EAF (Update)

GrafTech International Ltd

Industrial/Transportation


Presented:01/29/2019
Price:$12.79
Cap:$3.72B
Current Price:$1.44
Cap:$0.37B

Presented

Date01/29/2019
Price$12.79
Market Cap$3.72B
Ent Value$7.86B
P/E Ratio5.64x
Book ValueN/A
Div Yield0%
Shares O/S290.54M
Ave Daily Vol1,431,997
Short Int3.25%

Current

Price$1.44
Market Cap$0.37B
GrafTech International Ltd. engages in the manufacture of graphite electrode products for the use of production of electric arc furnace steel and other ferrous and non-ferrous metals. It also produces needle coke products which is a raw material to producing graphite electrodes. The company was founded in 1886 and is headquartered in Independence, OH.

Please note, this is an update to EAF - Long, which was originally presented on August 3, 2018.

Publicly traded companies mentioned herein: Brookfield Asset Management Inc (BAM), GrafTech International Ltd (EAF)

Highlights

The presenter remains long shares of GrafTech (EAF), and believes that the graphite electrode manufacturer may be signing new long-term agreements (LTAs) at higher prices despite recent price declines and fears of increasing Chinese supply. He continues to see EAF generating ~$4B of FCF over the next 4 years, and given a market cap < $4B, he sees meaningful upside potential for the stock. His updated earnings forecast is $2.80/share and $3.50/share in 2018 and 2019, respectively.

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Idea Discussion

Commentor 1 - 2 weeks ago

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