On Friday, Cleveland-Cliffs stock earned an upgrade to its Relative Strength (RS) Rating, from 78 to 83. The steel producer announced last week it's raising prices again for all carbon hot rolled, cold rolled and coated steel products. The base price for hot rolled steel is now $1,000 per net ton.
When looking for the best stocks to buy and watch, one factor to watch closely is relative price strength.
IBD's proprietary RS Rating identifies market leadership by using a 1 (worst) to 99 (best) score that indicates how a stock's price action over the trailing 52 weeks matches up against that of all other stocks.
Decades of market research reveals that the best stocks often have an RS Rating north of 80 in the early stages of their moves.
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Is Cleveland-Cliffs Stock A Buy?
While it's not currently an ideal time to jump in, see if the steel producer stock manages to form a chart pattern and break out. Read "Looking For The Next Big Stock Market Winners? Start With These 3 Steps" for more tips.
Top and bottom line growth moved higher in the company's most recent quarter. Earnings were up 86%, compared to -48% in the prior report. Revenue increased from -6% to -1%.
Cleveland-Cliffs stock holds the No. 6 rank among its peers in the Steel-Producers industry group. Grupo Simec ADR and TERNIUM ADR are also among the group's highest-rated stocks.
