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Stelco Holdings Inc STZHF


Primary Symbol: T.STLC

Stelco Holdings Inc. is a Canada-based integrated and independent steelmaker with advanced integrated steelmaking facilities in North America. The Company is engaged in the production and sale of steel products. The Company produces flat-rolled value-added steels, including coated, cold-rolled, and hot-rolled steel products, as well as pig iron and metallurgical coke. It also provides gauge, crown, and shape control, as well as uniform through-coil mechanical properties. The Company’s steel products are supplied to customers in the steel service center, construction, automotive, energy, appliance, and pipe and tube industries across Canada and the United States. It operates from two facilities: Lake Erie Works (LEW) near Nanticoke, Ontario and Hamilton Works (HW) in Hamilton, Ontario.


TSX:STLC - Post by User

Post by extremeriskon Jun 02, 2021 4:31pm
135 Views
Post# 33312788

Nucor trades at 5 times 2021 ebitda of $20 a share

Nucor trades at 5 times 2021 ebitda of $20 a share2021 is already baked in.  Using Nucor as proxy Stelco should be 5 times ebitda of $22 for 2021.  That is $108 a share.  Very far away from that price.

you don't day trade a stock trading at 1 1/2 times ebitda.  Makes no sense to me.  The numbers speak for themselves

also 52 million shares not held by bedrock and kestenbaum after recent secondary.  52 million at $33 means they can buy total company back for $1.7 billion.  Less than 2 billion projected ebitda for 2021.  No business trades for one times cash flow???? That's why secondary sold out and oversubscribed.  Everyone is doing the same calculation.

only a recession can stop this but after 1 1/2 years of markets being closed don't see a recession.  Don't think we have ever had a recession with interest rates at zero.
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