Cleveland-Cliffs Stock Plummets 21.17% in Five Days, Trading Volume Drops to 348th Position

On May 9, 2025, Cleveland-Cliffs (CLF) experienced a significant decline, with its stock price dropping by 2.10% and marking its fifth consecutive day of losses, resulting in a total decrease of 21.17% over the past five days. The company's trading volume for the day was 2.43 billion, a substantial 40.28% decrease from the previous day, placing it at the 348th position in terms of trading volume for the day.

Cleveland-Cliffs reported a GAAP loss of $1 per share, which was worse than expected. The company is taking measures to cut costs in an effort to return to profitability. The steelmaker announced that it will idle six facilities to optimize its operations and reposition away from loss-making activities, aiming to save over $300 million annually. Additionally, the company will no longer invest in the development of a transformer production facility in Weirton, W.Va., due to changes in the project's scope that no longer meet Cliffs' investment requirements.

In the first quarter, Cleveland-Cliffs reported an adjusted net loss of $0.92 per share, with revenue increasing by 7% year-over-year to $4.63 billion. The company's CEO, Lourenco Goncalves, attributed the poor first-quarter results to non-core assets and the lagging effect of lower index prices in late 2024 and early 2025. The company's adjusted EBITDA for Q1 2025 showed a loss of $174 million, impacted by legacy non-core assets and lagging steel prices. Total shipments reached 4.14 million tons during the quarter.

Cleveland-Cliffs has also announced plans to halt non-core operations to refocus on its core business. The company reported a $495 million Q1 loss and will pause operations at several plants following the wider loss and lower revenue. These strategic moves are aimed at streamlining the business and enhancing efficiency, as the company navigates through challenging market conditions.