Cleveland-Cliffs Inc. Sees Surge in Stock Performance Amid Strong Earnings and Strategic Moves

In a remarkable week for Cleveland-Cliffs Inc., the materials company based in Cleveland, Ohio, has experienced a significant uptick in its stock performance, driven by a series of positive financial reports and strategic developments. As of July 23, 2025, the company’s shares have seen a notable rise, reflecting investor confidence and a promising outlook for the future.

Strong Earnings Report and Analyst Upgrades

The catalyst for the recent surge in Cleveland-Cliffs’ stock price was a stronger-than-expected earnings report. On July 23, the company’s shares jumped 7.6% following the announcement, with trading peaking at $11.96 and closing at $11.47. This performance exceeded market expectations, with the company reporting a non-GAAP loss per share of $0.50, better than the anticipated loss of $0.71 for Q2 2025. Despite the results remaining in the negative, the improvement was enough to boost investor sentiment.

Adding to the positive momentum, Cleveland-Cliffs’ IBD Relative Strength Rating rose to 76, indicating a strong price performance. This upgrade, coupled with a price target upgrade from KeyBanc, contributed to a 12.45% jump in the stock on July 22. Analysts have been optimistic, with KeyBanc upgrading Cleveland-Cliffs to “Overweight,” further fueling the rally.

Revenue Exceeds Estimates

The company’s revenue also topped estimates, reinforcing the positive outlook. This financial strength has been a key factor in the stock’s upward trajectory, as investors respond to the company’s ability to outperform in a challenging market environment.

Strategic Initiatives and Market Positioning

Cleveland-Cliffs has been proactive in addressing market challenges and positioning itself for future growth. The company has been riding the wave of cost cuts and benefiting from Trump-era tariffs, which have contributed to a stronger financial outlook. Additionally, Cleveland-Cliffs is eyeing billions from asset sales, as it considers selling non-core assets to streamline operations and focus on its core competencies in manufacturing custom-made pellets, hot briquetted iron (HBI), and various steel products.

The company’s CEO has also been vocal about the need for protective measures against steel imports, calling on Canada to build a “wall of protection.” This stance highlights Cleveland-Cliffs’ commitment to safeguarding its market position and ensuring long-term sustainability.

Market Activity and Investor Interest

The recent financial performance and strategic initiatives have sparked unusual options trading activity. On July 23, investors acquired 63,119 call options on Cleveland-Cliffs, marking a 20% increase compared to the average volume. This heightened interest underscores the market’s optimism about the company’s future prospects.

Conclusion

Cleveland-Cliffs Inc. has demonstrated resilience and strategic acumen in navigating the metals and mining sector. With strong earnings, strategic asset sales, and a proactive approach to market challenges, the company is well-positioned for continued growth. As investor confidence grows, Cleveland-Cliffs’ stock is likely to remain a focal point for those looking to capitalize on the company’s promising trajectory.