Stelco (TSX:STLC, Financial) had a difficult year in 2019 as its earnings dropped 90%. However, it has no debt, has the lowest cost steel production in North America and is selling at less than 5x normalized earnings. We continue to be very excited about its future under the leadership of Alan Kestenbaum, its CEO, and Chair Alan Goldberg. We own 13 million shares (14.6%) of Stelco at a cost of Cdn$20.27 per share.
From Prem Watsa (Trades, Portfolio)'s Fairfax 2019 annual shareholder letter.
