TSX:TECK.A - Post by User
Post by
courtney10on Sep 27, 2011 11:13am
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Post# 19088534
Bottom was made
Bottom was madeDisclosure- long TCK, for several years have traded this stock. I got caught at the end of April buying at $51
- have since bought at different prices inthe forties and bought some the other day at $31.75.
I fail to believe that Europe will go under, the governments have the ability to fix the problems there, and with BRIC countries looking to buy up bonds, I just feel that too much can be lost if Europe goes under.
Met coal sales should be around $230/tonne for next Q- based on $285x .80 on highest priced coal. Costs are around $110/tonne- the uncertain part here is the volume- projected to do 7 million tonnes, but who knows- so lets be conservative and say 6 million tonnes = $720 million cash flow,
This Q - should be over $1 billion cash flow- 2011 will be close to $4.5 billion operating cash flow.
Copper costs are about $1.50 pound, zinc costs are very low. Company still makes alot of money in this environment, plus it has a competitive advantage - we are 17% owned by the Chinese, guess who provides the company with insight as to future demand.
I know that investors think that the world is comingto an end, and everyone is avoiding commodity stocks like the plague, but at some point, the big boys must realize that TCK.B at $30 is extremely cheap, and by not buying , you can lose out on big gains.
BTW- at $30- the yield is now 2%- not bad for a growth stock
IMHO