CINR - Ciner Resources: A Below-Par Q3 Caution Required
Ciner Resources (CINR) reminds me a lot of Compass Minerals (CMP), which I discussed recently. Both companies have cost-advantaged mines from which they extract their respective commodities (trona and salt). However, over the past 18 months, both Ciner and Compass have experienced production issues, both mechanical and, of late, ore quality related.
Ore quality, in fact, was responsible for Ciner's disappointing production volumes in Q3. High soda ash selling prices mean that the company still covers its distributions (9% yield at present), but for Ciner to be a long term