Mesabi Trust (NYSE:MSB)

CAPS Rating: 5 out of 5

The sole purpose of the Trust is to conserve and protect the Trust Estate and to collect and distribute the income and proceeds therefrom to the Trust's certificate holders after the payment of, or provision for, expenses and liabilities.

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Player Avatar TheMightyKhan (< 20) Submitted: 2/20/2011 11:52:40 AM : Outperform Start Price: $33.72 MSB Score: -26.29

The only legitimate risk to this stock is the dissolving of the trust. If demand for iron falls they don't mine it and it sits in the mountain until demand rises. If iron prices fall, earnings take a hit but since MSB does not participate actively in the mining it is still all profit outside of very meager trust operational expenses. Is there any real question as to which way iron (all commodities for that matter) prices are headed?

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