Two brokers have downgraded Atlas Iron in the wake of its very disappointing earnings results

Two brokers have downgraded Atlas Iron in the wake of its very disappointing earnings results. Both CIMB Securities and Citi have downgraded the stock to Neutral from Buy or Outperform. The brokers noted that this was one of the biggest misses for results, with lower earnings and higher costs especially in exploration leading to a lower value for the company. Furthermore, getting access to Fortescue's rail infrastructure looks even more unlikely now creating additional headaches for the company trying to find infrastructure options to carry its product.