Why Cleveland-Cliffs (CLF) Is Skyrocketing?

We recently published a list of 10 Stocks Jump on Impressive Earnings, Bullish Outlooks. In this article, we are going to take a look at where Cleveland-Cliffs Inc. (NYSE:CLF) stands against other stocks that have surged on impressive earnings and bullish outlooks.

The stock market ended firmer on Tuesday, with all of Wall Street’s main indices finishing in the green territory amid news that President Donald Trump temporarily delayed the imposition of tariffs against Canada and Mexico.

The Dow Jones inched up by 0.30 percent, while the S&P 500 and Nasdaq both jumped 0.72 percent and 1.35 percent, respectively.

On Tuesday, 10 companies under mixed sectors mirrored the broader market rally, fueled by impressive earnings results and optimistic business outlooks, among others. This article details the reasons behind the top gainers’ impressive performance.

To come up with Tuesday’s top gainers, we only considered those with $2 billion in market capitalization and $5 million in daily trading volume.

A welder in a hardhat soldering steel plates to a blueprint plan.

Cleveland-Cliffs Inc. (NYSE:CLF)

Shares of Cleveland-Cliffs Inc. (NYSE:CLF) rallied by 7.96 percent to close at $10.52 apiece on Tuesday as investors bought up shares in the company following plans to raise as much as $750 million from the offer of senior guaranteed notes until 2031.

In a statement on Monday, Cleveland-Cliffs (NYSE:CLF) said that proceeds from the offer will be used for general corporate purposes, including the repayment of borrowings under its asset-based credit facility. The offering is also exempt from any registration requirement of the Securities Act.

Meanwhile, investors will be waiting on the sidelines for the release of Cleveland-Cliffs’ 2024 earnings performance.

Based on its preliminary results, the Ohio-based steelmaker expects revenues in the fourth quarter of 2024 to drop by 15 percent to $4.3 billion from the $5.11 billion registered in the same period a year earlier, and by 12.7 percent in full-year 2024 to $19.2 billion from the $22 billion in 2023.

Overall, CLF ranks 10th on our list of stocks that have surged on impressive earnings and bullish outlooks. While we acknowledge the potential of CLF as an investment, our conviction lies in the belief that 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 CLF but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

READ NEXT: 20 Best AI Stocks To Buy Now and Complete List of 59 AI Companies Under $2 Billion in Market Cap

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