56.21 -0.03 (-0.06%)
After hours: 4:11PM EST
|Bid||0.00 x 0|
|Ask||0.00 x 0|
|Day's Range||55.85 - 56.43|
|52 Week Range||37.66 - 57.78|
|PE Ratio (TTM)||16.40|
|Forward Dividend & Yield||2.20 (4.56%)|
|1y Target Est||58.46|
Vale SA’s (VALE) forward EV-to-EBITDA (enterprise value to earnings before, interest, tax, depreciation, and amortization) multiple is trading at close to 7.2x, the highest among its seaborne iron ore peers. Rio Tinto (RIO) and BHP Billiton (BHP) are trading at similar forward multiples of 6.6x and 6.7x, respectively. As we’ve previously mentioned, Cleveland-Cliffs (CLF) is a US-focused player with small direct exposure to the seaborne iron ore market.
BHP Billiton's (BHP) aggregate iron-ore productivity flat year over year at the end of first-half fiscal 2018. The company kept a positive outlook and reaffirmed its iron-ore output guidance.
Earlier in this series, we analyzed iron ore miners’ ratings and estimates. In this article, we’ll discuss these miners’ technical indicators. The trailing-three-month returns of all of the miners we’ve discussed are positive.
In this article, we’ll discuss analysts’ projections for Cleveland-Cliffs (CLF). Currently, US steel imports and US steel prices are the major factors affecting Cliffs’ estimates. Analysts expect Cleveland-Cliffs to report revenue of $2.3 billion in 2017, which would imply a rise of 11.1% YoY (year-over-year).
Alcoa (AA) expects to generate adjusted EBITDA (earnings before interest, tax, depreciation, and amortization) between $2.6 billion and $2.8 billion in fiscal 2018. The guidance has baked in average LME (London Metals Exchange) aluminum prices of $2,200 per metric ton and API (alumina price index) of $390 per metric ton. In arriving at this guidance, Alcoa has assumed almost flat alumina (AWC) and bauxite shipments as compared to 2017 with a slight decrease in its aluminum shipments (CENX).
Among the miners we’re discussing in this series, Vale SA (VALE) has the highest percentage of “buy” ratings at 65.2%. Many factors have contributed to the positive shift in the overall sentiment for Vale. The stock’s target price has risen 71% in the last year due to the positive turnaround of the company’s fundamentals. Vale’s peers (XME) Rio Tinto (RIO) (TRQ) and BHP Billiton (BHP) haven’t seen such growth in their target prices.
Rio Tinto (RIO) (TRQ) stock returned a positive 37.6% in 2017. As we noted earlier in this series, some of the positives have now become so obvious that analysts have downgraded Rio, saying that these positives have already been priced in to its stock. Let’s take a look at the company’s revenue and earnings estimates.
Rio Tinto Plc on Tuesday said a U.S. regulator's lawsuit accusing the big Anglo-Australian mining company of fraud for overstating the value of Mozambique coal assets it had bought in 2011 should be dismissed. In a letter filed with the U.S. District Court in Manhattan, a lawyer for Rio Tinto said the U.S. Securities and Exchange Commission failed to plead that the company intended to commit fraud or made false statements related to asset values. Similar letters were also filed by lawyers for former Chief Executive Officer Thomas Albanese and former Chief Financial Officer Guy Elliott, who were also targets of the SEC's civil fraud lawsuit filed last Oct. 17.
Mining stocks did relatively well last year, but they're having a down day Tuesday. Part of the problem is Rio Tinto (RIO), which is falling after reporting fourth-quarter production results, including a 3% year-over-year increase in iron ore shipments, in line with guidance. Elsewhere, Deutsche Bank's Chris Terry and his team downgraded Vale (VALE) and Newmont Mining (NEM), weighing on those stocks.
Rio Tinto Group has booked copper output from the giant Grasberg mine joint venture for the first time since 2014 -- just as the company weighs plans to exit the operation in Indonesia.
Global miner Rio Tinto, said on Tuesday it could ship up to an additional 10 million tonnes of iron ore in 2018 worth $780 million at today's prices after reporting a 1 percent rise in 2017 shipments. The price rise helped the world's no. 2 iron ore miner boost returns to shareholders after a bumper first-half profit.
Rio Tinto Group forecasts its iron ore shipments will remain flat this year or rise by 3 percent at most, reinforcing market sentiment that a wave of new supply is turning into a trickle.
Alcoa (AA), the leading US-based aluminum producer, is expected to release its 4Q17 earnings on January 17 after the markets close. In this final part of our series, we’ll see how analysts are rating the stock ahead of the 4Q17 earnings release. According to consensus estimates compiled by Thomson Reuters, Alcoa carries a mean one-year price target of $56, which represents a 0.3% downside over its closing price on January 10.
In this article, we’ll see what the market would like to hear on Alcoa’s 4Q17 earnings call. For metal and mining companies (RIO)(AWC) like Century Aluminum (CENX) and South32 (S32), the macro environment—which includes metal and raw material prices—is equally if not more important than company-specific factors. Speaking of aluminum, we’ve seen that prices are sensitive to China’s demand-supply dynamics.
Teck Resources’ 2018 Outlook: Can the Uptrend Continue? Teck Resources (TECK) is trading at an EV-to-EBITDA (enterprise value to earnings before interest, tax, depreciation, and amortization) multiple of 5.4x, based on its 2018 expected EBITDA. Teck Resources is trading at a discount compared to some of the other mining companies.
* Indonesia holding talks with Rio Tinto in connection with Freeport Indonesia acquisition, unable to disclose details yet, PT Inalum CEO Budi Gunadi Sadikin said on Friday * "We're still in negotiations ...
Alcoa’s (AA) 4Q17 earnings are expected on January 17. Notably, for mining companies, sales are a function of external shipments and commodity prices. Bauxite, alumina, and aluminum are the key commodities that Alcoa sells.