CMC sold Howell Metals today.
Wow - copper wire producer - pretty high margin business.
Not sure what the strategy is here.
Howell is a producer of common water tubing, not wire. The strategy is sound. CMC is first and foremost a steel producer. Selling Howell signals Wall Street that CMC is focused on our core business.
There has not been a real long term strategy since 2006. Right now it's called sell CMC off one asset at a time. At some point, you run out of assets to sell.
I thought they were a solid niche business?
Guess they needed the money