FBR Capital Markets reiterates an'Outperform' rating and $81 price target on Cliffs Natural Resources (NYSE: CLF) even withthe macro concerns in Europe and China.

The firm says, "While we doacknowledge further downside risks, given the ongoing uncertainty in the equitymarkets, we believe that long-term investors should start looking at the nameand be opportunistic in building positions during pullbacks, as we continue tosee a tight seaborne iron ore market through 2011."

Yesterday, CLFannounced that it intends to make takeover bids to acquire KWG Resources,Inc. (TSXV: KWG) for C$100M and Spider Resources, Inc. (TSXV: SPQ) for C$86M on100% bases.

FBR is increasing its 2010 EPS estimates for CLF from $5.33to $7.85 and 2011 EPS estimates from $6.68 to $8.30 to reflect an increased ironore price deck.

To see all the upgrades/downgrades on shares of CLF,visit our AnalystRatings page.

Cliffs Natural ResourcesInc., a mining and natural resources company, produces iron ore pellets, lumpand fines iron ore, and metallurgical coal.

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