Mesabi Shs (MSB) AI Stock Analysis

• Market Cap: $539.89M
• Dividend Yield: 19.32%
• Average Volume (3M): 40.95K
• Price to Earnings (P/E): 30.3
• Beta (1Y): 1.07
• Revenue Growth: -78.78%
• EPS Growth: -81.27%
• Country: US
• Employees: N/A
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Steel
• EPS (TTM): N/A
• Shares Outstanding: 13,120,010
• 10 Day Avg. Volume: 25,035
• 30 Day Avg. Volume: 40,954
• PEG Ratio: <0.01
• Price to Book (P/B): 13.27
• Price to Sales (P/S): 12.16
• P/FCF Ratio: 3.30
• Enterprise Value/Market Cap: 0.79
• Enterprise Value/Revenue: 21.48
• Enterprise Value/Gross Profit: 26.22
• Enterprise Value/Ebitda: 34.91
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 73 Outperform
• Price Target: $41.00 ▲(12.27% Upside)

The score is primarily supported by strong financial quality (high profitability, strong cash conversion, and a zero-debt balance sheet). Technicals add support via a clear uptrend and positive momentum. Offsetting factors are cyclical volatility in revenue and free cash flow and a relatively high P/E, partially balanced by the very high dividend yield.

Positive Factors

Strong Financial Health

The company's strong financial health, with high profitability and a robust balance sheet, provides a solid foundation for long-term stability and competitiveness in the steel industry.

Revenue Growth

Significant revenue growth indicates strong market demand and effective business operations, enhancing the company's ability to invest in future growth and maintain its competitive position.

High Profit Margins

High profit margins reflect efficient cost management and strong pricing power, supporting sustained profitability and financial resilience in the competitive steel industry.

Negative Factors

Dependency on Northshore Mining

Heavy reliance on a single operator for revenue exposes the company to operational risks and market fluctuations, potentially impacting financial performance if the relationship or operations are disrupted.

Limited Reinvestment

Limited reinvestment in capital expenditures could hinder long-term growth and innovation, potentially affecting the company's ability to maintain competitive advantages and adapt to market changes.

Volatile Revenue Streams

Variability in production and shipments due to operational and market conditions can lead to fluctuating revenue streams, challenging consistent financial performance and planning.

Mesabi Shs Business Overview & Revenue Model

Company Description

Mesabi Trust, a royalty trust, engages in iron ore mining business in the United States. The company was incorporated in 1961 and is based in New York, New York.

How the Company Makes Money

Mesabi Trust makes money through royalties and fees from the iron ore mined by Northshore Mining Company at the Peter Mitchell Mine. The trust receives a base overriding royalty and a bonus overriding royalty based on the volume and price of iron ore shipped. Additionally, Mesabi Trust earns royalties from the sales of taconite pellets produced from the mined ore. These revenue streams are influenced by factors such as global iron ore prices, production levels, and demand from steel manufacturers. The trust's earnings are highly dependent on its relationship with Northshore Mining Company and, by extension, Cleveland-Cliffs Inc.

Mesabi Shs Financial Statement Overview

Summary

Mesabi Shs demonstrates strong financial health, characterized by high profitability and robust balance sheet metrics. The company has shown a remarkable ability to generate revenue growth and maintain profitability, crucial for the competitive steel industry. Cash flows are well-aligned with earnings, supporting financial stability. Attention should be given to operational efficiency and long-term reinvestment strategies to sustain growth momentum.

Income Statement

The company shows impressive profitability metrics with a high gross profit margin of 95.6% and a strong net profit margin of 93.8% for the TTM (Trailing-Twelve-Months). Revenue has seen significant growth, rising from $22.9 million to $97.97 million, demonstrating a strong upward trajectory. However, the EBITDA margin is relatively lower compared to other metrics, indicating potential areas for operational efficiency improvement.

Balance Sheet

The company maintains a robust balance sheet with zero total debt, resulting in a favorable debt-to-equity ratio of 0.0. Stockholders' equity is strong, contributing to an equity ratio of 94.7%. The return on equity is high at 96.4%, reflecting efficient use of equity. The high cash position relative to liabilities indicates strong liquidity. However, the company should monitor equity fluctuations as they impact leverage ratios.

Cash Flow

Cash flow analysis reveals a consistent increase in free cash flow, with a notable free cash flow growth rate. The operating cash flow to net income ratio stands at 0.98, indicating that the company's earnings are well-supported by cash flow. The company has managed capital expenditures effectively, with free cash flow to net income also at 0.98. The lack of significant capital expenditures suggests limited reinvestment, which may be a concern for long-term growth.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	25.46M	22.86M	7.50M	71.46M	25.95M
Gross Profit	98.27M	22.61M	7.16M	71.17M	25.73M
EBITDA	20.64M	18.54M	7.55M	70.99M	26.26M
Net Income	93.27M	18.98M	5.31M	68.77M	23.41M
Balance Sheet
Total Assets	101.73M	26.69M	14.12M	53.91M	22.93M
Cash, Cash Equivalents and Short-Term Investments	100.20M	23.98M	13.97M	47.73M	22.41M
Total Debt	0.00	1.96M	23.56K	4.63M	249.48K
Total Liabilities	78.40M	5.72M	2.68M	23.12M	6.45M
Stockholders Equity	23.33M	20.98M	11.44M	30.79M	16.48M
Cash Flow
Free Cash Flow	93.94M	14.61M	13.86M	62.84M	20.81M
Operating Cash Flow	93.94M	14.61M	13.86M	62.84M	20.81M
Investing Cash Flow	0.00	0.00	0.00	9.91M	3.43M
Financing Cash Flow	-17.71M	-4.59M	-47.63M	-37.52M	-21.91M

Mesabi Shs Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 36.52
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For MSB, the sentiment is Positive. The current price of 36.52 is below the 20-day moving average (MA) of 36.70, above the 50-day MA of 34.87, and above the 200-day MA of 29.63, indicating a bullish trend. The MACD of 1.68 indicates Negative momentum. The RSI at 66.46 is Neutral, neither overbought nor oversold. The STOCH value of 77.40 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for MSB.

Mesabi Shs Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
WS	77 Outperform	$1.84B	14.95	11.71%	1.78%	-0.75%	-13.51%
MSB	73 Outperform	$539.89M	30.30	29.57%	19.32%	-78.78%	-81.27%
FRD	69 Neutral	$138.76M	12.10	8.47%	0.75%	8.72%	43.14%
ACNT	64 Neutral	$153.58M	176.72	-3.84%	―	-29.03%	―
MTUS	62 Neutral	$792.16M	-94.77	-1.18%	―	-3.42%	-134.99%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
ZEUS	61 Neutral	$523.94M	40.95	2.40%	1.42%	-5.64%	-48.34%