Littelfuse tariff fears and gains

What happened: Cleveland-Cliffs (CLF) saw a significant EBITDA swing from -$179 million to +$95 million, driven by a $500 million EBITDA tailwind from an expired slab contract and being named the sole GM Supplier of the Year. Littelfuse (LFUS), despite initial tariff fears, overcame these challenges to achieve major gains, returning 6.07% in the first quarter of 2026.

Market impact: The steel industry and related suppliers, like CLF and LFUS, have been positively impacted by the Trump administration's tariffs. CLF's stock price near $12 reflects this, while LFUS's performance shows that companies can navigate tariff-related headwinds and achieve significant gains.

What to watch next: CLF's earnings report, scheduled for April 27, 2026, will provide further insight into the company's performance and the ongoing impact of tariffs. Additionally, investors should monitor the U.S. trade negotiations and any potential changes in tariff policies, which could significantly impact both CLF and LFUS.