Glencore Share Discussion Threads

[waldron] 06/11/2018 16:55

Rio Tinto
3,868.5 -1.41%


BHP Billiton
1,601 -1.68%


Anglo American
1,700 -0.91%


Glencore
311.9 -2.88%

Gold COMEX 1,227.40 -0.40%
Silver COMEX 14.52 -0.87%
Copper COMEX 2.74 -0.54%
Brent Crude Oil NYMEX 71.20 -1.96%

[nahoon] 06/11/2018 15:35

Sorry for OT!

In the meantime Glencore is proving to be a lovely share to trade, I'm going in for another batch...

[nahoon] 06/11/2018 15:33

Good one!

What a vicious and disgusting little regime it is, its practice of funding the spread of Wahhabism has inflicted untold suffering on millions of people. Time for the rest of the world to shut the door in its face. We'll survive just fine without them.

[leoneobull] 06/11/2018 14:59

Maybe they want somewhere to bury their murder victims?

[action] 05/11/2018 18:49

Not big movement through out the day. That is not like GLEN.

[waldron] 05/11/2018 16:58

Rio Tinto
3,924 +1.8

BHP Billiton
1,628.4 +1.07%


Anglo American
1,715.6 -0.10%


Glencore
321.15 +0.36%


Gold COMEX 1,234.50 -0.01%
Silver COMEX 14.74 -0.03%
Copper COMEX 2.82 +0.07%
Brent Crude Oil NYMEX 73.29 +1.02%

[the grumpy old men] 05/11/2018 15:58

Investomania

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Could Glencore PLC outperform the FTSE 100?
Does Glencore PLC (LON:GLEN) (GLEN.L) offer stronger investment prospects than the FTSE 100 (INDEXFTSE:UKX)?
November 5, 2018 Robert Stephens Glencore (LON:GLEN)




Glencore PLC
Glencore PLC

The prospects for the Glencore PLC (LON:GLEN) (GLEN.L) share price may appear to be relatively uncertain at the moment. The company’s valuation has come under pressure in recent months, with fears surrounding the outlook for the world economy being a key reason for this in my view.

Investors seem to be worried about the potential for further tariffs on imports from major economies such as the US and China. Alongside this, a higher US interest rate could be ahead as a result of strong GDP growth. This could lead to a stronger dollar, which could reduce demand for commodities across the globe.

Glencore also faces regulatory risk in my view. The company may therefore face a challenging outlook, and I wouldn’t be surprised if its share price remains volatile over the coming months.

Of course, the company now seems to be in a stronger financial position than it was a number of years ago. According to my research it has been able to reduce debt and cut costs, as well as follow through with an asset disposal programme. This seems to have put the company in a stronger position to cope with the ups-and-downs that seem to be a major part of the resources industry.

Since the Glencore share price has fallen heavily in recent months, it now has a single-digit P/E ratio and a dividend yield that is approaching 6%. These figures could make it relatively attractive in my view, and may lead to scope for a higher share price over the long run.

I remain relatively optimistic about the wider resources industry and the world economy’s outlook. Although there are risks, and volatility could be high, I feel that there remains growth potential which could lead to growing demand for a range of commodities. Therefore, I think the stock could beat the FTSE 100 in the long run, but it may experience further challenges in the short term.




About Robert Stephens 4760 Articles
Robert Stephens is a CFA Charterholder and an Equity Analyst by trade. He is a passionate private investor who has been buying and selling shares for many years, owning a wide range of UK shares in the process. He has written for Citywire and The Motley Fool US and now runs his own business. To contact Robert, please email [e-mail] or use one of the other contact methods available on the 'Contact Us' page

[losses] 05/11/2018 11:58

Saudi Arabia buys 1.02 mln T of feed barley in big sale by GlencoreHttps://uk.finance.yahoo.com/news/saudi-arabia-buys-1-02-091447836.html

[twixy] 04/11/2018 21:15

If this is accurate and verified, we could be due a reasonable bounce! Fingers crossed.

[leoneobull] 02/11/2018 23:44

Lovely jubbly. Copper finished at 2.818. Not bad.

[dremel] 02/11/2018 21:16

Nothing new, traders always seem to liquidate there holding in this share come the weekend .
A hard Brexit would probably benefit commodity's, as it would drop the Pound I think ?.

[losses] 02/11/2018 18:41

Ended well negative... what's going on?

[waldron] 02/11/2018 17:06

Rio Tinto
3,853 -0.06%


BHP Billiton
1,611.2 +0.14%


Anglo American
1,717.4 -0.13%


Glencore
320 -2.53%

MUST ADMIT SURPRISED STILL STUCK IN THE 310 to 340p BOX


Gold COMEX 1,234.10 -0.10%
Silver COMEX 14.79 +0.27%
Copper COMEX 2.80 +3.11%
Brent Crude Oil NYMEX 72.61 -0.19%

MUST BE MISSING SOME BAD NEWS

[twixy] 02/11/2018 16:41

I wasn't expecting that when we were 12p up shortly after the open. Need new batteries for the crystal ball :-/

[losses] 02/11/2018 15:07

Massive swing today!

[adrian j boris] 02/11/2018 12:55

Can this 5% dividend yielder smash the Glencore share price?

Alan Oscroft | Thursday, 1st November, 2018 | More on: CEY GLEN
Image source: Getty Images.

One way to play the recovery in the commodities market is to buy a diversified miner and spread the risk. Or you could play it the opposite way if you see a single-focus producer which you think has good prospects.

Gold miner Centamin (LSE: CEY) is one way to take the latter approach. Though the share price has already almost doubled over five years, it’s actually lost nearly 50% of its value since a peak in April 2017, and I think it could be looking a bit oversold at the moment.

The problem right now seems to be weak forecasts, which suggest a further 23% hit to EPS this year after last year’s 48% slump. And Thursday’s third-quarter results didn’t help.
Mixed results

Although the company reported a 27% quarter-on-quarter rise in production at its Sukari mine to 117,720 ounces, actual sales only grew by 9%. That apparent shortfall shouldn’t matter as it’s really just down to the timings of gold pours and shipments, but a 7% drop in the average selling price, to $1,206 per ounce, does matter.

The overall result (of a sales rise and a price fall) was a modest 1% improvement in revenue and a 1% decrease in quarter-on-quarter pre-tax profit.

Stocks like Centamin really do hinge on the price of gold, and it’s been on a bit of a slide so far this year. But on the upside, Centamin has no debt, its shares don’t look highly valued to me, and it does pay good dividends.

The yield is forecast to drop this year, mind, to yield 4.2%, but there’s a rebound to 5.6% predicted for 2019 — though gold price movements between now and then make it probably one of the least reliable forecasts. But if gold is your thing, I see Centamin as a good choice.
Diversification

The opposite strategy, of going for a diversified miner like Glencore (LSE: GLEN), should reduce the risk of relying on a single commodity.

But you can still face a volatile ride, and even though the Glencore share price has climbed strongly since the depths of early 2016, it’s still underperformed the FTSE 100 over the past five years. And over 10 years, we’re actually looking at a 40% loss.

That does cover a period before the merger with Xstrata in 2013, so perhaps those earlier years are not a good comparison. Since the merger, Glencore shares have outperformed the Footsie by a couple of percent, but with a far rockier ride.
What does this say?

I’ve always been generally positive about the mining business as I see it as a long-term safe sector — it’s digging up riches that the world just can’t do without. But I think you really do need a very long-term horizon.

I recently examined problems that are likely to be depressing the Glencore share price. But even if we look at miners without such issues, I’m becoming increasingly unconvinced that the long-term benefits really outweigh the cyclical volatility.

BHP Billiton shares, for example, have performed even worse over five years with a 12% drop. Rio Tinto is up 16% over the same timescale, but lags the Footsie over longer periods.

But I do still see Glencore shares as cheap on a forecast P/E of eight, and I think they could rise when those problems are sorted.

[a2584728] 02/11/2018 11:14

Need to get through 340p ASAP

[ariane] 02/11/2018 10:23

Copper COMEX 2.77 +1.69%