Led by its outstanding CEO Alan Kestenbaum, Stelco (TSX:STLC, Financial), in spite of a very difficult year in 2020, upgraded and modernized its facilities increasing its capacity by 10%, negotiated a strategic long term iron ore pellet supply agreement (and an option to acquire 25% of the high quality, low cost Minntac Mine) and further enhanced Stelco's industry leading cost position. Given current steel prices, Stelco is well poised to do extremely well in 2021. It continues to be debt free. Its stock price went from Cdn$11 at the end of 2019 to Cdn$4 in March 2020 and ended the year at Cdn$23. And they say markets are efficient!
From Prem Watsa (Trades, Portfolio)'s 2020 annual shareholder letter.
