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CLF Stock Analysis - CLEVELAND-CLIFFS INC. AI Rating

CLF NYSE Metal Mining OH CIK: 0000764065
Recently Updated • Analysis: Mar 22, 2026 • SEC Data: 2025-12-31
AI Rating
STRONG SELL
92% Confidence

📊 CLF Key Takeaways

Revenue: $18.6B
Net Margin: -7.9%
Free Cash Flow: $-1.0B
Current Ratio: 1.95x
Debt/Equity: 1.19x
EPS: $-2.91
AI Rating: STRONG SELL with 92% confidence

Investment Thesis

Cleveland-Cliffs faces severe operational distress with negative net income of $1.5B, negative operating cash flow of $462M, and deteriorating profitability across all margins despite stable revenue. The company is burning cash with negative free cash flow of $1.0B while carrying substantial debt of $7.3B against minimal cash reserves of $57M, creating acute financial stress. Negative interest coverage and weakening fundamentals indicate the company is struggling to service debt and fund operations without further financial deterioration.

CLF Strengths

  • + Adequate current ratio of 1.95x provides near-term liquidity buffer for operations
  • + Stable revenue base of $18.6B demonstrates market presence in metal mining sector
  • + Gross profit of $575.7M shows some underlying operational contribution before overhead

CLF Risks

  • ! Massive operating loss of $1.6B and net loss of $1.5B signal fundamental operational breakdown
  • ! Negative free cash flow of $1.0B with only $57M cash on hand creates critical solvency risk
  • ! High leverage with debt-to-equity of 1.19x and negative interest coverage of -11.2x indicates inability to service debt from operations
  • ! Negative ROE of -24.2% and ROA of -7.4% demonstrate value destruction for shareholders
  • ! Operating cash flow negative at -$462M while still requiring $561M in capital expenditures

Key Metrics to Watch

CLF Financial Metrics

Revenue
$18.6B
Net Income
$-1.5B
EPS (Diluted)
$-2.91
Free Cash Flow
$-1.0B
Total Assets
$20.0B
Cash Position
$57.0M

💡 AI Analyst Insight

CLEVELAND-CLIFFS INC. presents a mixed fundamental picture. Review the detailed metrics above to form your own investment thesis.

CLF Profitability Ratios

Gross Margin 3.1%
Operating Margin -8.5%
Net Margin -7.9%
ROE -24.2%
ROA -7.4%
FCF Margin -5.5%

CLF vs Default Sector

How CLEVELAND-CLIFFS INC. compares to Default sector averages

Net Margin
CLF -7.9%
vs
Sector Avg 12.0%
CLF Sector
ROE
CLF -24.2%
vs
Sector Avg 15.0%
CLF Sector
Current Ratio
CLF 1.9x
vs
Sector Avg 1.8x
CLF Sector
Debt/Equity
CLF 1.2x
vs
Sector Avg 0.7x
CLF Sector

Sector benchmarks are approximate industry averages. Actual sector performance may vary.

CLF Balance Sheet & Liquidity

Current Ratio
1.95x
Quick Ratio
0.50x
Debt/Equity
1.19x
Debt/Assets
68.4%
Interest Coverage
-11.18x
Long-term Debt
$7.3B

CLF 5-Year Financial Trend

CLF 5-year financial data: Year 2021: Revenue $20.4B, Net Income $293.0M, EPS $1.03. Year 2022: Revenue $23.0B, Net Income -$122.0M, EPS $-0.32. Year 2023: Revenue $23.0B, Net Income $3.0B, EPS $5.36. Year 2024: Revenue $23.0B, Net Income $1.3B, EPS $2.55. Year 2025: Revenue $22.0B, Net Income $385.0M, EPS $0.75.
Revenue
Net Income
EPS (right axis)

5-Year Trend Summary: CLEVELAND-CLIFFS INC.'s revenue has shown modest growth of 8% over the 5-year period. The most recent EPS of $0.75 reflects profitable operations.

CLF Growth Metrics (YoY)

Revenue Growth
N/A
Year-over-year
Net Income Growth
N/A
Year-over-year
EPS Growth
N/A
Earnings per share
FCF Margin
-5.5%
Free cash flow / Revenue

CLF Quarterly Performance

Quarterly financial performance data for CLEVELAND-CLIFFS INC. including revenue, net income, and earnings per share.
Quarter Revenue Net Income EPS
Q3 2025 $4.6B -$244.0M $-0.51
Q2 2025 $4.9B N/A N/A
Q1 2025 $4.6B N/A N/A
Q3 2024 $4.6B -$242.0M $0.52
Q2 2024 $5.1B $2.0M $0.00
Q1 2024 $5.2B -$57.0M $-0.11
Q3 2023 $5.6B $152.0M $0.29
Q2 2023 $6.0B $290.0M $0.56

Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.

CLF Capital Allocation

Operating Cash Flow
-$462.0M
Cash generated from operations
Capital Expenditures
$561.0M
Investment in assets
Dividends Paid
$41.0M
Returned to shareholders

CLF SEC Filings

Access official SEC EDGAR filings for CLEVELAND-CLIFFS INC. (CIK: 0000764065)

📋 Recent SEC Filings

Date Form Document Action
Feb 23, 2026 8-K clf-20260222.htm View →
Feb 20, 2026 4 xslF345X05/wk-form4_1771625352.xml View →
Feb 20, 2026 4 xslF345X05/wk-form4_1771625344.xml View →
Feb 20, 2026 4 xslF345X05/wk-form4_1771625336.xml View →
Feb 20, 2026 4 xslF345X05/wk-form4_1771625328.xml View →

Frequently Asked Questions about CLF

What is the AI rating for CLF?

CLEVELAND-CLIFFS INC. (CLF) has an AI rating of STRONG SELL with 92% confidence, based on fundamental analysis of SEC EDGAR filings.

What are CLF's key strengths?

Adequate current ratio of 1.95x provides near-term liquidity buffer for operations. Stable revenue base of $18.6B demonstrates market presence in metal mining sector.

What are the risks of investing in CLF?

Massive operating loss of $1.6B and net loss of $1.5B signal fundamental operational breakdown. Negative free cash flow of $1.0B with only $57M cash on hand creates critical solvency risk.

What is CLF's revenue and growth?

CLEVELAND-CLIFFS INC. reported revenue of $18.6B.

Does CLF pay dividends?

CLEVELAND-CLIFFS INC. pays dividends, with $41.0M distributed to shareholders in the trailing twelve months.

Where can I find CLF SEC filings?

Official SEC filings for CLEVELAND-CLIFFS INC. (CIK: 0000764065) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.

What is CLF's EPS?

CLEVELAND-CLIFFS INC. has a diluted EPS of $-2.91.

How is the AI analysis conducted?

Our AI (Claude) analyzes publicly available SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports to evaluate financial health, profitability ratios, balance sheet strength, and growth metrics.

Disclaimer: This analysis is generated by Claude AI based on publicly available SEC EDGAR filings. It does not include stock price data and should not be considered financial advice. All fundamental data is sourced from SEC public domain filings. Always conduct your own research and consult with a qualified financial advisor before making investment decisions.
Data Source: SEC EDGAR | Analysis Date: Mar 22, 2026 | Data as of: 2025-12-31 | Powered by Claude AI