Post by
Jackroy on Jul 27, 2015 2:06pm
Terrible Quarter - but outlook has got to be good
I think the second quarter will not be good based on the Superior results, however, I am very optimistic. 3rd quarter will be confusing with the sale of the rail facility. Superior said that a significant number of major pulp plants had extended shut downs in the quarter - unexpected - and this lead to poor sales. They said prices were a little week as well. However, they said prices are stabilizing and that they see there being tightness in the market 4q onward and they are very optimistic. Also, they said the US $ will help but they are hedged too much. They said, THEIR CANADIAN COMPETITOR IS ALMOST COMPLETELY UNHEDGED AND SHOULD MATERIALLY BENEFIT FROM THE US EXCHANGE. SA and 2/3rds of Canadian chlorate is in US. Canfor pulp has also indicated that 2016 is looking very promising. US economy is strong. I really see this as a $3.00 stock next year - maybe more