Improved Efficiency in the Auto Platform Division Boosted Cleveland-Cliffs’ (CLF) Performance

Voya Investment Management, an investment management company, released its third-quarter 2025 investor letter for its “Voya MI Dynamic Small Cap Fund.” A copy of the letter can be downloaded here. It is an actively managed US Small Cap core equity strategy. Equity markets showed a strong recovery during the quarter, bouncing back from the volatility caused by tariffs in April and finishing significantly higher than mid-year levels. Growth outperformed value in the quarter, with strong results from technology and communication services, while consumer staples lagged. Against this backdrop, the fund underperformed the index in the quarter, on a NAV basis, driven by the negative impact from stock selection. Additionally, you can check the fund’s top 5 holdings to determine its best picks for 2025.

In its third-quarter 2025 investor letter, Voya MI Dynamic Small Cap Fund highlighted stocks such as Cleveland-Cliffs Inc. (NYSE:CLF). Cleveland-Cliffs Inc. (NYSE:CLF) is a flat-rolled steel producer. The one-month return for Cleveland-Cliffs Inc. (NYSE:CLF) was 21.27%, and its shares gained 1.23% over the last 52 weeks. On December 08, 2025, Cleveland-Cliffs Inc. (NYSE:CLF) stock closed at $12.37 per share, with a market capitalization of $7.047 billion.

Voya MI Dynamic Small Cap Fund stated the following regarding Cleveland-Cliffs Inc. (NYSE:CLF) in its third quarter 2025 investor letter:

“The main individual contributors to performance were Primoris Services Corp., Uranium Energy Corp., and Cleveland-Cliffs Inc. (NYSE:CLF). The non-benchmark position in Cleveland-Cliffs Inc. (CLF) was a contributor to performance. The ML model’s have a favorable view of the stock due to its strong valuation (book to price, operating cash flow to price and sales to price) features. The price increase in the stock was due to efficiency improvements in its auto platform division.”

Cleveland-Cliffs (CLF) Jumps 12.45% on Price Target Upgrade

Cleveland-Cliffs Inc. (NYSE:CLF) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 52 hedge fund portfolios held Cleveland-Cliffs Inc. (NYSE:CLF) at the end of the third quarter, which was 42 in the previous quarter. While we acknowledge the risk and potential of Cleveland-Cliffs Inc. (NYSE:CLF) as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than Cleveland-Cliffs Inc. (NYSE:CLF) and that has 10,000% upside potential, check out our report about this cheapest AI stock.

In another article, we covered Cleveland-Cliffs Inc. (NYSE:CLF) and shared the list of stocks defying the odds. In addition, please check out our hedge fund investor letters Q3 2025 page for more investor letters from hedge funds and other leading investors.

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Disclosure: None. This article is originally published at Insider Monkey.