📊 CLF Key Takeaways
Is Cleveland-Cliffs Inc.. (CLF) a Good Investment?
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.
Cleveland-Cliffs' fundamentals are currently very weak, with razor-thin gross margin, deeply negative operating and net margins, and large losses flowing through to negative operating cash flow and free cash flow. The balance sheet still has meaningful equity and an adequate current ratio, but very low cash, high leverage, and negative interest coverage materially weaken financial flexibility and make the growth profile poor-quality until profitability and cash generation recover.
Why Buy Cleveland-Cliffs Inc.. Stock? CLF 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
- Gross profit of $575.7M shows some underlying operational contribution before overhead
- Scale remains substantial with $18.61B of revenue
- Current ratio of 1.95x suggests near-term working-capital coverage is not immediately distressed
- The company still retains a sizable equity base of $6.12B
CLF Stock Risks: Cleveland-Cliffs Inc.. Investment 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
- Operating performance is severely impaired, with -8.5% operating margin and -7.9% net margin
- Cash generation is weak, with negative operating cash flow and free cash flow of -$1.02B
- High leverage and negative interest coverage indicate elevated balance-sheet and refinancing risk
Key Metrics to Watch
- Operating cash flow recovery and path to positive FCF generation
- Operating margin improvement and return to profitability
- Debt reduction trajectory and interest coverage return to positive territory
- Cash balance sustainability given burn rate and debt service obligations
- Operating cash flow and free cash flow trend
- Gross margin and interest coverage improvement
Cleveland-Cliffs Inc.. (CLF) Financial Metrics & Key Ratios
💡 AI Analyst Insight
Cleveland-Cliffs Inc.. presents a mixed fundamental picture. Review the detailed metrics above to form your own investment thesis.
CLF Profit Margin, ROE & Profitability Analysis
CLF vs Materials Sector: How Cleveland-Cliffs Inc.. Compares
How Cleveland-Cliffs Inc.. compares to Materials sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Cleveland-Cliffs Inc.. Stock Overvalued? CLF Valuation Analysis 2026
Based on fundamental analysis, Cleveland-Cliffs Inc.. shows some fundamental concerns relative to the Materials sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
Cleveland-Cliffs Inc.. Balance Sheet: CLF Debt, Cash & Liquidity
CLF Revenue & Earnings Growth: 5-Year Financial Trend
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 Revenue Growth, EPS Growth & YoY Performance
CLF Quarterly Earnings & Performance
| 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.
Cleveland-Cliffs Inc.. Dividends, Buybacks & Capital Allocation
CLF SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Cleveland-Cliffs Inc.. (CIK: 0000764065)
📋 Recent SEC Filings
❓ Frequently Asked Questions about CLF
What is the AI rating for CLF?
Cleveland-Cliffs Inc.. (CLF) has a Combined AI Rating of STRONG SELL from Claude (STRONG SELL) and ChatGPT (STRONG SELL) with 92% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are CLF's key strengths?
Claude: 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. ChatGPT: Scale remains substantial with $18.61B of revenue. Current ratio of 1.95x suggests near-term working-capital coverage is not immediately distressed.
What are the risks of investing in CLF?
Claude: 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. ChatGPT: Operating performance is severely impaired, with -8.5% operating margin and -7.9% net margin. Cash generation is weak, with negative operating cash flow and free cash flow of -$1.02B.
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?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.
Is CLF a good stock to buy right now?
Based on our AI fundamental analysis in April 2026, Cleveland-Cliffs Inc.. has a STRONG SELL rating with 92% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.
Is CLF stock overvalued or undervalued?
Valuation metrics for CLF: ROE of -24.2% (sector avg: 14%), net margin of -7.9% (sector avg: 10%). Compare these metrics with sector averages to assess valuation.
Should I buy CLF stock in 2026?
Our dual AI analysis gives Cleveland-Cliffs Inc.. a combined STRONG SELL rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is CLF's free cash flow?
Cleveland-Cliffs Inc..'s operating cash flow is $-462.0M, with capital expenditures of $561.0M. FCF margin is -5.5%.
How does CLF compare to other Materials stocks?
Vs Materials sector averages: Net margin -7.9% (avg: 10%), ROE -24.2% (avg: 14%), current ratio 1.95 (avg: 1.6).