MGX - Mount Gibson Iron

[The Barbarian Investor]

Re: MGX

WOW this thread has continued and continued....

 

[chicken]

Re: MGX

WOW this thread has continued and continued....

The buying by the Chinese out of Hong Kong was a plus for this stock..yes the sellers oversold at present price and as the Chinese are buying at 75 cents where does the board thinks the price will go to...at least 75 cents....thats my opinion.....and I had faith in this stock because of their earnings...I am still holding my shares as posted.

 

[Ann]

Re: MGX

It may be time for a chart. You know, in my opinion this big drop did not need to happen. It was a very clumsy profit downgrade that did it and if you read the presentation the problem isn't that bad. I think the next time they should employ a spin doctor for negative announcements!

 

[johnno261]

Re: MGX

It may be time for a chart. You know, in my opinion this big drop did not need to happen. It was a very clumsy profit downgrade that did it and if you read the presentation the problem isn't that bad. I think the next time they should employ a spin doctor for negative announcements!

I maybe wrong, but I feel that more downgraded profits will be aware to the market for the half yearly due in FEB. Reason, Profit downgrade pre Christmas based on Wagon Delay and second slippage problem which will downgrade tonnage which is completely seperate from the wagon situation!!!!
The other worry is Analysts are pleading the obvious and stating that the resource sector is well and truely overbought. (Examples in Melbournes papers today,Herald-Sun/The Age). If their statements are correct in relation to a 25% ASX fall, well non dividend paying stocks,( ie. MGX,MMX,AZR) are going to really going to be dumped.
Like I said I hope I am wrong!!!!!!

 

[TheAnalyst]

Re: MGX

I maybe wrong, but I feel that more downgraded profits will be aware to the market for the half yearly due in FEB. Reason, Profit downgrade pre Christmas based on Wagon Delay and second slippage problem which will downgrade tonnage which is completely seperate from the wagon situation!!!!
The other worry is Analysts are pleading the obvious and stating that the resource sector is well and truely overbought. (Examples in Melbournes papers today,Herald-Sun/The Age). If their statements are correct in relation to a 25% ASX fall, well non dividend paying stocks,( ie. MGX,MMX,AZR) are going to really going to be dumped.
Like I said I hope I am wrong!!!!!!

In regards to the downgrades for MGX...the wagons in valuation analysis is now considered an extraordinary even under the nwe IAS's or International Accounting Standards that have just been adopted in Australia..this means it is not taken into account when valuing and same with the slippage problems...what happens if the slippage begins to become a regualar occurance then it will start to be consider in the valuation before extraordinarys.

At present the market globally is starting to accept that the price of ore will rise in the next couple of weeks and the signs are already showing in the ore forward contract from India it is roughly trading at 20-25% above the spot price..at present roughly $41 or something US $'s a tonne and the spot march forward prive is above this..it is a rough recollection..so correct me if i am wrong.

Currently mgx price is cheap on a real valuation but it still can drop but not for long so it will be a buy...it is fortunate because it has a lot more resistence to bad news than a lot of the other miners..because it has well and truly got production up and running way before the boom is over and it is getting its infratstructure in place to continue growth.

 

[laurie]

Re: MGX

If their statements are correct in relation to a 25% ASX fall, well non dividend paying stocks,( ie. MGX,MMX,AZR) are going to really going to be dumped.
Like I said I hope I am wrong!!!!!!

Then that will be my cue to come back in for more I think AZR will bleed more than MGX

cheers laurie

 

[johnno261]

Re: MGX

Analyst the unfortunate thing for MGX is that it is a Single Based Commodity Company and the truth be it, brokers have this stock categorized as HIGH RISK.

 

[chicken]

Re: MGX

In regards to the downgrades for MGX...the wagons in valuation analysis is now considered an extraordinary even under the nwe IAS's or International Accounting Standards that have just been adopted in Australia..this means it is not taken into account when valuing and same with the slippage problems...what happens if the slippage begins to become a regualar occurance then it will start to be consider in the valuation before extraordinarys.

At present the market globally is starting to accept that the price of ore will rise in the next couple of weeks and the signs are already showing in the ore forward contract from India it is roughly trading at 20-25% above the spot price..at present roughly $41 or something US $'s a tonne and the spot march forward prive is above this..it is a rough recollection..so correct me if i am wrong.

Currently mgx price is cheap on a real valuation but it still can drop but not for long so it will be a buy...it is fortunate because it has a lot more resistence to bad news than a lot of the other miners..because it has well and truly got production up and running way before the boom is over and it is getting its infratstructure in place to continue growth.

Analyst I agree with this post as you said the market is aware..iron ore prices will rise I heared that Bloomfield posted an article where it was said BHP negotiated an increase of 18%.....as far as the other poster saying there will be a dump on monday.....just the opposite will happen..more buyers than sellers now...and yes at these prices the stock is cheap....we will hit 70cents very quickly see what Anns graph shows it has bounced of and..with the Chinese who are still buying..70cents will be easily breached..after all they bought between 70cents and 65cents.....and you are right they have one thing in their favour...they are producing....and making the $$$$... with a PE of 7 now its cheap...

 

[johnno261]

Re: MGX

Whom stated a dump on Monday and why would this occurr who ever stated that?
Cheers
Johnno

 

[TheAnalyst]

Re: MGX

Analyst the unfortunate thing for MGX is that it is a Single Based Commodity Company and the truth be it, brokers have this stock categorized as HIGH RISK.

That is so thru Johnno...any stock that is a single commodity is high risk...but experienced investors/traders know that this is a micro economic cycle and we are not at the peak or at the trough of the cycle but still in the expansion stage and the last part of the expansion phase is always the greatest increase and therefore can time an exit themselves.

Within the high risk category profile is again different levels of risk and by diversifying you can reduce your risk to this...but out of the high risks mgx is not the highest risk say to you and i...i bought at 67 cents so i still have done quite well for an entry and if at any stage it drops below 60 cents and depending on the reason i think i will accummulate more.

And they have catergorised it so when it does finish its run they cant get sued for not warning their clients and they have also ensured that anyone they recommend to has a high risk profile just like they did in the dot.com days...well almost a lot got sued

 

[chicken]

Re: MGX

I maybe wrong, but I feel that more downgraded profits will be aware to the market for the half yearly due in FEB. Reason, Profit downgrade pre Christmas based on Wagon Delay and second slippage problem which will downgrade tonnage which is completely seperate from the wagon situation!!!!
The other worry is Analysts are pleading the obvious and stating that the resource sector is well and truely overbought. (Examples in Melbournes papers today,Herald-Sun/The Age). If their statements are correct in relation to a 25% ASX fall, well non dividend paying stocks,( ie. MGX,MMX,AZR) are going to really going to be dumped.
Like I said I hope I am wrong!!!!!!

Laurie read this...but of course I do not agree..after all...look at present depth..of buys and sells....2 million shares are wanted between 60c to 65 cents....and only 600k shares are up for sale the sellers pulled their stock as a higher price is wanted...by the way who cares about dividents..only longterm holders but...in the USA most stocks pay no dividents and they could cost you $100 each..so that article is scaremongering..and maybe some one slung him a few $$$ to print rubbish like that....see also news Geralton are building another berth at the harbour for $35million for the shipment of Iron ore..as far as the company is concerned they may supprise....and the Hong Kong people who bought are also property developers...Steel for building highrises+they know what Shougan will do....as they are paying 75cents per share..BHP may announce their %%% increase maybe next week

 

[johnno261]

Re: MGX

Laurie read this...but of course I do not agree..after all...look at present depth..of buys and sells....2 million shares are wanted between 60c to 65 cents....and only 600k shares are up for sale the sellers pulled their stock as a higher price is wanted...by the way who cares about dividents..only longterm holders but...in the USA most stocks pay no dividents and they could cost you $100 each..so that article is scaremongering..and maybe some one slung him a few $$$ to print rubbish like that....see also news Geralton are building another berth at the harbour for $35million for the shipment of Iron ore..as far as the company is concerned they may supprise....and the Hong Kong people who bought are also property developers...Steel for building highrises+they know what Shougan will do....as they are paying 75cents per share..BHP may announce their %%% increase maybe next week

I don't at all doubt you Chicken that an Increase in Iron Ore Price will boost all Iron Ore Related stocks. Fantastic as I hold 7figures of MGX, but at the same time we have to be honest and realistic on this forum and thats exactly what I've done in terms of warning holders of possibly more downgrades for MGX. Slippage problems will reduce profits!!!!
Sounds like Chickens very concerned with his entry point in all honesty.Laurie as for the Iron Ore price being known next week, I doubt it very much!!!!! 2nd week of FEB is probably about the time Iron Ore Prices maybe released to the market!!!!

 

[chicken]

Re: MGX

I don't at all doubt you Chicken that an Increase in Iron Ore Price will boost all Iron Ore Related stocks. Fantastic as I hold 7figures of MGX, but at the same time we have to be honest and realistic on this forum and thats exactly what I've done in terms of warning holders of possibly more downgrades for MGX. Slippage problems will reduce profits!!!!
Sounds like Chickens very concerned with his entry point in all honesty.Laurie as for the Iron Ore price being known next week, I doubt it very much!!!!! 2nd week of FEB is probably about the time Iron Ore Prices maybe released to the market!!!!

Mate the chinese just bought 8 million shares between 65c to 70 c so who the hell are you with your 100 share....investment..slippage my foot..happends to all miners and no one takes to much notice you seem to think its the end of the world..well keep thinking that because its not so...we will see what happends on monday and proof to you I know...

 

[chicken]

Re: MGX

Mate the chinese just bought 8 million shares between 65c to 70 c so who the hell are you with your 100 share....investment..slippage my foot..happends to all miners and no one takes to much notice you seem to think its the end of the world..well keep thinking that because its not so...we will see what happends on monday and proof to you I know...

jOHNNO..i MEANT YOUR 7 FIGURE INVESTMENT IN THIS STOCK..ANOTHER WORDS YOU DID YOUR RESEARCH..i DID MINE AND FEEL THIS IS ONE OF THE BETTER RESOURCE STOCKS...IT HAS PRODUCTION IT MAKES $$$ money in the bank....and only very little debt....and the share price is SO LOW...should be around $1.25 at least...and the Chinese buying 8 million shares....and people still trying to tell us we are wrong what a laugh....see what happends monday...after all the PE is about 7......Cheap,CHEAP the stock is Cheap...

 

[TheAnalyst]

Re: MGX

jOHNNO..i MEANT YOUR 7 FIGURE INVESTMENT IN THIS STOCK..ANOTHER WORDS YOU DID YOUR RESEARCH..i DID MINE AND FEEL THIS IS ONE OF THE BETTER RESOURCE STOCKS...IT HAS PRODUCTION IT MAKES $$$ money in the bank....and only very little debt....and the share price is SO LOW...should be around $1.25 at least...and the Chinese buying 8 million shares....and people still trying to tell us we are wrong what a laugh....see what happends monday...after all the PE is about 7......Cheap,CHEAP the stock is Cheap...

Chicken can u jot my memory to when the hematite will come in to production and also when the magnetite will as well?

 

[chicken]

Re: MGX

Chicken can u jot my memory to when the hematite will come in to production and also when the magnetite will as well?

Analyst you are trying again to bait me ....well here it goes....the magnetic is going to be mined in the next 3 years..right have you got that at MT GIBSON..and at present the ordinary iron ore hematic is being mined...hope you got that ...MGX makes its money at present out of the ordinary iron ore profit will be between $38 million to $50 million..this year....did you get that Analyst..I said to myself I am going to be niece to you in future...after all you do come up with some intresting facts which I have not considered...

 

[chicken]

Re: MGX

No one seems to give the company credit for now at the end of April MGX are going to crush their own metal the plant is at present being installed...

 

[johnno261]

Re: MGX

Between Chicken & The Analyst, the MGX thread has been given life in terms of HUMOUR!!!!!! Are these two for real or are there really people out there like this?

 

[TheAnalyst]

Re: MGX

Analyst you are trying again to bait me ....well here it goes....the magnetic is going to be mined in the next 3 years..right have you got that at MT GIBSON..and at present the ordinary iron ore hematic is being mined...hope you got that ...MGX makes its money at present out of the ordinary iron ore profit will be between $38 million to $50 million..this year....did you get that Analyst..I said to myself I am going to be niece to you in future...after all you do come up with some intresting facts which I have not considered...

Chicken, honestly i am not trying to bait you...now hematic is not ordinary iron ore it is a higher and rarer quality ore...so at present mgx is producing ordinary iron ore and also hematic ore or just hematic?

Now in the next 3 yrs will the ore be mined and ready straight for sale?


Also i have suspicions that the tail walls were pushed in on purpose and it was on purpose the train carrying ballasts did not turn up so it could be genuinely announced to the market and the share price would drop and allow others who wanted to buy at cheaper prices be given the opportunity.

 

[TheAnalyst]

Re: MGX

Between Chicken & The Analyst, the MGX thread has been given life in terms of HUMOUR!!!!!! Are these two for real or are there really people out there like this?

Yes Johnno..its people like me who get paid the most in the finance section as well...we dont just remain ordinary tax accountants we take the next step...this place is where i sharpen my skills......