Glencore Share Discussion Threads

[montyhedge] 10/1/2019 20:53

Are they friend or foe ?

[losses] 10/1/2019 18:18

Exclusive: Glencore loses exclusive rights to major Libyan oil gradesHttps://finance.yahoo.com/news/exclusive-glencore-loses-exclusive-marketing-120045736.html

[waldron] 10/1/2019 17:12

Rio Tinto
3,882.5 -0.59%


Anglo American
1,808.2 +0.11%


Glencore
295.15 +0.68%


Gold COMEX 1,289.60 -0.19%
Silver COMEX 15.68 -0.38%
Copper COMEX 2.64 -0.60%
Brent Crude Oil NYMEX 61.47 +0.05%
Gasoline NYMEX 1.43 +0.41%
Natural Gas NYMEX 3.02 +1.27%

[the grumpy old men] 10/1/2019 14:01

10/01/2019 | 11:49
Barclays Capital (BarCap) reaffirms its recommendation to 'overweight' and adjusts its price target from 66 to 65 euros on Total, in a sectoral note on major European oil and gas companies.

'The 38% drop in the price of Brent in 12 weeks reflects the impact of a remarkable combination of economic and political factors in a market that has largely rebalanced', notes the broker, which reduces its assumption to 60 dollars on barrel for 2019.

BarCap now expects annual budgets to be close to the low end of the target ranges, but this still means that he still has enough financial capacity to start or continue share buybacks by some industry groups.

[sarkasm] 10/1/2019 11:53

FTSE 100-member Glencore’s share price is in freefall! This is what I think you should do

Peter Stephens | Thursday, 10th January, 2019 | More on: GLEN MAB
Image source: Getty Images.

The performance of Glencore (LSE: GLEN) has been disappointing in recent months. As with a number of other FTSE 100 stocks, and especially resources shares, market confidence has declined as concerns surrounding the prospects for the world economy have been the main focus of investors.

Having fallen by 28% in the last year though, Glencore may now offer a value-investing opportunity. Alongside another cheap stock, which released an encouraging update on Thursday, it could be worth buying, in my opinion.

[adrian j boris] 10/1/2019 09:28

January 10, 2019
B.C. gold, copper mine suspends work

WILLIAMS LAKE, British Columbia (AP) — Imperial Metals Corp. says it is suspending operations at its Mount Polley mine in south-central British Columbia due to declining copper prices.

The gold and copper mine was the site of a 2014 tailings dam collapse that was one of the largest environmental disasters in the province's history.

[adrian j boris] 10/1/2019 09:15

Glencore willing to testify at state-capture inquiry, says CEO Ivan Glasenberg
04 December 2018 - 10:29 By Lisa Steyn
Glencore CEO Ivan Glasenberg.
Glencore CEO Ivan Glasenberg.
Image: BLOOMBERG/ANDREY RUDAKOV

Resources giant Glencore is prepared to testify at the state capture commission of inquiry about its experience with its former Optimum Coal, which ended up in the hands of the Gupta family, according to CEO Ivan Glasenberg.

Optimum Coal, a supplier to Eskom, was a key battleground in the attempt by private interests to capture the state.

The change of ownership from Glencore to the Guptas, friends of former president Jacob Zuma, who stand accused of using links with him to further their business interests, was central to the findings of the public protector, which led to the formation of the Zondo commission of inquiry.




Click here for the latest news and analysis of the state capture inquiry

Speaking on a conference call on Monday, SA-born Glasenberg said the diversified miner was willing to share its experience as a former owner of Optimum Coal.

“If called upon to talk about the experience, we would be willing to do so,” he said.

Commission chair, deputy chief justice Raymond Zondo, has pleaded for witnesses to come forward. SA banks have testified that they came under immense pressure to keep Gupta bank accounts open, after they decided to close them due to suspicious transactions.

So far, the witness testimony has been largely from public officials.

Former mineral resources minister Ngoako Ramatlhodi told the commission last week how Zuma removed him from his post in 2015 after he refused to revoke Glencore’s mining licences, as was allegedly demanded of him by then Eskom chair Ben Ngubane.

Eskom reinstated a disputed R2bn penalty on Optimum for supplying substandard coal, which forced Glencore to put the mine into business rescue.
HILARY JOFFE: State capture's awful legacy blights Eskom's fate
It's long been clear that government's guarantees to ailing state-owned enterprises are one of the biggest risks to SA's public finances
Business
1 month ago

After that, it was acquired by the Gupta family’s Tegeta Exploration and Resources.

In former public protector Thuli Madonsela’s “State of Capture” report it was found that former Eskom executives had advanced the Guptas R600m to help them acquire the mine.

In February, Optimum and eight other Gupta-linked entities were placed under business rescue — a provision in law for the rehabilitation of distressed companies. As part of the rescue plan, Optimum is now up for sale, and it is expected that a deal could be concluded before the end of 2018. Glasenberg, however, said that Glencore was “not making any moves” to acquire Optimum again.

Meanwhile, Eskom, which supplies virtually all of SA’s energy needs, is facing a coal-supply crunch that has contributed to the return of load shedding, with devastating repercussions for the SA economy.

Ten out of Eskom’s 15 coal-fired power stations do not have sufficient coal stocks.

Glencore had stepped in to help plug the supply gap, Glasenberg said.

“It’s clear they require more coal. We are doing whatever we can to assist.”

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[montyhedge] 10/1/2019 09:10

Buybacks seem to helping shareprice, in a quiet market.But they finish in a few weeks time, the cushion won't be there.My experience saw it with IAG as soon as buybacks stop.The shareprice falls. Going to be interesting.

[foxy22] 10/1/2019 09:07

U mean Congo politics is high risk....period

[foxy22] 10/1/2019 08:36

Surprise election result in CongoOpposition elected.Ending of Kabila regimeWill this be positive going forward for Glencore sp

[montyhedge] 10/1/2019 08:24

Chickens coming to roost, shareprice volatile on these kind of stories.

[waldron] 09/1/2019 16:50

Rio Tinto
3,917.5 +1.45%


Anglo American
1,812.8 +3.29%


Glencore
294.45 +1.92%


Gold COMEX 1,290.70 +0.37%
Silver COMEX 15.70 -0.11%
Copper COMEX 2.66 +0.30%
Brent Crude Oil NYMEX 61.16 +4.16%
Gasoline NYMEX 1.42 +4.41%
Natural Gas NYMEX 2.98 +0.57%

[twixy] 08/1/2019 17:31

Don't be surprised if they announce another tranche; as per the update call of 3rd Dec, it's one of their stated methods of increasing value for shareholders.

[montyhedge] 08/1/2019 17:17

Big risk and reward here, pay yer money take your'e chance. Buybacks stop soon, for me that takes a cushion away for the share price.

[waldron] 08/1/2019 17:12

Rio Tinto
3,861.5 +0.80%


Anglo American
1,755 -0.89%



Glencore
288.9 +0.54%


Gold COMEX 1,285.30 -0.36%
Silver COMEX 15.68 -0.48%
Copper COMEX 2.64 -0.04%
Brent Crude Oil NYMEX 58.75 +2.48%
Gasoline NYMEX 1.37 +1.98%
Natural Gas NYMEX 2.99 +1.56%

[waldron] 08/1/2019 16:03

Why I’d invest £1,000 in the Glencore share price right now

Rupert Hargreaves | Tuesday, 8th January, 2019 | More on: CKN GLEN
Image source: Getty Images.

Today, Clarkson Group (LSE: CKN) informed its investors that the company is on target to meet City growth forecasts for the full year, which is positive news. The global shipping services provider has had a rough time over the past five years as revenues have stagnated and the enterprise has had to spend heavily to drive growth.
Struggling to grow

Based on current City estimates, Clarkson is set to report a net profit of £31m for 2018, up around 100% since 2013. This looks impressive at first glance, but over the same period, the company’s return on capital employed — a measure of profitability for every £1 invested — has declined from nearly 16% in 2012 to just 9.1% on a trailing 12-month basis. That means the group is having to invest more to produce the same amount of profit. At the same time, the average number of shares in issue has increased dramatically.

There are around 59% more shares in issue today than there were in 2013, which explains why, as net profit has nearly doubled, earnings per share (EPS) have barely budged. The City is expecting the company to report EPS of 103p for 2018, compared to 97p in 2013.

These figures tell me that Clarkson is struggling to grow in the current environment, and with this being the case I don’t think it is worth paying the current multiple of 21.9 times forward earnings to buy the stock.

Instead, I believe global mining and commodity trading behemoth Glencore (LSE: GLEN) is a much better place for your money.
Bright outlook

I would invest £1,000 in Glencore today because I’m so optimistic about the outlook for the shares. First of all, they are exceptionally cheap. At the time of writing, shares in Glencore are trading at a forward P/E of just 7.7. Then there’s the dividend yield to consider. Analysts believe the company will distribute a total of $0.21 per share in 2018, giving a dividend yield of 5.7% on the current share price.

There are some risks here. Last year, the group was hit by concerns about political uncertainty in the Democratic Republic of Congo, where it mines just over a quarter of the global output of cobalt. A new mining code that was signed into law in June sparked tensions between the company and the government. Investors have also taken fright after the US government announced it was investigating Glencore over bribery and corruption allegations.

It is impossible to quantify how these developments will affect the company over the long term at this point because information is limited. However, I am confident that over the next 12 months, as more information becomes available, investors should return as the cloud of uncertainty is lifted. In the meantime, they can look forward to a 5.7% dividend yield.
Continue to thrive

The problems above are confined to a relatively small part of the Glencore empire. The rest of the business should continue to thrive in 2019 as the company meets the world’s insatiable demand for essential commodities such as coal and copper.

Glencore is also the world’s largest commodities trader, which gives a substantial competitive advantage over almost every other mining enterprise in the world. That’s why, despite the company’s current problems, I would invest £1,000 in the share price today.

[waldron] 07/1/2019 17:03

Rio Tinto
3,831 +0.99%


Anglo American
1,770.8 +0.82%


Glencore
287.35 +1.11%


Gold COMEX 1,288.90 +0.24%
Silver COMEX 15.74 -0.32%
Copper COMEX 2.64 -0.21%
Brent Crude Oil NYMEX 58.27 +2.12%
Gasoline NYMEX 1.37 +1.78%
Natural Gas NYMEX 2.95 -3.19%