Australian (ASX) Stock Market Forum

FMG - Fortescue Ltd

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Yep, could be that, but let's get back on track on FMG before squabbles break out

You're new to the site, I don't want you to make the same mistakes that we newcomers to this forum made, myself included. Stick to the subject thread, and all will be well. Good luck, Bailx, and welcome to the forum
 
Bailxtrader said:
Tricky business! I notice it was up with my broker site. After all the revelations of FMG in the news and that big pay day I thought they be going great guns. But when I had a look at there chart I was surprised to see them sinking. So I guess I just lost the plot and to took FMG at face value and was shocked. I understood they'd been down these last couple of days and there up today 1.83% at this present time but I'm still shocked and need my Valium...Thing is I don't think it gunner climb any time soon. ( it chocking )

Is the recent downturn the past month due to Administration and poor money management giving away all those Billions ?
Click to expand...
i wouldn’t read too much into it, it’s paid a $1.54 in dividend so that’s part of the drop, and iron ore has come off a bit which always causes the market to freak out a bit.

but if you are a long term holder just put your buy contracts in the bottom drawer and go enjoy that Valium or go to the movies, and let the business take care of itself.
 
sptrawler said:
Being Australia centric, the greater the spread, the safer the gamble.
As nickel has shown, materials are a fickle market.
Click to expand...
I think the biggest lesson to take from nickel is that it’s best to be the low cost producer not the high cost marginal producer.

being the low cost producer is everything in mining, when it comes to Iron Ore FMG, BHP and Rio have low cost in the bag.

the iron ore price could halve and FMG would still be making money, all the marginal high cost producers, and even the scrap industry would have to begin winding down, which would then put a floor under the iron ore price and make it recover.
 
twin peaks... back to $20?
Screenshot_20240313-101048_CommSec.jpg
 
Third chart posted after the BHP and RIO. ones. For comparison for those interested.

fmg1.PNG


Similar to the BHP chart in years 21, 22 but more like the RIO chart this year (24).

(1) Reversal setup formed by the high volume bullish bar although FMG much weaker than the market index XAO.

(2) First blue bar out of the corrective swing down. This one could only have been taken by a person bullish about FMG. Not for me here.

(3) First blue bar prior to the eventual BO-HR. At this time FMG was showing that it was stronger than the market index.
Routine BO-HR with relative strength doesn't get much better for a trade opp.

Currently FMG is showing some weakness relative to the XAO. Price near prior BO level.
 
The more I stare at the chart of Twiggy's opus , the more I see Santos , all over again . Be grateful there's no Alan Bond around with this one. STO didn't improve with him gone , either . It became a gift for short term traders and that is how I'll approach FMG for my next entry .
In. Make a quick buck. and out.
 
dyna said:
The more I stare at the chart of Twiggy's opus , the more I see Santos , all over again . Be grateful there's no Alan Bond around with this one. STO didn't improve with him gone , either . It became a gift for short term traders and that is how I'll approach FMG for my next entry .
In. Make a quick buck. and out.
Click to expand...
You can get lots of crazy ideas starring at charts.

Maybe take a look at the fundamentals, and its earning power over the last 5 years and see if it compares to Bonds.

I will gives you a hint, just in dividends alone, FMG has return over 100 times the amount investors originally put in to start the company, does that sound like anything Allan Bond did?
 
Couple of interesting tidbits out of FMG.

The new "you bewt" electric digger has just dug its 1 millionth ton of ore. Appears to be going well
The other "You bewt" big boys toy - the 240 ton battery electric haul truck is off and running.

FMG say that full decarbonisation using these machines will save 95Million liters of diesel a year.

Fortescue’s first operational electric excavator reaches one million tonne milestone

Fortescue’s electric excavator has now moved one million tonnes since being deployed in December.
fortescue.com fortescue.com
 

UPDATE 1-Fortescue eyes developing its copper assets, not looking at Cobre Panama​


- Australia's Fortescue , the world's fourth-largest iron ore miner, is looking at developing its copper resources but has not made a decision yet, its founder and executive chairman told Reuters on Saturday.

"The company has choices in front of it ... we have a lot of copper options on the table. And when we feel the time is right, we'll pull the trigger," Andrew Forrest said during a visit to Beijing.

However, he said the company was not looking at First Quantum's idled Cobre Panama copper mine. Cobre Panama, one of the world's largest open-pit copper mines, was forced to shut in December after Panama's top court ruled its contract was unconstitutional.

In February 2023, Fortescue said it would focus on copper, rare earths and lithium while ramping up exploration activities for critical minerals portfolio.

"We haven't pulled the trigger on lithium, which has been wise because their prices collapsed," said Forrest.

Copper prices rallied about 13% from early February, touching an 11-month peak of $9,025.5 on Monday, before pulling back on Friday amid a stronger dollar and profit taking.

The trigger for the latest price jump was news that major top Chinese copper smelters reached an agreement to lower operation rates at some loss-making plants after their margins were squeezed amid a tightening supply of raw materials.

By comparison, lithium prices fell more than 80% in the past year due to softening EV demand and surging supplies, forcing many high-cost producers wordwide to cut production.

Foretescue will continue to invest in iron ore, a steelmaking ingredient, as demand from renewable energy and the manufacturing sectors will grow, Forrest said.

"There's always ups and downs, but the trend is still rising...we're seeing China growing from an emphasis on infrastructure to a dual emphasis on infrastructure and manufacturing."

(Reporting by Amy Lv and Tingshu Wang in Beijing, Tony Munroe in Singapore; Additionaly reporting by Melanie Burton in Melbourne, Florence Tan and Jeslyn Lerh in Singapore Editing by Mark Potter and Christina Fincher)
Click to expand...
 
Value Collector said:
You can get lots of crazy ideas starring at charts.

Maybe take a look at the fundamentals, and its earning power over the last 5 years and see if it compares to Bonds.

I will gives you a hint, just in dividends alone, FMG has return over 100 times the amount investors originally put in to start the company, does that sound like anything Allan Bond did?
Click to expand...
It sounds frightening.
 
basilio said:
Couple of interesting tidbits out of FMG.

The new "you bewt" electric digger has just dug its 1 millionth ton of ore. Appears to be going well
The other "You bewt" big boys toy - the 240 ton battery electric haul truck is off and running.

FMG say that full decarbonisation using these machines will save 95Million liters of diesel a year.

Fortescue’s first operational electric excavator reaches one million tonne milestone

Fortescue’s electric excavator has now moved one million tonnes since being deployed in December.
fortescue.com fortescue.com
Click to expand...
Less employees, wages, super etc etc and more moolah for Twiggy as he obviously gets the elephants share with every divi
 

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