Cleveland-Cliffs rally provides entry for shorts, says GLJ Research

GLJ Research believes the rally yesterday in shares of Cleveland-Cliffs (CLF) provides a “great entry point for short sellers.” The company reported its fifth consecutive quarter of negative gross margins despite President Trump’s tariffs “artificially inflating” U.S. steel prices, the analyst tells investors in a research note. GLJ attributes the 22% rally on Monday to the company speaking of rare earths. The jump in shares ” looks less like a turnaround and more like the last gasp of a broken story,” contends the firm. It keeps a Sell rating on Cleveland-Cliffs with a $5.75 price target