BSL Strong Buy

Hi guys,

Just wanted to share with you my analysis of BSL.

BSL is the first stock I have ever bought based on my own research(I am new to this game).

Here are a few good boosts to confidence of holding and buying BSL.

1. Here is an industry comparison:

http://markets.ft.com/research/Markets/Tearsheets/Business-profile?s=BSL:ASX

- You can clearly see BSL holds up high relative to its peers, it would be favourable for BSL to convert more of that revenue to net income but Australia for one instance is an expensive country to produce in.

2. Here are some broker recommendations:

http://www.reuters.com/finance/stocks/analyst?symbol=BSL.AX

- In terms of a linear scale its more towards outperform.

3. Here are the futures for steel:

http://www.cmegroup.com/trading/metals/ferrous/hrc-steel.html

- You can see that the overall trend is upward (i.e. we have bottomed out these lows).

4. If you look at the prices of steel over the last 5 years you can see it also start to bottom out and there is a point of inflexion upwards:

http://www.metalprices.com/p/SteelBenchmarkerFreeChart

5. Lastly, the most important! FORECASTS:

http://markets.ft.com/research/Markets/Tearsheets/Forecasts?s=BSL:ASX

All values are positive for the next FY with a high of $6.00. Everything looks promising.

6. Time to talk DOWNSIDE:

- Chinese steel producers are much cheaper than BSL in terms of overhead etc.
BUT they lack QA and working in the industry I know the common complaints of Chinese steel (there are times when they will take shortcuts for instance using lower grade or other deceptive moves) - Please not these are facts as I have seen them, I am not being racist in any form.

- There are more profitable Chinese producers BUT BSL have a strong workforce fleet and with the right strategy and management the company can lift upwards.

Lastly, just keep in mind 40.15% of BSL is owned by sophisticated investors (instituional investors). These guys know a LOT more than us and obviously are aware of the massive upside return of this company.

(http://markets.ft.com/research/Markets/Tearsheets/Business-profile?s=BSL:ASX - Scroll all the way down)

ALL IMO AND DYOR