> they mostly graze on infertile land
This is true during the first year of life. After that, most cattle are moved to dense feedlots. Further, the infertile land they're grazing on, in many cases, is infertile precisely because of the way it's grazed. In the scenario where herds graze huge tracts of unbroken native grasslands, the result is increasingly fertile soil.
When grazing animals are confined to small lots, the resulting erosion of topsoil and over-grazing reduce the fertility of the land.
> the plants a cow is eating are inedible to humans
> Most food they are fed in the finishing stage is farm byproduct that would otherwise get thrown out.
True in many cases, but missing the larger point. This waste would typically be scattered over huge tracts of land, sequester carbon and re-fertilize the soil over long time horizons. Instead, we turn it into methane and artificially fertilize.
> What a cow is really doing is turning inedible sources of food into nutritious human food.
True, but fails to consider the negative externalities.