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Verdict
Quantitative factor alignment verified for current market regime.
Quant Score
Rank
#4616
Positioning
Market Dominance
Mining
Non-Metallic And Industrial Metal Mining
$6.0B
C. Lourenço Gonçalves
Cleveland-Cliffs Inc. operates as a flat-rolled steel producer in North America. The company owns five iron ore mines in Minnesota and Michigan. It also provides tubular components, such as carbon steel, stainless steel, and electric resistance welded tubing.
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| Stock | Rating | Score▼ | Quality | Value | Momentum | P/E | EV/EBITDA | ROE | ROA | Gross Mgn | Op Mgn | Net Mgn | Rev Growth | Div Yield | D/E | Mkt Cap | AUDIT |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
$VALE Vale S.A. | 75 | 88 | 93 | 67 | - | - | - | - | - | - | - | - | - | - | $0 | VS | |
$SU SUNCOR ENERGY INC | 74 | 87 | 90 | 53 | - | - | - | - | - | - | - | - | - | - | $0 | VS | |
$TRX TRX GOLD Corp | 72 | 83 | 77 | 96 | - | - | - | - | - | - | - | - | - | - | $0 | VS | |
$ORLA Orla Mining Ltd. | 72 | 94 | 83 | 78 | - | - | - | - | - | - | - | - | - | - | $0 | VS | |
$KGC KINROSS GOLD CORP | 71 | 83 | 89 | 79 | - | - | - | - | - | - | - | - | - | - | $0 | VS | |
$AEM AGNICO EAGLE MINES LTD | 71 | 80 | 80 | 71 | - | - | - | - | - | - | - | - | - | - | $0 | VS | |
$RIO RIO TINTO PLC | 70 | 76 | 84 | 64 | - | - | - | - | - | - | - | - | - | - | $0 | VS | |
$IAG IAMGOLD CORP | 70 | 71 | 82 | 89 | - | - | - | - | - | - | - | - | - | - | $0 | VS | |
$NGD New Gold Inc. /FI | 70 | 76 | 67 | 92 | - | - | - | - | - | - | - | - | - | - | $0 | VS | |
$PDS PRECISION DRILLING Corp | 70 | 77 | 90 | 65 | - | - | - | - | - | - | - | - | - | - | $0 | VS | |
$CLF CLEVELAND-CLIFFS INC. | 29 | 22 | 25 | 33 | - | 11.4x | -22.4% | -7.1% | -4.0% | -7.9% | -7.5% | -7.0% | 0.0% | 115.0x | $6.0B | ||
| SECTOR BENCH | - | - | - | - | - | 13.7x | 5.2x | 4.3% | 3.9% | 45.8% | 7.6% | 5.8% | 0.1% | 0.0% | 0.3x | - | REF |
CLEVELAND-CLIFFS INC. (CLF) receives a "Avoid" rating with a composite score of 28.6/100. It ranks #4616 out of 7,333 stocks in our coverage universe and carries a 1-star rating. Ratings are driven by a 6-factor quantitative model measuring quality, value, momentum, investment, stability, and short interest.
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Lagging peers — losers tend to keep underperforming
Expensive relative to fundamentals — limited margin of safety
Weak fundamentals — higher risk of value trap
High volatility — wider range of outcomes increases timing risk
Aggressive spending — empire-building risk, dilutive growth
Below-average composite — caution warranted
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Relative valuation derived from Mining sector benchmarks. Model weights: EV/EBITDA (40%), P/B (35%), P/S (25%). Re-calculated daily.
No analyst ratings for CLF.
View All Ratings| Factor | Global | Sector | Tilt |
|---|---|---|---|
| PROFITABILITY | 22 | 8 | +14ALPHA |
| MOMENTUM | 33 | 29 | +4NEUTRAL |
| VALUATION | 25 | 19 | +6ALPHA |
| INVESTMENT | 31 | 27 | +4NEUTRAL |
| STABILITY | 16 | 6 | +10ALPHA |
| SHORT INT | 42 | 39 | +3NEUTRAL |
Global = full universe. Sector = relative to industry peers. Positive tilt indicates idiosyncratic strength.
ROIC -17.4% vs WACC 6.6% (spread -24.0%)
GM -4% vs sector 46%, OM -8% vs sector 8%
Capital turnover 2.59x
Rev growth -7%, 10yr history
Interest coverage N/A
Composite assessment of profitability, capital efficiency, and financial strength. Top-tier entities demonstrate sustainable cash flow generation and elite competitive moats.
Profit generated per dollar of shareholder equity
Efficiency of asset utilization
Pricing power and cost efficiency
Core business profitability
Bottom-line profitability
The Quality factor evaluates the persistence and magnitude of realized cash flows. Companies with scores >70 exhibit superior pricing power and structural financial resilience through diverse economic regimes.
Our uncertainty rating tracks the predictability of future cash flows and potential for permanent capital loss. Moderate visibility with standard industry cyclicality.
We rate CLEVELAND-CLIFFS INC. (CLF) as Avoid with a composite score of 28.6/100 at a current price of $10.59. The stock falls in the bottom quintile, and the multi-factor weakness suggests a high probability of continued underperformance.
CLEVELAND-CLIFFS INC. holds a top-quartile position (#0 of 50) within the Mining sector, based on our composite quantitative scoring across quality, value, momentum, and stability factors. The composite score of 28.6/100 places it at rank #4616 in our full universe.
No Moat
Very High
Poor
Fair Value
Stable competitive position in a defensive sector.
Leverage of 115% D/E amplifies downside risk.
Weak momentum suggests persistent institutional selling pressure.
Below-average quality raises earnings sustainability concerns.
CLEVELAND-CLIFFS INC. represents a avoid based on multi-factor quantitative performance.
Our quantitative model flags CLEVELAND-CLIFFS INC. with an Avoid rating, assigning a composite score of 28.6/100 and 1 out of 5 stars. Ranked #4616 of 7,333 stocks, CLF falls in the bottom tier across key factors. Historically, stocks with this profile have faced elevated risk of underperformance and capital loss.
CLEVELAND-CLIFFS INC. registers a weak quality score of just 22/100, indicating significant profitability challenges. The company reports a return on equity of -22.4% (sector avg: 4.3%), gross margins of -4.0% (sector avg: 45.8%), net margins of -7.5% (sector avg: 5.8%). Low quality scores are often associated with businesses in turnaround mode, early-stage growth, or structurally challenged industries.
CLF registers a value score of just 25/100, suggesting the stock trades at a significant premium to its fundamental metrics. Key valuation metrics include an EV/EBITDA of 11.43x, a P/B ratio of 0.96x. High-premium valuations like this require strong future execution to avoid multiple compression, and downside risk is elevated if growth disappoints.
CLEVELAND-CLIFFS INC.'s investment score of 31/100 suggests limited reinvestment activity. Key growth metrics include revenue growth of -7.0% vs. a sector average of 0.1% and a return on assets of -7.1% (sector: 3.9%). While this can be positive for mature, cash-generative businesses returning capital to shareholders, it may also signal a lack of growth opportunities or management conservatism.
CLF is currently showing below-average momentum at 33/100, which may indicate weakening institutional interest or negative sentiment shifts. Revenue growth stands at -7.0% year-over-year, while a beta of 1.97 reflects its sensitivity to broader market moves. Investors should note that declining momentum can precede further price weakness, though contrarian opportunities sometimes emerge at these levels.
CLEVELAND-CLIFFS INC. registers a low stability score of 16/100, indicating high volatility and potentially stressed financial conditions. Key stability metrics include a beta of 1.97 and a debt-to-equity ratio of 115.00x (sector avg: 0.3x). Stocks at this level carry elevated capital loss risk and may be unsuitable for conservative portfolios without careful risk management.
The short interest score of 42/100 for CLF suggests somewhat elevated bearish positioning by institutional traders. Specific risk factors include high market sensitivity (beta: 1.97), elevated leverage (D/E: 115.00x). With a $6.0B market cap (mid-cap), CLEVELAND-CLIFFS INC. may experience above-average volatility. Investors should consider whether the short thesis has merit or if it creates a potential short-squeeze opportunity.
CLEVELAND-CLIFFS INC. is a mid-cap company in the Mining sector, ranked #0 of 50 in its sector (100th percentile) and #4616 of 7,333 overall (37th percentile). Key comparisons include ROE of -22.4% trailing the 4.3% sector median and operating margins of -7.9% below the 7.6% sector average. This top-quartile standing reflects exceptional competitive strength relative to Mining peers.
While CLF currently exhibits a AVOID profile, superior opportunities exist within the MINING sector. Our model identifies several "Strong Buy" candidates with higher quality scores and more attractive valuations among direct industry competitors.
View Top Mining Alpha →Quant Factor Profile
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Improvement in Stability (16) would have the largest impact on the composite score.
EV/EBITDA 119% ABOVE SECTOR MEDIAN
ROE 621% BELOW SECTOR MEDIAN
Gross Margin 109% BELOW SECTOR MEDIAN
Above 50MA
37.18%
Net New Highs
+51081

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CLEVELAND, February 23, 2026--Cleveland-Cliffs Inc. (NYSE: CLF) today announced the appointment of Ralph "Mike" Michael III as Lead Independent Director of the Company’s Board of Directors, effective immediately. Mr. Michael succeeds Douglas Taylor as Lead Independent Director, following the Board’s acceptance of Mr. Taylor’s resignation due to a change in his professional circumstances. Under the Company’s Corporate Governance Guidelines, Mr. Taylor submitted a mandatory resignation following h
CEO of Cleveland-Cliffs (NYSE:CLF) recently executed a significant insider share sale, drawing attention to management sentiment and alignment with shareholders. The company terminated an unprofitable steel slab contract with ArcelorMittal USA, ending a major agreement that had weighed on its slab business economics. Management has outlined 2025 as a reset year for Cleveland-Cliffs, with expectations for a potential recovery phase in 2026. Cleveland-Cliffs, trading at $10.38, has seen...
What triggered the latest move in Cleveland-Cliffs (CLF)? Cleveland-Cliffs (CLF) is back in focus after reporting a sizeable quarterly and full year 2025 loss, weaker steel pricing, and ongoing margin pressure, followed by a sharp share price drop and fresh analyst caution. The company has described 2025 as a reset year, with investors weighing recent results, the CEO’s multimillion share sale, and downgrades that highlight earnings and market risks against management’s plans to improve...