FORTESCUE METAL GRP (FSUMF.PK)

I've been watching FMG for a while, and it's impressive what Mr. Forrest has done with the company in a short time. I like them because their estimated reserves are very large and leave a lot of room for growth. They also have a client who would love for them to expand so they can undercut BHP and Tinto, who pretty much own the market. China Iron and Steel are currently negotiating to help finance FMG's expansion, but whether they get it or not really makes no difference, FMG will be able to do it without the financing from CISA. The point is, when FMG reaches it's shorterm output goal of around 95 million tons, they will be able to do some serious business with a client that can't get enough, China of course. Mr. Forrest seems to be very aggressive and has already started trying to negotiate deals with China that would undercut RioTinto, whom China has become very frustrated with.

Broke the ore price for china and will be rewarded.

FSUMF is smart 3 year plus investment and will out perform most company 401K's. If your looking to expand your retirement portfolio with low risk and moderate gains then FSUMF is a good option fo you to research & consider.

I'll be <20 if the bears win so what the heck.

LOVE THE POTENTIAL HERE. Purchased at 1.60.... looking for a ten

China play - should be an easy double in a couple years

On June 02, 2009 at 8:44 PM, rhallbick (99.21) wrote:

So much movement since March in commodities makes me wary, but I do sort of buy into Jim Rogers' bullish outlook for them over the next 5-10 years. I would like to suggest a western Australian iron ore miner. Australia is on my personal list of top ten countries to invest in here. While everyone has been hit badly during the last year, Australia ranks very high in the soundness of their banking sector. They have large amounts of natural resources and are close trading partners with Asia.

FSUMF.PK

I became aware of Fortescue when an investment company I own, Leucadia National (LUK), became involved in the development of the project. The completion of the project roughly corresponded with the collapse of commodity prices in 2008, and then so followed their stock price. I do recommend it at the current level due to 1) other projects will be postponed by the financial crisis (supply side) and 2) Asia is now where the money is (demand side). They won't be receiving the same high prices in 2009 for their iron ore as they did in 2008, but I think they will perform well from here and I am also impressed with the accomplishments of current management. I think that anyone who is familar with this company would agree with this. Do your own DD.

I don't have any problem at this time in saying 5yr hold. If the situation changes, then I might also change my mind.

With China now taking the number 1 spot away from Detroit with everything to do with cars, I see this stock soaring in time. The Asian economies are booming and even though they will not be exporting as many goods, they will become consumers themselves. The Chinese have experienced a middle class lifestyle that they will continue to pursue and will not look back. Believe the Captain!

China infrastructure play.

I think that in a five year time frame it will outperform the S&P.

If you are Following Fortesque then Quote.com is another great resource for news regarding this company like the Aussie gov. just approved a China Company to invest the US Dollar amount of 444 million dollars into Fortesque which allows them to have a 17% stake in the company that they couldn't have before. Might be why the price went up today ? Who knows ?

I recently unzipped my fly (and my wife's) with a substantial investment in a company (FSUMF) we think will reward us handsomely @ 2012. Of course it is dependent on China, India and other emerging nations need for iron ore, however the infrastructural projections are predictable! As a double play, we also invested in Guangshen Railway (GSH), a certain beneficiary of the Chinese economic infusion of cash. We predict FSUMF to be at US$23.89 by 3rd quarter of 2012. We also feel well enough about GSH to predict US$30.22 the same year.

Just had to include a real low priced holding with a China influence. Should give at least a 100% return.

I have owned this stock for a year or so. It has been a long ride down hill since. But I have averaged down to respectible level. They have an awful lot going for them if they can keep there debt paid. Paid in US dollars pay their help in AUD. Stock will improve 30 % if AUD recovers to last summers levels. Look at the cost of production compared to BHP and others on their web site on the ASX All New Equipment, blah blah blah.

For the Australian mining industries to survive and expand their operations, cash is needed. CHINA!!! There will be unrealistic resistance from the government and perhaps some of the larger players. Shut up, take the money, just make sure the t's are crossed and the i's are dotted!!!

Investment interest from various parties. Fortescue has recently sought the services of financial advisory JP Morgan Australia to evaluate proposals. this stock is capable of a big run.

Fortesue is a big infrastructure play and it is a great play on china. It is giving the big three a run for its money. Some people think that Fortescue will get aquired this year, but they are sitting on too much iron ore. They want to hold on to their company and watch it grow because its assets are that big. The estimates for their amount of iron ore keeps getting upgraded by huge percentages.

It has a competitive advantage over any other iron ore company due to its location. It has the closest route to china which means cheaper shipping. With chinas stimulus package it will need more iron ore for atleast a good ten years. A report from china came out the other day saying how they let their iron ore reserves deplete so much and now they are in big demand. This plays out great for up an coming Fortescue.

Its first shipment went out to china in May of 08. This was a hard timeline to reach but Fortescue worked around the clock to meet this date. A company that has so much to mine that it is working around the clock to meet demand is a no brainer to buy.

The scale of their project is huge. In less than two years they built a huge rail system that leads right to their own port which ships straight out to China.

Go to the website and look at the video that shows the companies development within the last year. It is amazing how much they got done.

Very attractive company that will laugh at takeover bids over the next year and become a powerhouse company.

Getting it at the lowest possible CAPS multiple. I do not necessarily see materials recovering immediately, but I also do not see them going much lower...

A little iffy, but will benefit as soon as things start to recover. Could be a possible aquisition for one of the big boys.