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Bullboard - Stock Discussion Forum 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... see more

TSX:ASTL - Post Discussion

Algoma Steel Group Ord Shs > ASTL: Net Cash, Profitable and Stelco's CEO statements
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Post by stockfy on Nov 26, 2022 3:32am

ASTL: Net Cash, Profitable and Stelco's CEO statements

Many investors are so short-sighted that they are unable to read a cash flow report. Even in Q2 when the fire occurred and impacted negatively ASTL's production and revenue, ASTL ended up generating positive operating cash flow before changes in non-cash working capital.

According to the cash flow report, ASTL generated C$72 million in operating cash flow before changes in non-cash working capital:

https://ir.algoma.com/news-releases/news-release-details/algoma-steel-group-reports-fiscal-2023-second-quarter-results#:~:text=Second%2Dquarter%20revenue%20totaled%20%24599.2,%2C%20down%2019.9%25%20from%20%241%2C720.

 
Not to mention that many are even unable to realize that the fire is a non-recurring event and does not happen every quarter. 

Many do not even see that ASTL is profitable and does not have any debt problems because its net cash position is about C$365 million.

Many do not even know another tailwind for ASTL. Stelco's CEO said a few months ago that the bottom in steel prices was in July and the steel prices have stabilized and demand has returned since August:

https://www.bnnbloomberg.ca/ceo-who-dubbed-steel-market-a-falling-knife-is-calling-a-bottom-1.1809505


"Things are going to stay steady as we get to the end of the year and I don't see any further breakdown in price".


 
Comment by Stocker46 on Nov 26, 2022 2:43pm
Many investors also don't know the extent to which Stockfy will pump a company that he has recently bought stock in. The drop in Cash this last quarter was due primarily to a stock buyback ($543 M) but due to the huge drop in earnings they dropped an additional $129 M. Consensus earnings for the next Q is 16 cents per share or about $38 to $40 M (45% less than the $87.2 M just reported ...more  
Comment by stockfy on Nov 28, 2022 9:13am
I posted facts either you like them or not. 
Comment by yureja42 on Nov 27, 2022 12:58am
This post has been removed in accordance with Community Policy
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