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TSE:S

Sherritt International Corp. (S.TO)

0.12
+0.01 (9.09%)
as of May 19, 2026, 8:00:00 pm Market Open.
93 watching
0
TOP PICK
8% bonds. Rated a noninvestment grade bond but tremendous value. That leverages is small.
COMMENT
Opening a huge mine in Madagascar. Had a terrific quarter. He is taking another look at this one and may consider going back into it.
BUY
7.75% bond maturing Oct 15/15 and yielding 6.75%. Holds this one personally. This is an investment-grade company. Operates in Madagascar and Cuba, which offers a lot of political risk. Not for every investor.
COMMENT
New nickel mine in Madagascar is pretty much nearing completion. This is a key for them as it is such a huge project. There are some questions about political stability. Looks inexpensive. Higher risk than his clients could tolerate.
PAST TOP PICK
Oct, 2014 Bond (Top Pick Mar 9/11, Up 5.45%) He moved into a new issue.
DON'T BUY
When they got into the Madagascar play, he felt the timing was not conducive. Made a lot of sense from a geological standpoint. That part of the world is less than stable politically. He’ll wait to see how they do on this before stepping back in.
BUY
A core holding. With commodities when the price of the commodity goes down you just run the thing flat out. In the nickel business, it is very high cost, and they shut down as soon as it goes down. So 7% of world production disappears as soon as it goes below $10. He writes Madagascar off as zero. Other business is very profitable. They have western Canada coal. Can easily make a dollar share and is yielding 3.5%. It won’t o to the moon. He can own it in this band.
DON'T BUY
Cyclical commodity based business. This one in particular has some political geographical risks. Madagascar project has non-recourse financing but not sure how important this project will be. Good assets for the next cycle but there is no rush to buy.
PAST TOP PICK
(Top Pick Sep 1/10, Up 4%) 7.75% bonds maturing October 2015. He will do equity like return in a bond.
BUY
Have coalmines in Canada. Nickel mine in Madagascar. Supposed to come on in early 2012. Question is whether it will work when you turn the switch on. They know the technology and put it in for other mines.
COMMENT
Diversified base metals and coal. Have pulled back quite a bit with investors fleeing to safer havens. Very large project under development in Madagascar. Stock has been punished probably because of the perceived political risk. This mine could be extremely profitable for the company.
PAST TOP PICK
(A Top Pick July 6/10. Down 16.11%.) In a year or so it should be able to earn $1 so at $5 it will be at 5X earnings. 3% dividend yield. It can be very profitable at $9-$10 nickel.
DON'T BUY
Well run company, diversified. The problem is that it is the wrong kinds of business for the current economic environment. These types of companies can really get clobbered. If you think this is a mid-cycle slowdown, then it could do well in a mid-cycle slowdown. It will have a difficult time if the economy is slowing.
COMMENT
Play on Cuban nickel as well as a play on coal and oil. Have a big mine in Madagascar which may or may not get completed. A play on global growth. If you are concerned about global growth, this is not one you want to be in. Not much dividend support.
PAST TOP PICK
(A Top Pick Sept 1/10. Up 7%.) 7.75% bonds maturing October 2015.
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