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RIO has a DRIP in place if that is of interest. I prefer to take dividends as cash. When special dividends are made, it demonstrates (to me) that the managers cannot use the cash for any immediate (6 mth) advantage. Share buybacks have no meaningful advantage to private investors.
China building came to a bit of a standstill in 2022 but I do expect infrastructure to pickup in 2023. This might not translate to any growth in dividend return so a final dividend in region of 150p would be my guess. Not sure if this is helpful.
Bull case includes mining supercycle, existing infrastructure always requires maintenance, new infrastructure absorbs government debt. USA, China, India and EU are putting new infrastrucutre projects in place. So too are many other countries like Brazil and Vietnam but have political distraction. Bear case has recession in prospect for many countries, few countries focussed on major infrastructure projects, UK has domestic issues that has greater focus.
Iron ore futures rose by US64 cents a tonne or 0.5% to US$117.79 a tonne:
https://twitter.com/CommSec/status/1610376561139789825
I have been watching PE trend for number of months and for all good miners around the world the PE ratio is around 10-12 and for some promising miners which are kind of newbies it’s around 18-20. I am quite surprised that RIO’s PE ratio is constant around 6.0 for months now. I do think that if little bit of re-rating is done than we should be looking around 9-10 which is very juicy share price of £90-95. Just need some momentum behind us with iron/gold/metal prices and I am sure we could be around £80 in no time
Just wondered what investors thought would be the dividend payout that willbe announced in February. It was 267p at half year. Whats the feeling of it being higher and whether a special dividend could be expected. Cheers
yes i think the Commodities will start to move up over the early part of 2023 as China opens up,
GLA LTH Hopefully some large Divi payments to look forward to
Oh and BTW the yeild is more like 10%, not the 8.4% shown here.
Forget all that rubbishy math, the important bit is that ROCE has averaged over 20% fr the last five years which gives most investors a huge incentive to buy. SP will pass £60 with ease shortly IMO.
Iron ore price rises as more policy support looms in China! Most-traded May contract on China’s Dalian Commodity Exchange traded higher at $118.7 a ton:
https://twitter.com/Alpha_Bronze/status/1607734292582375424
Showing fair value & will probably go up today with the iron ore price going up. However it seems like the iron ore price is being driven by market sentiment rather than fundamentals so for me it's try & get the sweet spot today & revisit at a later date.
Good luck to you all the sant rally came good.
Merry Xmas.
a breakdown of the true intrinsic value of RIO
https://uk.finance.yahoo.com/news/calculating-intrinsic-value-rio-tinto-121140061.html
Yes looking for growth and chunky dividends.
Turquoise deal is completed onwards and upwards, so glad I got into this share back in 2020 it’s definitely the share that just keeps giving!
GLA
"Good morning, iron ore futures rose by US$1.24 a tonne or 1.1% to US$110.50 a tonne yesterday":
https://twitter.com/CommSec/status/1603464780420771840
Commodities will be the best-performing asset class once again in 2023, handing investors returns of more than 40%, according to Goldman Sachs:
https://twitter.com/BNCommodities/status/1603329522295885824
For some unknow reason the yield currently shown on this page is wrong, should be more like 11%
https://www.mining-technology.com/news/turquoise-endorse-rio-tinto-offer/
Looking good
(From: Sunday Times)
Turquoise Hill investors agree to $3bn Rio Tinto bid
Saturday December 10 2022, 12.01am, The Times
The deal will give Rio Tinto control of the Oyu Tolgoi coppermine in Mongolia
Shareholders in Canada’s Turquoise Hill Resources yesterday voted in favour of Rio Tinto’s $3.3 billion bid to take it private and gain direct control over a giant Mongolian coppermine.
The iron ore producer will acquire the remaining 49 per cent it does not own in the Canadian miner, giving it control of the Oyu Tolgoi coppermine in Mongolia, in which Turquoise Hill has a 66 per cent stake.
Rio agreed with Turquoise Hill’s board on a C$43 per share offer in September but faced opposition from some investors. Rio struck a deal with two leading dissenting shareholders, Pentwater Capital Management and SailingStone Capital Partners, who agreed to abstain from the vote and enter into arbitration with Rio but the talks broke down.
Turquoise Hill said that at the special meeting, the deal was approved by approximately 86.6 per cent of all votes cast as well as by approximately 60.5 per cent of the shares voted by minority shareholders.
Or possible downside as they have paid a lot for it.
Let's see Monday. :-)
Its gone through deal approved , on TRQ website.Possible upside Monday or priced in ?
Due to the government mandate, my energy company is sending me a cash version of 1 RIO share a month for 6 months - although I think I'm supposed to be using it to help with *my* bill .....
Would MM please stop faffing about and offer £60 so's I can pay my bill.
Me too , took some of the table, im happy with the £7 per share profit , on the earlier buys, ;leaving a nice chunk to grow with the Dividends
GLA LTH
It was a good run, I took my oppo to cash out at 5800 for a 24% gain :D, hope to be back in RIO next year - so much recession/worldwide uncertainty, I'll be waiting for th dip ;)
Oh no they don't. I was responsible for a large pension fund for many years and when I first took over I found that we had been paying a "professional adviser", a "broker" in fact a substantial annual fee to "advise" the trustees where to invest the £millions in the fund. After a couple of years I realised that his advice was failing even to beat the FTSE 100 index. I sacked him and moved the fund into a couple of L & G trackers. The trustees were soon much happier bunnies.
On June 3, when the share price was £57, RBC cut its forecast from £55 to £47, and got it spot on within about a fortnight - and by the end of June it was under £45, having touched £60 at the end of May.
Despite my wish for the price to continue rising, some of these people are far less "dumb"and have rather more knowledge than many bulletin board contributors.