bci and io analysis

Some comments about the IO price from "The Bull"

http://www.thebull.com.au/premium/a/44905-the-verdict-on-iron-ore-miners.html

and part of that article....

Smaller rival BC Iron (BCI) also disappointed brokers with a lower than expected dividend payout ratio and lowered forward dividend guidance; this despite a relatively strong balance sheet with cash of $196.7M and debt of $65.6M as of the most recent quarter. This appears to have overshadowed what was otherwise an impressive report, with a net profit increase of 813% over the Half Year Results reported a year ago. The company also had record revenue for the period, up 186%. Management attributed the strong result to solid iron ore prices for the reporting period along with the declining Aussie dollar. Cautious investors will take note that the price of iron ore over the coming months may not be as solid. In addition, the company reported Cash Operating Costs for the period of about $US37 per tonne. The breakeven point calculated by UBS is $US70 per tonne. BC Iron has a 50/50 joint venture with Fortescue in Australia and an additional J/V in Brazil. BCI was added to the ASX 200 in December of 2013 and the share price is up around 40% year over year. Here is the chart:

MISSING...SORRY

Over five years, the company has rewarded its shareholders handsomely, with a 64.6% average annual rate of total shareholder return (dividends plus share price appreciation.) The stock price has risen 700% over ten years and 1000% over five years.

Pity about the JV ratio.....should be 75/50 but otherwise a good read.