Buying Advice for turn out investment

[A-RRanch]

OK Im needing a little experienced advice. I know everything in the cattle business is a gamble but here is what Im thinking. Even with these dry conditions I have enough bottom ground and grass to run some more cows thro the summer here in College Station, Texas. So my question is do you think its advisable to go buy a few and turn them out to sell in the fall with my regular calves? Again it wont cost me much if anything to feed them so what should I look for to make the most profit in 4 or 5 months? Thank you!

 

[denvermartinfarms]

If you want to turn them as quick as 5 months, I would buy 450 to 500lb steers to run.

 

[Kingfisher]

Do you gave some handling facility?

 

[A-RRanch]

I do yes. Some good pens.

 

[A-RRanch]

When I just sold some bull calves to clean up some leftover neglect I learned that my 600 pounder only brought $60 less than my 900 pounder leading me to believe that selling in the 6-700 range is optimal. If I buy 500 pound steers and sell them in 4 or 5 months will I be in that sweet spot still?

 

[bmcdonald]

I kinda of close to you my thoughts
On it is $800 is usually the max u will
Get for calf around her that's probably why
The 900# steer didn't bring much more then 4 &500#
Calf
Right now its a replacement heifer and stocker cow
Market I would buy heifer calfs and Breedem and sell as
Med bred in the fall special sales

 

[A-RRanch]

That is an idea I didnt think of Bmcdonald but it works good for me since I do have a bull. I need to find him tho....

 

[denvermartinfarms]

800 to 850lbs is generally a very good weight to sell. I was thinking if you bought some 450lb to 500lb un weaned steers and kept them 5 months you will have them at about 850lbs. That's just what I would do in your situation. All the calves I feed I keep 7 to 9 months and I buy them smaller. I was changing what I do to a shorter turn around.

 

[HDRider]

800 to 850lbs is generally a very good weight to sell. I was thinking if you bought some 450lb to 500lb un weaned steers and kept them 5 months you will have them at about 850lbs. That's just what I would do in your situation. All the calves I feed I keep 7 to 9 months and I buy them smaller. I was changing what I do to a shorter turn around.

Can you say, over time, what you see as the buy/sell difference per pound? Is there a consistent percentage difference you have seen over time?

I don't know if I am asking my question real clear. Say you pay $150 to buy and get $120 when you sell. That would be a 20% drop in sell price per pound. I know it jumps around, but I wondered if you had a percentage in mind? Anyone??

Thanks

 

[bigbull338]

the feedlot weights have shifted to the calves that weigh 700lbs or more because they take less days on feed to finish out.thus lowering the days on feed an feed cost.years ago feed was cheap so the could afford to buy the 500lb calves an put them on feed.but not anymore.

 

[denvermartinfarms]

I was also going on the idea that he said he won't be feeding them much or any. So the cost would be low, and the gains would be a little short.

 

[cowboy43]

With the shortage of cows, would it not pay to buy 450 to 550 lb replacement heifers to hold and resale for replacement .

 

[Stocker Steve]

Can you say, over time, what you see as the buy/sell difference per pound? Is there a consistent percentage difference you have seen over time?

The price per pound roll back for increased weight is seasonal here. Cheapest calves are usually light ones during the fall run. Most expensive feeders are usually yearlings in late summer before the fall run starts.
The price per pound increases for reduce weight also flattens below 350#. Most guys don't have the facilities and skills to handle really light calves, or they are afraid of buying junk...

 

[denvermartinfarms]

With the shortage of cows, would it not pay to buy 450 to 550 lb replacement heifers to hold and resale for replacement .

The simple answer is no, you can do okay running some heifers, but don't expect anything extra just because they could be replacements.

 

[Stocker Steve]

With the shortage of cows, would it not pay to buy 450 to 550 lb replacement heifers to hold and resale for replacement .

Been there. Another it depends on your situation.
If --
the market is steady or rising,
and your cost for overwinering feed is reasonable,
and you know how to market replacements,
then yes.

To me the point of selling replacements is it can pay more per ACRE than cow/calf. So by applying the modified Anazazi approach I retained most of my heifers last fall, and I will resell about half of those remaining this fall as breds, and then I will hope I chose wisely.