Cleveland-Cliffs(NYSE) CLF

Cleveland-Cliffs makes many types of steel used to build cars and buildings. The company helps car makers by providing specialized metals for vehicle frames and parts. It also mines iron ore to control its own supply of raw materials.

What They Make and Sell

• Steelmaking: Flat-rolled steel products including hot-rolled, cold-rolled, and coated steel; serves automotive and infrastructure markets and accounts for 97% of revenue.
• Electrical and Stainless Steel: Specialized metals like grain oriented electrical steel (GOES) used for power grid transformers.
• Other Businesses: Tubular components, stamping, and tooling services that provide finished parts for industrial customers.
• Raw Materials: Iron ore pellets and hot-briquetted iron (HBI) produced from the company's five mines and processing plants.

Growth and Expansion

• Signed a Memorandum of Understanding with POSCO in late 2025 to explore a strategic partnership for the U.S. market.
• Acquired Stelco, a Canadian steel producer, to expand operations into the North American market.
• Initiated a sell-side process with J.P.Morgan in 2025 to sell non-core operating assets and reduce debt.
• Launched a partnership with an enterprise software company in 2026 to use artificial intelligence for better factory efficiency.

Why They Stand Out

The company is vertically integrated, meaning it owns everything from the iron ore mines to the steel finishing plants. This structure protects the business from volatile market prices for raw materials like iron and scrap metal.

The Recent Financial Scorecard

• Revenue reached $4.9 billion in Q1 2026, up 6.3% from the same period in 2025.
• Net loss was $237 million in Q1 2026, a 52.1% improvement compared to the $495 million loss in Q1 2025.
• Free cash flow was negative $477 million in Q1 2026, up 5.2% from negative $503 million one year earlier.
• Operating cash flow improved to negative $325 million in Q1 2026, up 7.4% year-over-year.

Bottom Line

Cleveland-Cliffs has transformed from a mining company into a fully integrated steel producer focused on the North American automotive sector. This shift allows the company to manage its own supply chain while serving specialized industrial needs.