Cleveland-Cliffs Inc. ( CLF ) shares are trading higher today after the company reported financial results for the second quarter yesterday.

The company reported revenue of $5.09 billion, missing the consensus estimate of $5.20 billion, according to Benzinga Pro. The company reported breakeven adjusted earnings, beating analyst estimates for a loss of 2 cents per share.

Cleveland-Cliffs ( CLF ) lowered its full-year 2024 expected capital expenditures range from a range of $675 million to $725 million to a new range of $650 million to $700 million.

The company also noted that its year-over-year steel unit cost reduction objective of approximately $30 per net ton remains on track.

KeyBanc Capital Markets analyst Philip Gibbs writes that Steel volumes of ~4.0Mt matched their model, but pricing/mix exceeded expectations by $9/ton or $35 million (down ~$50/t q/q).

He further adds that core SG&A/opex was notably low at ~$103 million (+$47 million vs. their model), decreasing $29 million q/q and $46 million y/y.

Last week, Cleveland-Cliffs ( CLF ) entered into a definitive agreement to acquire Stelco Holdings Inc. ( STZHF ) for a total enterprise value of around $2.5 billion (CAD3.4 billion).

The deal is expected to boost CLF’s EPS for 2024 and 2025, with $120 million in annual cost savings anticipated.

Investors can gain exposure to the stock via SPDR S&P Metals & Mining ETF ( XME ) and VanEck Steel ETF ( SLX ) .

Price Action: CLF shares are up 4% at $15.82 at the last check Tuesday.

Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.