Cleveland-Cliffs dives after wider-than-expected loss, operational changes

Shares of steelmaker Cleveland-Cliffs CLF.N drop 17% to $7.05 early Thurs after Q1 loss exceeds Wall Street's expectations

CLF shares could suffer biggest one-day pct drop since the pandemic onset in 2020, if decline exceeds 16.8% plunge on Apr 3, 2025

Co late Weds posted adj loss/sh of 92 cents vs analysts' estimated loss of 77 cents, per LSEG data

CEO Lourenco Goncalves said Q1 results negatively impacted by underperforming non-core assets and lagging effect of lower index prices in late 2024 and 2025

Between Mar and May, co said it is fully or partially idling six facilities to optimize its footprint, reposition away from loss-making operations

It expects the actions to result in over $300 mln in savings, not including additional savings in overhead and improved productivity at other locations, co said

Rev in qtr fell to $4.63 bln from $5.2 bln a year ago, but was inline with Street

With move on Thurs, stock down ~25% YTD vs 4% advance for S&P 1500 Steel index .SPCOMSTEEL

Of 14 analysts covering CLF, recommendation breakdown is 6 "strong buy" or "buy", 6 "hold" and 2 "sell" or "strong sell" ratings; median PT is $11 - LSEG