Morgan Stanley Downgrades Cleveland-Cliffs to Hold

Morgan Stanley has lowered its rating on Cleveland-Cliffs Inc. (NYSE:CLF) to hold, with a new price target set at $12.50. This change was announced by analyst Carlos De Alba on June 22, 2026. Shares of Cleveland-Cliffs traded at $12.13 on Monday, reflecting the new analyst sentiment.

What Changed in Morgan Stanley's Cleveland-Cliffs Position

Morgan Stanley's analyst Carlos De Alba downgraded Cleveland-Cliffs to a hold rating, setting a new price target of $12.50. This adjustment reflects a more cautious outlook on the steel producer's stock performance.

Other Institutional Activity in Cleveland-Cliffs

In recent institutional activity, BlackRock, Inc. added 5,357,330 shares to its holdings, bringing its total to 58,617,526 shares worth about $495.3 million, marking a 10.1% increase. State Street Corp significantly increased its holdings by 10,033,087 shares, ending with 39,311,243 shares valued at approximately $332.2 million, a 34.3% rise. Vanguard Capital Management LLC and Vanguard Portfolio Management LLC both opened new positions in Cleveland-Cliffs, acquiring 25,594,354 and 25,179,354 shares, respectively. Meanwhile, Maple Rock Capital Partners Inc. increased its stake by 8,387,327 shares, a 67.9% increase, totaling 20,745,557 shares valued at $175.3 million. Conversely, Slate Path Capital LP reduced its holdings by 3,172,300 shares, a 14.2% decrease, to 19,243,981 shares worth $162.6 million.

Cleveland-Cliffs Inc. Stock Down 8.5%

Shares of Cleveland-Cliffs Inc. (NYSE:CLF) traded near $12.13 on Monday. The company has a market capitalization of approximately $7 billion and a forward P/E ratio of 24.5. Cleveland-Cliffs' stock has ranged from a low of $6.72 to a high of $16.70 over the past 52 weeks. The stock's 50-day moving average is $11.31, and its 200-day moving average is $11.73. The company has a current ratio of 2.02, a quick ratio of 0.58, and a debt-to-equity ratio of 129.32.

Recent Earnings

Cleveland-Cliffs reported revenue of about $18.9 billion, reflecting a growth rate of 6.3%. The company's net margin was negative at -6.44%, and it posted a return on equity of -18.6%. The next earnings report is expected on July 20, 2026.

Insider Buying and Selling at Cleveland-Cliffs Inc.

On June 5, 2026, Celso Goncalves Jr., Executive Vice President and CFO of Cleveland-Cliffs, sold 214,308 shares at an average price of $13.41. In April, insiders including Oren Ben, Jane Cronin, Michael Ralph III, Ron Bloom, and Edilson Camara each purchased 15,334 shares.

Analysts Set New Price Targets

On June 22, 2026, Morgan Stanley downgraded Cleveland-Cliffs to a hold rating with a price target of $12.50. Earlier in June, JP Morgan maintained its hold rating with a $13.00 target, and GLJ Research upgraded the stock to hold with a $15.01 target. The consensus among analysts is a hold rating, with an average price target of $11.70 based on 10 analyst opinions.

About Cleveland-Cliffs

Cleveland-Cliffs Inc. is a major steel producer operating in the United States and Canada. The company manufactures a range of steel products including hot-rolled, cold-rolled, and coated steel, as well as stainless and electrical products. It also engages in iron ore mining and the production of pellets and direct reduced iron. Cleveland-Cliffs is headquartered in Cleveland, Ohio, and led by CEO Mr. C. Lourenco Goncalves. Founded in 1847, the company employs approximately 25,000 people.

Bottom Line

Morgan Stanley's recent downgrade of Cleveland-Cliffs to a hold rating with a $12.50 price target reflects a more cautious view on the company's future performance. Investors often track analyst ratings for insights into potential market movements, though these are backward-looking and reflect past data. Cleveland-Cliffs remains a significant player in the steel industry, with diverse operations and a broad product range.