Cleveland-Cliffs stock fell 2.18% on October 14, 2026, underperforming the S&P 500's 1.11% decline. Despite strong upcoming earnings expectations (EPS up 153.33% YoY, revenue up 17.89% YoY), the stock trades at a premium valuation with a Forward P/E of 133.03 versus the industry average of 13.24. The company holds a Zacks Rank #3 (Hold) rating, with a PEG ratio of 6.08 significantly above the Steel-Producers industry average of 0.44.

Amid market uncertainty driven by high oil prices, elevated inflation, and Federal Reserve policy concerns, Zacks highlights five broker-favored stocks expected to report third-quarter earnings this week. The featured companies—Cracker Barrel, Best Buy, Beazer Homes USA, Cleveland-Cliffs, and Bath & Body Works—have demonstrated strong earnings beat records and are benefiting from operational improvements, innovation, and market recovery trends.

Amid market uncertainty driven by high oil prices, elevated inflation, and Federal Reserve policy concerns, investors are advised to follow broker recommendations. A stock screen identified five broker-favored picks based on upgrades, positive earnings revisions, and low price-to-sales ratios: Cracker Barrel, Best Buy, Beazer Homes, Cleveland-Cliffs, and Bath & Body Works.

Cleveland-Cliffs Inc. (CLF), North America's largest iron ore pellet and flat-rolled steel producer, is highlighted as a stock to watch with a #3 (Hold) Zacks Rank and a B VGM Score. The company shows strong momentum with shares up 10.6% over the past four weeks and an A Momentum Style Score. Recent analyst revisions increased the fiscal 2026 earnings estimate by $0.14, with the company maintaining a +12.7% average earnings surprise.

Cleveland-Cliffs is expected to report Q3 2026 earnings on October 19 with consensus estimates of $0.24 EPS (up 153.3% YoY) and $5.58B in revenues (up 17.9% YoY). However, the company has a negative Earnings ESP of -11.16%, indicating recent analyst downgrades, making it difficult to predict an earnings beat despite its Zacks Rank #3 (Hold) rating.

Cleveland-Cliffs stock declined 1.55% to $12.06, underperforming the S&P 500's 0.22% loss on October 7, 2026. The mining company is scheduled to report earnings on October 19, 2026, with forecasts showing EPS of $0.24 (up 153.33% YoY) and revenue of $5.58 billion (up 17.92% YoY). The stock holds a Zacks Rank #3 (Hold) rating, with consensus EPS projections rising 7.69% over the past 30 days.

Cleveland-Cliffs (CLF) has been heavily searched on Zacks.com lately. The stock has underperformed the S&P 500 by 7.2% over the past month. While earnings estimates have been revised upward with strong revenue growth expected (+13.4% for current fiscal year), the company received a Zacks Rank #3 (Hold) rating, suggesting it may perform in line with the broader market. The stock is trading at a premium to peers with a D valuation grade.

Commercial Metals Company (CMC) reported a 77.3% year-over-year surge in core EBITDA to $968M in the first nine months of FY26, driven by metal margin expansion and recently acquired precast businesses. The company targets FY29 core EBITDA of $1.65B-$1.80B with 15-16% margins, representing 106% growth from FY25. CMC's stock has underperformed peers, trading at a lower forward P/S ratio of 0.76 versus the industry's 1.85.

Cleveland-Cliffs stock surged 7% after announcing a $1 billion investment in its Middletown Works facility in Ohio, with $500 million in funding from the U.S. Department of Energy. The investment will upgrade blast furnace operations for automotive-grade steel production. The stock also benefited from a rebound in steel sector stocks following news of potential tariff reductions on Canadian steel from 50% to 25%, which could benefit Cleveland-Cliffs' 2024 acquisition of Canadian steelmaker Stelco.

Cleveland-Cliffs stock surged 15.98% on strong quarterly results and upbeat guidance, driven by robust steel demand and pricing. The company's adjusted EBITDA jumped from $95 million in Q1 to $286 million in Q2, with expectations to reach approximately $575 million in Q3. The broader steel sector is thriving, with peers Nucor and Steel Dynamics also posting strong results.

Steel Dynamics and Cleveland-Cliffs reported Q1 2026 earnings amid a 50% tariff on imported steel that has reduced U.S. imports to 17-year lows. Steel Dynamics thrived with $403 million in profit and a 13% EBITDA margin, while Cleveland-Cliffs posted a $229 million loss with only a 2% margin. The divergence stems from their business models: Steel Dynamics uses efficient electric arc furnace technology and owns its own scrap recycling network, while Cleveland-Cliffs operates expensive integrated blast furnaces with high fixed costs and union labor obligations.

Steel Dynamics reported record quarterly shipments and an 84% increase in net income, driving its stock up 10.6% this week. The company capitalized on strong pricing and high mill utilization. In contrast, Cleveland-Cliffs faced headwinds from unfavorable contract pricing and high energy costs. Nucor's upcoming earnings report could further boost Steel Dynamics if it signals similar challenges in the sector.