Mesabi Trust (MSB)

Long Term Jewel. I purchased this a number of ears ao on advice from a friend. Got at very low price and wish I had bought a ton. I have addd to my holdings peiodically. Great dividends/royalties. Steady. (As long as the ore holds out in their holdings).

The pitch for this stock can be found on the Stinky Feet discussion board at http://boards.fool.com/Message.asp?mid=27356289 . Stop by and let us know what you think

This Company (Mesabi Iron) was a boom during the 30's through the 60's. When the ore finally ran out, and foreign steel was cheaper, it pretty much faded from sight. (I live in the same County that this Company is) With NEW methods of finding and extracting ore, the townfolk surrounding the old mines are hopeful they can be re-opened and jobs produced. I feel there is a good future for the area, and MESABI, and for MANY years to come!!

Mesabi Trust (I cribed this one from TheStinkyFeet), is a dividend play. IF the S&P has topped then it might be time to look for good dividend hands again. The problem is that most of the companies known for their dividends are in a bit of trouble. There are some good and some bad, but the ol' standby REIT' should all be looked at very carefully in this economy. Mesabi is also NOT bullet proof, holding interests in iron ore which is questionable during a recession, but seems to be fairing okay IF there really will be a rebound. As a trust, looking at their balance sheet is not too productive as far as margins, book, sales. What is useful is Revenue (from the trusts), quarterly growth, and cash flow which is parsed out in dividends. They do not retain any funds. To see how good of a year, (size of dividends) they might distribute would require diving deep into actual business's that feed in the revenue AND by doing some calculations on the iron ore prices, most of which theirs is low grade. Their dividends are very erratic. As such, from a caps perspective, I don't plan on doing that exercise. They typically average 10% dividends and stock price will appreciate if dividends increase. My thesis is that any fair dividends should beat out the S&P if we are topping. If we kick out another 30% gain in the next year then unless MSB sees both share price appreciation and dividend increases then it's probably no contest. In '06, '07, and '08 the largest of the four annual dispersements was in October, so maybe I can give this a try for the short run and see how it goes without getting "too hurt". :)

THIS IS GOING TO BE A MID 09 BUY & HOLD FOR MY PORTFOLIO. THIS STOCK COULD SEE $150.00 IN THE 3/5 YEARS. BUY & HOLD!!!!!!!!!!!!

High dividend almost guarantees it will match the S&P. Factor in another 10% production increase next year, plus Rio Tinto is already grumbling about raising ore pellet prices again next year and you've got a winner. Whether the U.S. economy goes south or not, China is the driver for iron and steel commodities right now.

testing high ROE/RGR

magic formula

Solid fundamentals and growth opportunity here.

Up on high volume.

I have to admit, I'm a dividend sl*t!!! :)

low p/e, good earnings, nice dividend, positive growth outlook, and bought it at $6.20 acouple of month's ago.

MFI following, all have negative Fool ratios but impressive 3 month gains

Fat dividend and a nice valuation IMO.

Near 52 week low.

Good earnings, low PE, No debt and beaten down.

stinky feet

Great Growth to P/E, high dividend safety. Vestorvest ranks it as one of it's highest ranking on all of its criteria.

This stock is one to watch. Right now steel is down, but will not remain so permanently. The company has good numbers and should show good growth.