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Algoma Steel Group Ord Shs T.ASTL

Alternate Symbol(s):  ASTL | ASTLW | T.ASTL.WT

Algoma Steel Group Inc. is a Canada-based integrated producer of hot and cold rolled steel products including sheet and plate. The Company delivers responsive, customer-driven product solutions for applications in the automotive, construction, energy, defense, and manufacturing sectors. It is a key supplier of steel products to customers in North America and is the producer of discrete plate products in Canada. Its plate products include AR225, Heat Treated Plate, AlgoLaser, AlgoGrip and The Heavies. Its sheet products include Hot Rolled Sheet - DSPC, Hot Rolled Sheet - 106'' Mill, AR200, Cold Rolled and Floor Plate. The Company has a raw steel production capacity of an estimated 2.8 million tons per year. Its Direct Strip Production Complex is a thin slab caster coupled with direct hot rolling in North America. In addition, its heat-treated plate facility provides a full range of heat-treated products for abrasion resistant, ballistic and other specialty plate applications.


TSX:ASTL - Post by User

Comment by Stocker46on Feb 14, 2023 1:15pm
162 Views
Post# 35285582

RE:RE:Fiscal 3rd Quarter

RE:RE:Fiscal 3rd QuarterAlgoma's inventory went down by $274M over the last 2 quarters, likely had to do with decreased shipments as much as anything. That's nowhere close to the $892M drop in cash over the same period.

I get a kick out of those who get excited about hot rolled coil futures being just over $800.
In the last 6 months of 2021, those same futures averaged over $1,700 (& futures continued at a high level for the 1st half of 2022)
Algoma's average is higher as they also produce plate & cold rolled products.
In calender 4th Q, their average prices went down by 38.9% while costs went up by 22.3%

Was hoping to get back in but Algoma has quickly gone from undervalued to over valued. If you're in it for the long term (6 to 10 years), you will likely do fine. From my perspective, there are a number of high dividend stocks (with room for growth) that are a much better (shorter term) investment.





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