Cleveland-Cliffs Stock Rises Despite Quarterly Loss
Despite reporting a second-quarter loss in Q2 2026, Cleveland-Cliffs (CLF) saw its stock surge by nearly 8.9% following the earnings report and another jump of over 16%. The market reacted positively to management's improved guidance for adjusted EBITDA and expectations around contract resets that could boost annual EBITDA by $500 million. The company reported a GAAP net loss of $134 million, with an adjusted net loss of $115 million. However, its Q2 2026 revenue rose to $5.2 billion and adjusted EBITDA reached $286 million — the best in two years. Management expects this trend to continue into Q3 and Q4 2026 with a projected EBITDA of around $575 million for Q3, signaling an anticipated recovery. The stock's sharp rise reflects investor optimism about future performance rather than current results. While Cleveland-Cliffs is still in the red on net margins, its guidance has positioned it as a turnaround story worth watching.
Topics: Cleveland-Cliffs earnings EBITDA guidance market reaction steel industry