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Investor Insights

This summary was created by AI, based on 1 opinions in the last 12 months.

The experts have raised concerns about Sherritt International Corp.'s financial health, citing a high Bloomberg default ratio and negative cash flow in the last quarter. They also expressed uncertainty about the company's ability to raise funds through equity issues due to its small size and existing issues. Most of the debt matures in 2026, leading to the consensus that investing in this stock carries significant risk.

Consensus
Risky
Valuation
Fair Value
RISKY
Trevor Rose’s Insights - Trevor’s most-liked answers from 5i Research

It is certainly not beyond possibility. Bloomberg default ratio is 7.36%, which is very high for that indicator. Cash flow was negative in the last quarter, yet 12-month interest expenses were $36.1M net. With its small size and Cuban and other issues, we are not sure it could raise a lot of money with a dilutive equity issue. Most debt matures in 2026. Certainly any investment here needs to be considered extremely risky.
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integrated mines
DON'T BUY

Always highly leveraged on risk/reward. Geopolitical risk of Cuba. Nothing compelling in terms of nickel or cobalt options, there are better choices. No dividend. 

integrated mines
DON'T BUY
Transformed company from 4-5 years ago. Not a good investment. Looking elsewhere. 96% retail ownership implies speculative asset. Tough business to operate in (mining). Consistently losing money.
integrated mines
WEAK BUY
Getting to the right theme is the most important thing. Has a good basket of assets. Recently pulled back. It's a small cap, so you have to be careful. But it should continue to participate as long as base materials continue to improve.
integrated mines
DON'T BUY
This is a zero, although not priced there yet. That is where it is going. It has been a lousy company for a long time. Madagascar will prove to be their undoing. They defaulted on their debt in February. Their debt is currently worth 54 cents on the dollar so the stock is worth zero.
integrated mines
COMMENT

Historically owned bonds. If the trend for nickel continues, it will do well.

integrated mines
DON'T BUY
He's looking at their bonds. They're misunderstood. They've struggled badly this year as Trump pressure countries like Cuba and Venezuela where Sherritt has interests. Also, the company has a lot of debt to pay.
integrated mines
DON'T BUY
It's trading as if the market thinks its balance sheet will disappear--sell-off. Avoid this.
integrated mines
DON'T BUY
There is evidence of a bottom developing but he thinks we are in a world where growth is slowing. You need a robust economy to invest here, but it may be tradable. The story over 5 years is down.
integrated mines
DON'T BUY
He does not look at stocks trading at this level. This stock could go anywhere. He predicts it goes down.
integrated mines
COMMENT
The share price keeps falling. Why? The biggest thing recently is in Cuba where they have assets and deal with the government to repatriate cash flow, not related to that quarter's cash flow. A quarter ago, Cuba didn't pay. Two weeks ago, they announced a solution, a deal with the Cuban government which is cash-strapped, especially as it deals with the costs of hurricanes that have hit Cuba. Cuba has to pay or else it will scare off other Western companies.
integrated mines
SELL
This is going to 0. The assets are stranded in Cuba. Trump has opened the door to litigation. They have a terrible mine in Madagascar. Sell it, run away.
integrated mines
COMMENT
Cobalt is a partner commodity in the production of lithium batteries. Earnings are expected to be negative in 2019. Cobalt prices have risen sharply, causing manufacturers to find a way to move away from using it -- nickle may replace it (as an aside Sherritt could be a potential benefactor of this). He would consider selling FCC-V in favour of XBC-V (who focuses on garbage dump gas extraction).
integrated mines
HOLD
Most base metals travel together. Copper is down, zinc is down, so he thinks it is following the basic trend. Earnings are expected to improve next year and cash flow suggests it trades at 6 times cash flow. It is supported by EV automobile growth. He would continue to hold.
integrated mines
DON'T BUY
It's fallen on hard times. It bought a big mine in west Africa and has trouble getting it to run at a profit. They took on a lot of debt to buy that mine, and not the credit cycle is turning. Their bonds are trading as if is S is going bankrupt.
integrated mines
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Sherritt International Corp.(S-T) Rating

Ranking : 4 out of 5

Bullish - Buy Signals / Votes : 1

Neutral - Hold Signals / Votes : 0

Bearish - Sell Signals / Votes : 0

Total Signals / Votes : 1

Stockchase rating for Sherritt International Corp. is calculated according to the stock experts' signals. A high score means experts mostly recommend to buy the stock while a low score means experts mostly recommend to sell the stock.

Sherritt International Corp.(S-T) Frequently Asked Questions

What is Sherritt International Corp. stock symbol?

Sherritt International Corp. is a Canadian stock, trading under the symbol S-T on the Toronto Stock Exchange (S-CT). It is usually referred to as TSX:S or S-T

Is Sherritt International Corp. a buy or a sell?

In the last year, 1 stock analyst published opinions about S-T. 1 analyst recommended to BUY the stock. 0 analysts recommended to SELL the stock. The latest stock analyst recommendation is . Read the latest stock experts' ratings for Sherritt International Corp..

Is Sherritt International Corp. a good investment or a top pick?

Sherritt International Corp. was recommended as a Top Pick by on . Read the latest stock experts ratings for Sherritt International Corp..

Why is Sherritt International Corp. stock dropping?

Earnings reports or recent company news can cause the stock price to drop. Read stock experts’ recommendations for help on deciding if you should buy, sell or hold the stock.

Is Sherritt International Corp. worth watching?

1 stock analyst on Stockchase covered Sherritt International Corp. In the last year. It is a trending stock that is worth watching.

What is Sherritt International Corp. stock price?

On 2024-11-20, Sherritt International Corp. (S-T) stock closed at a price of $0.18.