09 Feb The value of a bull
By: Special Areas Board Agricultural Fieldmen
How to calculate the value of a bull? Beef Cattle Research Council has a calculator for that!
Different traits of bulls can contribute to different impacts on the bottom line of the operation. For example, a bull with a higher calving ease expected progency difference (EPD) may contribute to more live calves. Not surprisingly, generally bulls with higher
calving ease (or lower birth weights) sell for a higher price. With the large variation in bulls available, bull prices can range from $3,000 to over $20,000.
The value a bull provides is in the calves sired over his lifetime, the long-term genetic change of the herd, and salvage value at the end of his productive life. This value is influenced by:
- cost factors (i.e., bull maintenance cost and death loss),
- performance factors (i.e., years of service, the expected cow to bull ratio, expected weaning rate, expected weight of feeders, and proportion of the calf value attributed to the bull), and
- price factors (i.e., expected price of feeders and salvage value)
The BCRC’s Bull Valuation Calculator is a practical decision-making tool to help you estimate the breakeven price of a bull: the point at which a bull will have paid for itself. From there, you can use this information to decide what you can afford to pay for an animal—it will provide a benchmark value to serve as a guide when purchasing the best possible bull within that price range.