Tariffs helped Cleveland-Cliffs in the earnings confessional
Cleveland-Cliffs Inc (NYSE:CLF) stock is one of the best stocks on Wall Street today, last seen up 18.1% to trade at $15.70, and earlier hitting 14-month highs of $16.30. The iron and steel company reported an adjusted third-quarter loss of 45 cents per share, slimmer than the loss of 48 cents estimated by analysts.
Although revenue fell short of projections, capital expenditures came in less than forecasted, and demand remained elevated due to Trump administration tariffs. The company also hinted that two mining assets were making forays into rare earth deposits.
CLF initially traded lower in premarket action, but is now heading for its highest close since July 2024. The shares have more than tripled off their May 30 five-year lows of $5.63, and are now 65.5% higher in 2025.
A short squeeze could keep the wind at the equity's back. Short interest 5.1% in the most recent reporting period, yet the 71.3 million shares sold short still accounts for 14.7% of CLF's total available float.
Analyst revisions could also provide tailwinds; eight of the 12 in coverage maintain "hold" or worse ratings, while the 12-month consensus price target of $11.59 is a 26% discount to its current perch.
Options traders are loading up on calls today. At last check, over 72,000 contracts have changed hands, volume that's 5 times the average intraday amount and nearly triple the number of puts traded. The November 15 call is the most popular, and there are also new positions being bought to open at the 17.50-strike in the same standard series.