Cleveland-Cliffs Stock Surges As Earnings Guidance Ignites Bulls

Cleveland-Cliffs Inc. stocks have been trading up by 9.03 percent amid optimism over stronger steel demand and pricing.

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Key Takeaways

Q2 results from Cleveland-Cliffs beat Street expectations on both revenue and EPS, with EBITDA tripling sequentially and free cash flow swinging back into positive territory.
Management guided Q3 adjusted EBITDA to $575M, about double Q2’s $286M, and expects Q3–Q4 EBITDA to more than double Q2 and top 2021’s second-half levels.
The company sees over $1B of incremental EBITDA in 2027, backed by tight global steel supply, higher domestic prices, infrastructure demand, and AI-driven efficiencies via Palantir.
Shares of CLF ripped roughly 19% intraday after the Q2 beat and bullish guidance, even though the stock remains down on the year.
Leadership was tightened with Celso Goncalves promoted to President and CFO and added to the Board, while Lourenco Goncalves stays on as Chairman and CEO.

Live Update At 14:03:38 EDT: On Friday, July 24, 2026 Cleveland-Cliffs Inc. stock [NYSE: CLF] is trending up by 9.03%! Discover the key drivers behind this movement as well as our expert analysis in the detailed breakdown below.

Quick Financial Overview

Cleveland-Cliffs has turned into a momentum tape, and the numbers explain why. CLF just posted Q2 revenue of about $5.2B, edging past expectations and helping drive EBITDA to roughly three times the prior quarter. Adjusted EPS was a loss of $0.20, slightly better than the forecasted $0.22 loss — still red, but heading in the right direction.

More important for traders, CLF returned to positive free cash flow of about $73M and told the Street it expects Q3 and Q4 EBITDA to more than double Q2 and beat the second half of 2021, which was a strong period for the steel cycle. The balance sheet is heavy but manageable: leverage sits above where management wants it, yet they are targeting under 2.5x within a year and have over $2B in liquidity.

More Breaking News

On the chart, CLF has shifted from a grinder to a sprinter. The daily close jumped from $9.45 on 2026/07/22 to $10.96 on 2026/07/23, then pushed to $11.95 on 2026/07/24. Intraday five‑minute candles show controlled, stair-step buying, not a single blow-off spike — the kind of trend that short-term traders love to stalk for continuation.

Why Traders Are Watching CLF Now

Cleveland-Cliffs is giving traders something they respect: a clean story of earnings acceleration backed by hard guidance. CLF’s Q2 beat — narrower loss, stronger revenue, surging EBITDA, and a flip back to positive free cash flow — reset expectations in a single morning. The market reaction was immediate, with CLF ripping about 19% intraday after the print and guidance. That kind of move tells you shorts were leaning the wrong way and funds were under-positioned.

Management then layered on a powerful Q3 outlook. CLF guided adjusted EBITDA to $575M for Q3, roughly double Q2’s $286M. Add in expectations for higher selling prices, better shipment volumes, and lower unit costs, supported by the strongest hot-rolled coil pricing since 2022 and improving auto demand, and traders suddenly have a catalyst-rich name in a cyclical space.

The story doesn’t stop at one quarter. Cleveland-Cliffs is talking about over $1B in incremental EBITDA in 2027. Drivers include disrupted global steel supply, less attractive imports, rising domestic steel prices, and heavy demand from data centers and border projects. Non-auto fixed-price contracts reset that year from weaker prior terms, which could give CLF pricing power just as those macro tailwinds line up.

Layer on AI-driven cost savings from CLF’s partnership with Palantir, plus friendly ongoing talks with POSCO, and traders see a steel name trying to behave like a tech-enabled operator. Even the promotion of Celso Goncalves to President and CFO, while Lourenco Goncalves remains Chairman and CEO, signals continuity — the same team driving this strategy now has succession more clearly mapped out.

Conclusion

For active traders, CLF is a classic sentiment shift. Earlier this year, Cleveland-Cliffs was a laggard, carrying negative margins and a heavy debt load. Now CLF has printed a Q2 where EBITDA tripled sequentially, free cash flow turned positive, and Q3–Q4 guidance points to EBITDA more than doubling from Q2 levels and beating 2021’s strong second half. The market responded with a near 19% intraday surge, but the stock is still down year-to-date, leaving room for a continued re-rating if the company executes.

Cleveland-Cliffs says the second half of 2026 will be “substantially better” than the first, with Q4 topping Q3 and further gains into 2027. That path is supported by better steel pricing, auto and infrastructure demand, and AI-linked cost cuts. At the same time, CLF’s balance sheet remains a key watch item, even as management pushes toward leverage below 2.5x and keeps over $2B in liquidity.

For traders, the setup is simple but not easy. You have strong guidance, a clear technical breakout, and a management team tightening leadership with Celso Goncalves stepping up while strategy stays consistent. As Tim Sykes loves to remind his students, “the trend is your friend, but only if you respect your risk and cut losses fast.” And as Tim Bohen, lead trainer with StocksToTrade says, “I focus on what a stock is doing, not what I want it to do. Let the stock prove itself before you make a move.” CLF is offering a trend; the risk management part is on every trader reading this.

This is stock news, not investment advice. StocksToTrade News delivers real-time stock market updates tailored to highlight the key catalysts driving short-term price movements. Our coverage is designed for active traders and investors who thrive in fast-moving markets, with a focus on volatile sectors like penny stocks, AI stocks, Robinhood stocks and other momentum plays. From earnings reports and FDA approvals to mergers, new contracts, and unusual trading volume, we break down the events that can spark significant price action.

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