Are we going back to 13$? We have a 6% dividend yield, which represent 50% of FCF. We are going through one of the worse market for freight, and margins are rock solid for MTL.
As Mr. Mullen stated, real estate is the largedt asset class on the balance sheet. With assets recorded to cost, and I validated a majority was bought over 10 years ago, so the 2-300M$ more that real estate is worth, at market value, get the currect stock price just on such an ajusted book value.
This company, with great ebitda margins, trading at book value? I understand the track record compare to TFII, but getting out of oil business required a lot or time and money for MTL and makes history, for the 2 company, less alike what the futur holds for both (which might be more alike).
Canadian population growth comes with lots of consumers needs in the first few years of residency. This compensate for consumer softness related to debt levels. Add to this rates that going down every month and a pentup demand for housing, we are good for some economic activity in Canada in the next few years.
If there is a little bumpy ride ahead, mtl could buy some tuckins acquisitions and buy market shares at good prices.
This stock is in a win win situation no mather the path from here, unless we get a really serious recession.