The value of a bull is something we have always tried to figure out. It is a question that we have been asking for as long as we have been trying to make the next generation better. It is a question that is asked a lot during this time when many bulls are being marketed and we are getting ready for spring breeding season.
This can be a little tricky to nail down since the value is different for each producer. What one producer sees as important is viewed by another as a problem. It is up to each individual to decide this.
It is important to not forget how important the role that the bull will play. Even though it is just one animal it will provide half of the genetics for your herd. So it is very important that you decide what is of value before making that purchase. Here are some things to help you with that.
What are your goals?
The important first step in the buying decision is determining what your ranch’s goals are. Once you have decided what these are you can move forward in the process with those in mind. Operations should buy the bulls that they need not the bulls that they want.
Going with the “stylish” bull, the thickest one, or the one with the biggest weaning and yearling weights is easy. The trouble with this is that beauty is sometimes only hide deep, Going with only a single-trait selection is never a good idea with a bull.
Typically for most operations the main goal is a profitable cow herd. There are a few different aspects that can come together to help you achieve a profitable herd:
Live calves:
- Generally calves that have to be born with assistance such as hard pulls have a higher death and sickness rate than calves born unassisted. Three primary EPDs that predict the ability of a bull’s calves to be born unassisted are calving ease direct (CED), birth weight, and calving ease maternal (CEM).
Fertile and productive cows:
- one of the most important traits related to profitability is a cow’s ability to get bred in a set breeding season. She will need to be in proper body condition score in order for her to be cycling again after calving. The bull’s MIlk EPDs will help in this area. This EPD will not predict her milking ability but rather predict a sire’s daughter’s milk and mothering ability compared to daughters of other bulls. The higher the Milk EPD the more she will need to weigh at weaning to be in good condition.
Optimal performance on the ranch and beyond:
- This goes into the overall performance that the bull can pass on to the herd. Things like Weaning weight EPDs and Yearling Weight are what to look at here.
When planning at this stage it is best to put things into perspective and not just look at the sticker price. If you use the bull for 4 years it has the potential to have 100 calves over its service life so choose wisely. Sometimes the cheapest bull will end up costing you the most in the long run.
Questions about your place
Now that you have set down what your goals are when looking for a bull it is now time to ask questions about your operation. Choosing the right bull will do you no good if you are not able to take care of him after the sale. You will want to have the conditions right in order for him to reach his potential.
One thing that you should look at is the total upkeep costs of keeping that bull. You should look at things like what his vet bills will be, along with what the feed costs are.
An estimate of a bull’s yearly expense is from $500-$1500. Now this number includes things like feeding costs. his vet bills, and shelter (if needed). While there may not be any way to reduce the vet bills you can reduce the other costs if your pastures are in adequate condition with little need for supplementation.
Wil your management and nutritional program allow you to take advantage of his full potential. He will need to be in proper body condition to reach his genetic potential. Are your pastures managed properly where there is little need to feed out supplements that can raise your expenses. You have to remember that the larger the bull the more that he will need to eat to stay in the right shape.
Factors affecting the bull value
Though these may not be hard and fast rules there are some factors that can affect a bull’s value:
- Breed: Price is often set depending on the breed or if it is registered or not. Prices are different for purebreds and unregistered breeding stock. Breeds that are known for their beef and fertility are sold at higher prices.
- Bloodlines: The bloodline of the bull can play a great role in evolving certain traits and determining the price, His lineage is often looked at when buying a bull.
- Age: Bulls tend to fetch a higher price during their prime age. Most people prefer a fully grown animal rather than one that is too old or too young.
- Health: No one wants to buy a bull that is infected with some disease. His overall health greatly influences the breeding program as well as your upkeep costs. The healthier the bull, the higher the price.
When it comes to this it is important to purchase a bull from a reputable breeder. This will keep any “surprises” from popping up. I go into more detail about what to look for in a previous post “Picking a reputable Breeder”.
Math example
Now that we have gone over some things to look for it is time to give you an example to look for. A general rule of thumb is that a good bull is worth the value of 5 calves that he sires.
By going with that thinking according to the most recent USDA Cattle Market Report medium and large steers (500lbs) when for $2.03/lb. for a value of $1,015 per head. This means that if your plan is to sell weaned steers at this, $1015 x 5= $5,075 is your answer.
Now I will tell you that this is just one of many examples that you can go with. I suggest you look at it from your perspective in order to get the best answer.
