Morgan's commentary this morning on why FMG is a buy at the current share price!
Fortescue has the lowest cash
cost in the pure plays
We estimate Fortescue’s current all-in cash cost including sustaining capital and adjusted to a 62% Fe basis is US$72/dmt at a CFR iron ore price of US$100/t. At US$100/t CFR and a AUS/USD exchange rate of 0.87, we estimate Fortescue’s EBITDA in FY15
will be US$4bn, implying an undemanding EV/EBITDA of 5.3x.
Basically FMG will still make $4 billion even if iron ore price averages $100 the whole year, why would anyone short the stock, do they think nobody is going to need steel in the future?
Morgan's commentary this morning on why FMG is a buy at the...
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Last
$18.14 |
Change
0.020(0.11%) |
Mkt cap ! $55.85B | |||
| Open | High | Low | Value | Volume |
| $17.90 | $18.75 | $17.75 | $171.0M | 9.460M |
Buyers (Bids)
| No. | Vol. | Price($) |
|---|---|---|
| 3 | 1701 | $18.10 |
Sellers (Offers)
| Price($) | Vol. | No. |
|---|---|---|
| $18.14 | 41253 | 3 |
View Market Depth
| Last trade - 16.10pm 12/11/2024 (20 minute delay) ? |
| FMG (ASX) Chart |