Join today and have your say! It’s FREE!

Become a member today, It's free!

We will not release or resell your information to third parties without your permission.
Please Try Again
{{ error }}
By providing my email, I consent to receiving investment related electronic messages from Stockhouse.

or

Sign In

Please Try Again
{{ error }}
Password Hint : {{passwordHint}}
Forgot Password?

or

Please Try Again {{ error }}

Send my password

SUCCESS
An email was sent with password retrieval instructions. Please go to the link in the email message to retrieve your password.

Become a member today, It's free!

We will not release or resell your information to third parties without your permission.
Quote  |  Bullboard  |  News  |  Opinion  |  Profile  |  Peers  |  Filings  |  Financials  |  Options  |  Price History  |  Ratios  |  Ownership  |  Insiders  |  Valuation

Stelco Holdings Inc T.STLC

Alternate Symbol(s):  STZHF

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 SleepingGiant64on May 05, 2022 9:51pm
215 Views
Post# 34660938

versus estimates

versus estimatesReuters estimates

Revenue 906 vs 881 est
Gross margin 42% vs 43.4% est
Ebitda 402m vs 356m est
Ebitda margin 44% vs 40.5% est
Net income $268m vs $244m est (may be $269m, depends on adjustments)
EPS $3.61 vs $3.31 est

Some of these may not be comparable because of adjustments but overall $3.61 is still $3.61. The current quarter is looking like $7 if they can get shipments back to 650k. We'll wait for more color on that in the conference call.
Then if shipments can hold steady near 700K in Q3 and Q4 and the strip bears out, that's around $4 each quarter so that's around $18.41 for the year versus $13.99 consensus. (and $10.61 in just two quarters)
The consensus drops to $7.97 next year for the full year and $4.40 the year after.
Bottom line: It's all about steel prices. They can drop 40-50% from here and still earn its entire market cap in 3 years (and never mind the $760m in cash on hand, land for sale, etc).

As far as I see it, this is a $4/share per quarter company. Put a 5x multiple on that and it's $80. Hope they can buy some more shares before the market figures it out because I'm in no rush.
<< Previous
Bullboard Posts
Next >>