RE:Pros and Cons to Cash A majority of the minority would need to agree to a go private. This happened in 2005 or so when I owned Sears Canada and major shareholder tried to take it private but majority of minority did not agree. Given all this cash generation and high steel prices don't see how prem Watsa and other minority shareholders would agree to it.
I don't think this investment is very complicated. As time marches on and steel prices stay elevated stock price will go up. Even sept 2022 futures is right now around 1000usd or 1265 cdn. Their recent quarter results reported a cost per ton of 700 a ton and average revenue was 1800 a ton. For q1 looks like futures are 1600- 1800 cdn per ton so not much of drop.
unless we get major recession one can see cash generation of 2 billion for 2022 added to 1 billion for total of 3 billion divided by 77 million shares is $39 a share which is greater than where it trades now.
nothing complicated here.