FMG

5.04%

$17.50 fortescue ltd

Iron Ore Price, page-747

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redsceptre

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24/07/15

15:29

Post #: 15689700
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Originally posted by blox ↑

I can't say your wrong - because the market says your right. What I can't come to terms with is the cynicism that the market has in relation to the stock. Yesterday we had a 6% loss on the stock after an outstanding report that the market didn't think that it could deliver. Instead of it being embraced the "smoking gun" for the stock to be sold off is that they're high grading their ore. Really? Are they? The report suggests otherwise in black and white, but we can't take that at face value and have to read between the lines to get the truth. Really? again the cynicism is unbelievable. Why aren't people reading in between lines with rio and bhp to see if they're doing the same thing???

Their debt load is 10% of their delivered cost @$4 out of the $39. Is that really too much? You look at the balance sheet of any viable business that owns its own infrastructure and you wouldn't blink twice at a number like that. But again the market is cynical about that too. So what if its not cleared in 5 years. Who wouldn't let them refinance the debt and run again???

Whats to say that FMG can't get its costs down to the same as bhp or rio? Why is everybody so vigilant that this couldn't in their wiliest dreams be possible. FMG now has the infrastructure, the run rate and the established business market to sell to. Why do people think its impossible to sell at the same break-even price of the others??

I know the other thing people go on about is the low grade ore. Everybody conveniently seems to overlook that all of the 165mt FMG produces is theirs and that bhp and rio each only own between 80 - 85% of the ore they mine - effectively more than the discount that fmg receives for the lower grade ore.

If the cynicism has some facts to back it up, i could probably deal with it an move on - but it never, ever seems too.

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are you suggesting the 15-20% owners don't kick in for the costs? nice one.

FMG Price at posting: $1.65 Sentiment: None Disclosure: Not Held
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(20min delay)
Last $17.50		Change 0.840(5.04%)		Mkt cap ! $53.88B

Open	High	Low	Value	Volume
$16.89	$17.74	$16.84	$346.2M	19.88M

Buyers (Bids)

No.	Vol.	Price($)
3	5870	$17.48

Sellers (Offers)

Price($)	Vol.	No.
$17.50	12148	3

View Market Depth

No.	Vol.	Price($)
2	5300	17.480
1	1000	17.460
1	6609	17.450
4	6819	17.400
1	2500	17.350

Price($)	Vol.	No.
17.500	148	1
17.560	3333	1
17.600	2600	1
17.670	1000	1
17.680	593	1

Last trade - 16.10pm 13/09/2024 (20 minute delay)

FMG (ASX) Chart

Iron Ore Price, page-747

Medallion Metals kicking off 15,000m drill run at Ravensthorpe gold play

Dale Gillham's weekly wrap: US fracking support boosts outlook for Australian gas stocks

Metals Australia kicking off plant study at Lac Carheil; Canadian tariff tailwind potential

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Olam Agri raises Namoi takeover offer to 75 cents a share and receives shareholder backing

Vulcan appoints investment bank and M&A veteran to board

Mako sniffs gold at 170 g/t at Cote d’Ivoire's Napié play

Antipa divests its Citadel interest to JV partner Rio for A$17M, refocuses on Minyari Dome

Enova Mining unveils "high-grade" REE drill hits at Coda North, Brazil

Utah authorities sign off on Anson's lithium extraction plans at Green River

Featured News

Buyers (Bids)

Sellers (Offers)

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Iron Ore Price, page-747

Top Stories

Medallion Metals kicking off 15,000m drill run at Ravensthorpe gold play

Dale Gillham's weekly wrap: US fracking support boosts outlook for Australian gas stocks

Metals Australia kicking off plant study at Lac Carheil; Canadian tariff tailwind potential

Week 37 Wrap: HotCopper likes Cuban oil; markets shrug debate off for Putin; firebrand quant says social media a market threat

Olam Agri raises Namoi takeover offer to 75 cents a share and receives shareholder backing

Vulcan appoints investment bank and M&A veteran to board

Mako sniffs gold at 170 g/t at Cote d’Ivoire's Napié play

Antipa divests its Citadel interest to JV partner Rio for A$17M, refocuses on Minyari Dome

Enova Mining unveils "high-grade" REE drill hits at Coda North, Brazil

Utah authorities sign off on Anson's lithium extraction plans at Green River

Featured News

Buyers (Bids)

Sellers (Offers)

Featured News