A word of caution For those who think that the US election results will magically change Sherritt's fortunes, it's best to look at the facts:
- Sanctions / Embargo has always been used by management as an excuse for poor performance and high compensation. Similar for board of directors.
- The most immediate direct benefit to Sherritt if US sanctions against Cuba were lifted would be as follows:
a) The Moa Venture would be able to make use of Equipment / Inputs from US companies. This could potentially improve the bottom line of the JV by 5$ milllion per year. 2.5$ million to Sherrritt, enough to pay for David P's compensation. Hardly anything to get excited about.
b) US visitors would drastically improve the fortunes of the government, increasing the Sherritt receivable position. But because of Covid, this will take at least a year to happen. But no doubt is positive outcome.
It's important to remember that Sherritt's main issue isn't with the general sanctions / embargo, it's because the Cuba joint venture is on the OFAC list because the company is trafficking in stolen assets. This issue will take some time to settle even if the senate, house, and presidency are Democrate...as in years to settle.
Let's also not forget the thorny issue of Venezuela. The appetite to "warm up" to Cuba is much less because of this. The idea that there will be a quick return to the Obama Cuban policy is flawed.
Long story short, this won't change the fundamentals of the company for several years. If you are going to buy this dumpster fire, do it because you think nickel is going on a tear, not because of the outcomes of the US election.