Hi AHendo.
You are right the GFC was brutal and RIO was hammered. But I genuinely think that was different to now.
Rio at that time had just purchased Alcan and carried $42B of debt from memory. Rio was at risk of survival due to the debt and had to do a massive capital raising at a steeply discounted share price. FMG also had its survival in question back then due to debt.
Now the balance sheets of the major players are pristine. They all learned from the GFC. As an example FMG used to carry massive debt but now has net cash no net debt.
Another difference is that the capital discipline of the big iron ore miners has been excellent. They are being careful and selective with their expansions.
If the IO price collapses then no doubt share prices will fall but I don't think the survival of the companies will be a concern this time. It will be a buying opportunity.
Hi AHendo. You are right the GFC was brutal and RIO was...
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Last
$27.30 |
Change
0.290(1.07%) |
Mkt cap ! $84.05B | |||
| Open | High | Low | Value | Volume |
| $27.64 | $27.67 | $27.15 | $99.32M | 3.622M |
Buyers (Bids)
| No. | Vol. | Price($) |
|---|---|---|
| 5 | 12770 | $27.30 |
Sellers (Offers)
| Price($) | Vol. | No. |
|---|---|---|
| $27.31 | 2433 | 2 |
View Market Depth
| Last trade - 16.10pm 22/05/2024 (20 minute delay) ? |
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Last
$27.39 |
Change
0.290 ( 1.73 %) |
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| Open | High | Low | Volume | ||
| $27.64 | $27.66 | $27.16 | 658236 | ||
| Last updated 15.59pm 22/05/2024 ? | |||||
| FMG (ASX) Chart |