.1. Key facts
1.2. Financial Performance
1.3. Key Executives
1.4. Ownership and Major Holders
1.5. Company History

2. CLIFFS NATURAL RESOURCES INC. BUSINESS OVERVIEW

2.1. Business Description
2.2. Major Products and Services
2.3. Markets and Sales Activities
2.4. Locations, Subsidiaries, Operating Units

3. CLIFFS NATURAL RESOURCES INC. SWOT ANALYSIS

3.1. Overview
3.2. Strengths
3.3. Weaknesses
3.4. Opportunities
3.5. Threats

4. CLIFFS NATURAL RESOURCES INC. FINANCIAL ANALYSIS

4.1. Financial Statements
4.1.1. Income Statement
4.1.2. Balance Sheet
4.1.3. Cash Flow
4.2. Financial Ratios
4.2.1. Profitability
4.2.2. Margin Analysis
4.2.3. Asset Turnover
4.2.4. Credit Ratios
4.2.5. Long-Term Solvency
4.2.6. Growth Over Prior Year
4.2.7. Financial Ratios Charts
4.3. Stock Market Snapshot

5. CLIFFS NATURAL RESOURCES INC. COMPETITORS AND INDUSTRY ANALYSIS

5.1. Cliffs Natural Resources Inc. Direct Competitors
5.2. Comparison of Cliffs Natural Resources Inc. and Direct Competitors Financial Ratios
5.3. Comparison of Cliffs Natural Resources Inc. and Direct Competitors Stock Charts
5.4. Cliffs Natural Resources Inc. Industry Analysis
5.4.1. Metals and Mining Industry Snapshot
  5.4.2. Cliffs Natural Resources Inc. Industry Position Analysis

6. CLIFFS NATURAL RESOURCES INC. NEWS & EVENTS

6.1. News & PR Activity Analysis
6.2. IR Corporate News
6.3. Marketing News
6.4. Corporate Events

7. CLIFFS NATURAL RESOURCES INC. EXPERTS REVIEW¹

7.1. Experts Consensus
7.2. Experts Revisions

8. CLIFFS NATURAL RESOURCES INC. ENHANCED SWOT ANALYSIS²

9. UNITED STATES PESTEL ANALYSIS²

9.1. Political Factors
9.2. Economic Factors
9.3. Social Factors
9.4. Technological Factors
9.5. Environmental Factors
9.6. Legal Factors

10. CLIFFS NATURAL RESOURCES INC. IFE, EFE, IE MATRICES²

10.1. Internal Factor Evaluation Matrix
10.2. External Factor Evaluation Matrix
10.3. Internal External Matrix

11. CLIFFS NATURAL RESOURCES INC. PORTER FIVE FORCES ANALYSIS²

12. CLIFFS NATURAL RESOURCES INC. VRIO ANALYSIS²

APPENDIX: RATIO DEFINITIONS

LIST OF FIGURES

Cliffs Natural Resources Inc. Annual Revenues in Comparison with Cost of Goods Sold and Gross Profit
Profit Margin Chart
Operating Margin Chart
Return on Equity (ROE) Chart
Return on Assets (ROA) Chart
Debt to Equity Chart
Current Ratio Chart
Cliffs Natural Resources Inc. 1-year Stock Charts
Cliffs Natural Resources Inc. 5-year Stock Charts
Cliffs Natural Resources Inc. vs. Main Indexes 1-year Stock Chart
Cliffs Natural Resources Inc. vs. Direct Competitors 1-year Stock Charts
Cliffs Natural Resources Inc. Article Density Chart

1 – Data availability depends on company’s security policy.
2 – These sections are available only when you purchase a report with appropriate additional types of analyses.
The complete financial data is available for publicly traded companies.

List Of Tables

LIST OF TABLES

Cliffs Natural Resources Inc. Key Facts
Profitability
Management Effectiveness
Income Statement Key Figures
Balance Sheet Key Figures
Cash Flow Statement Key Figures
Financial Performance Abbreviation Guide
Cliffs Natural Resources Inc. Key Executives
Cliffs Natural Resources Inc. Major Shareholders
Cliffs Natural Resources Inc. History
Cliffs Natural Resources Inc. Products
Revenues by Segment
Revenues by Region
Cliffs Natural Resources Inc. Offices and Representations
Cliffs Natural Resources Inc. SWOT Analysis
Yearly Income Statement Including Trends
Income Statement Latest 4 Quarters Including Trends
Yearly Balance Sheet Including Trends
Balance Sheet Latest 4 Quarters Including Trends
Yearly Cash Flow Including Trends
Cash Flow Latest 4 Quarters Including Trends
Cliffs Natural Resources Inc. Profitability Ratios
Margin Analysis Ratios
Asset Turnover Ratios
Credit Ratios
Long-Term Solvency Ratios
Financial Ratios Growth Over Prior Year
Cliffs Natural Resources Inc. Capital Market Snapshot
Cliffs Natural Resources Inc. Direct Competitors Key Facts
Direct Competitors Profitability Ratios
Direct Competitors Margin Analysis Ratios
Direct Competitors Asset Turnover Ratios
Direct Competitors Credit Ratios
Direct Competitors Long-Term Solvency Ratios
Metals and Mining Industry Statistics
Cliffs Natural Resources Inc. Industry Position
Company vs. Industry Income Statement Analysis
Company vs. Industry Balance Sheet Analysis
Company vs. Industry Cash Flow Analysis
Company vs. Industry Ratios Comparison
Cliffs Natural Resources Inc. Consensus Recommendations¹
Analyst Recommendation Summary¹
Price Target Summary¹
Experts Recommendation Trends¹
Revenue Estimates Analysis¹
Earnings Estimates Analysis¹
Historical Surprises¹
Revenue Estimates Trend¹
Earnings Estimates Trend¹
Revenue Revisions¹

ANALYSIS FEATURES

SWOT Analysis

SWOT, which stands for Strengths, Weaknesses, Opportunities and Threats, is an analytical framework that identifies the internal and external factors that are favorable and unfavorable for a company.

Enhanced SWOT Analysis

Enhanced SWOT is a 3×3 grid that arranges strengths, weaknesses, opportunities and threats into one scheme:

• How to use the strengths to take advantage of the opportunities?
• How to use the strengths to reduce likelihood and impact of the threats?
• How to overcome the weaknesses that obstruct taking advantage of the opportunities?
• How to overcome the weaknesses that can make the threats a reality?

Upon answering these questions a company can develop a project plan to improve its business performance.

PESTEL Analysis

PESTEL (also termed as PESTLE) is an ideal tool to strategically analyze what influence different outside factors – political, economic, sociocultural, technological, environmental and legal – exert on a business to later chart its long term targets.

Being part of the external analysis when carrying out a strategic assessment or performing a market study, PESTEL gives an overview of diverse macro-environmental factors that any company should thoughtfully consider. By perceiving these outside environments, businesses can maximally benefit from the opportunities while minimizing the threats to the organization.

Key Factors Examined by PESTEL Analysis:

• Political – What opportunities and pressures are brought by political bodies and what is the degree of public regulations’ impact on the business?
• Economic – What economic policies, trends and structures are expected to affect the organization, what is this influence’s degree?
• Sociological – What cultural and societal aspects will work upon the demand for the business’s products and operations?
• Technological – What impact do the technological aspects, innovations, incentives and barriers have on the organization?
• Environmental – What environmental and ecological facets, both locally and farther afield, are likely to predetermine the business?
• Legal – What laws and legislation will exert influence on the style the business is carried out?

IFE, EFE, IE Matrices

The Internal Factor Evaluation matrix (IFE matrix) is a strategic management tool helping audit or evaluate major weaknesses and strengths in a business’s functional areas. In addition, IFE matrix serves as a basis for identifying and assessing relationships amongst those areas. The IFE matrix is utilised in strategy formulation.

The External Factor Evaluation matrix (EFE matrix) is a tool of strategic management that is typically utilised to assess current market conditions. It is an ideal instrument for visualising and prioritising the threats and opportunities a firm is facing.

The essential difference between the above mentioned matrices lies in the type of factors incorporated in the model; whilst the latter is engaged in internal factors, the former deals exceptionally with external factors – those exposed to social, political, economic, legal, etc. external forces.

Being a continuation of the EFE matrix and IFE matrix models, the Internal External matrix (IE matrix) rests upon an investigation of external and internal business factors integrated into one suggestive model.

Porter Five Forces Analysis

The Porter’s five forces analysis studies the industry of operation and helps the company find new sources of competitive advantage. The analysis surveys an industry through five major questions:

1. What composes a threat of substitute products and services?
2. Is there a threat of new competitors entering the market?
3. What is the intensity of competitive rivalry?
4. How big is the bargaining power of buyers?
5. How significant is the bargaining power of suppliers?

VRIO Analysis

VRIO stands for Value, Rarity, Imitability, Organization. This analysis helps to evaluate all company’s resources and capabilities and bring them together into one aggregate table that includes:

• Tangible resources
  • Financial
  • Physical
  • Technological
  • Organizational
• Intangible resources
  • Human
  • Innovation and Creativity
  • Reputation
• Organizational capabilities

The result of the analysis gives a clear picture of company’s competitive and economic implications, answering the questions if the resources mentioned above are:

• Valuable?
• Rare?
• Costly to imitate?
• Organized properly?