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Strategies & Market Trends : Value Investing -- Ignore unavailable to you. Want to Upgrade?

To: E_K_S who wrote (69291)	12/10/2021 6:25:37 PM
From: Elroy	Read Replies (1) \| Respond to of 78464

Been in UAN for many years (even before their last acquisition) and would say management is just average. That observation is based on their prior 5 year operation history where they lost money! I don't think that's evidence that management is doing a bad job. If the commodity price is low, and the debt interest load is high, there's not much management can do to improve financial performance. Going forward UAN should (at current fertilizer prices) make a LOT of money. That's because of the increase in fertilizer prices, not due to UAN management. I've read that UAN management has done a great job of avoiding manufacturing mishaps, and also done a good job on growth capital spending improvements which improve production capacity. It that true? I don't know. But if it is true, and the current cycle last for a few years, then I wouldn't be surprised to see the UAN unit price well above the previous peak of about $250 in about 2012. Back then UAN only had one plant (now they have two), and back then each plant had a lower production capacity than it has now due to these growth capital spending projects. Hope they can book very large gains to help them through the slow periods that will eventually come. Not sure what you mean. UAN will distribute any large gains to unit holders. I doubt they increase their cash reserves beyond the increase taken in Q2 (about $15m cash "reserved" to make up for previous cash losses). FWIW Still own all my shares w/ a few very small sales this year at/above $81/share. Do you buy and sell single digit percentage positions in each individual stock you own? You can Paul seem to trade all the time. I buy stock, and let it sit there for years and sometimes decades.......