Iron ore price, page-27249

Some good news posted up on LiveWire today.


The #2 most tipped large-cap: Fortescue Metals (ASX:FMG)

Percentage of votes in the top 10: 17.2%

Market Cap: $78 billion

Fortescue Metals Group (ASX:FMG) is an iconic Australian success story chaired by the enigmatic Andrew ‘Twiggy’ Forrest. The stock is currently trading near all-time highs on the back of a stunning 135% return in CY20. Australian mining companies were a bright spot in 2020 as their operations went unhindered by Covid, allowing them to take advantage of soaring prices in key commodities such as iron ore.

Dushko Bajic from First Sentier recently highlighted Fortescue as a potential outperformer for the year ahead. Bajic says the Pilbara iron ore sector is a competitive advantage for Australia’s economy and a great source of investment opportunity with stocks like FMG sitting low on the cost curve.

Perhaps, the biggest (and most surprising) kicker for FMG is that the stock is falling onto the radar of income investors. Peter Gardner from income specialists Plato Investment Management recently called out FMG as a top source of franked income. Gardner estimates the pure-play iron ore miner is spitting out gross income north of 14%