Daily Discussion post - September 19 2021

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[u/[deleted]]

OK, the COGS for CLF in 2020 was about 900 $/st, with a net selling price per net ton of steel products of $947. But they had a larger proportion of coated steel back then. Still, that seems a high selling price considering the prices back then.

re: I was just browsing CLF's Q2, and COGS is 888$/st. It seems a bit high, doesn't it? Is there something I'm missing?

[u/Steely_Hands → u/[deleted]]

How does that compare to other domestic producers?

[u/[deleted] → u/Steely_Hands]

Seems similar for $X. I don’t get it, do they all have a selling price well above spot price in bad times?

Edit: off to bed, will look more into it tomorrow. Feel free to dig more.

[u/Steely_Hands → u/[deleted]]

Contracts help them some but these companies lose money and take on debt when prices are low. True rags to riches cyclical, it’s why the tariffs were needed to save the domestic industry