You are currently viewing our site as a guest, which gives you limited access to our site features. By signing up for a free membership, you will receive our Investment Opportunity newsletters and have access to additional features for finding and comparing managed funds and shares. Registration is fast and simple, so please:
To purchase this research report please login here.If you are new to InvestSMART then please click here to become a member - it's FREE!
Current Price Data+
Current Price
Open
High
Low
Last Close
Volume
Price Movement
$ 4.290
$ 4.350
$ 4.360
$ 4.280
$ 4.340
6,835,545
$ -0.050 -1.152 %
Current Broker Consensus Recommendation
Recommendation :
Hold
Recommendation Date :
28th Jul 2010
12 Month Target Price (average) :
$5.09
Brokers Surveyed :
9
Market Statistics
% of Market:
1.0539
% of Sector:
3.7005
Sector:
Materials
Industry Group:
Materials
Industry:
Metals & Mining
Company Overview
Company Overview
Fortescue Metals Group Ltd (FMG, formerly Allied Mining & Processing Limited) is an iron ore development company with assets located in Western Australia. FMG is currently focused on the development of the Pilbara Iron Ore and Infrastructure Projects.
Company History
FMG (formerly Allied Mining and Processing Ltd) was listed on the ASX in October 1987. In 2002, the aim was to become the first iron ore entrant into the Pilbara region in 40 years. By May 2003, the first Cloudbreak tenements were acquired. Mineralisation at Cloudbreak was discovered in February 2005 and a Inferred Resource estimate of 1Bt announced in November 2007. FMG's first shipment was loaded at Herb Elliott Port in May 2008. By 2010 production was about 40Mt a year.
Differentiating Factor
FMG is the owner of significant iron-ore resources and a provider of necessary infrastructure. It is well placed to make an enormous impact on the iron-ore market. Recent strong growth in China means global iron-ore demand exceeds supply. FMG commenced shipping iron ore to customers in 4Q08.
Major Customers & Competitors
Globally, the seaborne iron-ore industry is very competitive. The company has to compete in both domestic and international markets, facing domestic competition from BHP and Rio Tinto along with international competition from CVRD. Major customers are predominantly from China.
Financial Summary
Year to Jun
NPAT Rep $M
NPAT1 Adj $M
EPS c
EPS chg %
PER x
PER rel All Ords x
PER rel Sector x
DPS c
Yield %
Franking %
ROE %
2008A
(2,516.2)
(2,651.3)
(163.6)
0.0
(2.6)
n/a
n/a
n/a
0.0
0.0
161.7
2009A
626.1
142.8
5.0
-103.1
85.8
8.0
6.8
n/a
0.0
0.0
13.6
1NPAT is normalised by removing non-recurring items and goodwill. All the above statistics are derived from normalised earnings.
Sydney Morning Herald 31/07/2010 | GRAINCORP and AWB have agreed on a multibillion-dollar merger so they can compete against larger rivals in the consolidating global agribusiness sector.
The Age 31/07/2010 | GRAINCORP and AWB have agreed to a multibillion-dollar merger in a bid to compete against larger rivals in an increasingly consolidating global agribusiness sector.
Sydney Morning Herald 31/07/2010 | I t's official: money doesn't buy you happiness. But financial security certainly seems to play a role in whether you're a glass half full or glass half empty type of person.
The Age 31/07/2010 | This reporting season will provide something for everyone, from wary retail investors and professional fund managers to stockbroking analysts, writes Ian McIlwraith.
Sydney Morning Herald 31/07/2010 | Most of us want to make a buck and retire early. But for the golden oldies of business, there's no question of quitting, writes Michael Evans.
$ 4.290
