VALE Stock DCF
Added 2021-11-02 11:45:14 +0000 UTC
Comments
Is it going to be in Price targets sheets document?
Yaroslav Krasnovskyi
2021-11-10 19:14:15 +0000 UTCI read an article or two that also illustrated Vale's stock typically mirrors the trend of the price of Iron, and as Iron prices have decreased, so too has Vale in the last few months. So, I'd say a buy of Vale stock is a bet that 1) Iron prices will not be as badly impacted as the market fears. Or... 2) Vale as a business manages to sustain their overall earnings via alternative metals and increasing sales of a cheapening product (iron). See this as a non issue? Using Tom's sheet and projecting a 10% decline in EBITDA for next year brings the EBITDA valuation much more closely in line with what the market is pricing the company at. Feel free to share if you have anything to add!
David C
2021-11-06 23:51:55 +0000 UTCWas doing some research into this after watching tom's video on Vale. I found two problems (which may not be the only considerations since I spent around 30 minutes and am far from an expert). 1) Vale has had some recent disasters regarding Dams breaking around their mining sites causing billions in damage and harm. They are paying out for the Dam breakages thus far, but there are news articles foreshadowing additional breaks could happen (unverified likelihood). 2) Vale mines many ores, but the largest piece of their business appears to be Iron, with the largest buyer of that Iron ore being China. It's likely that the decrease we're seeing in Vale stock is entirely based on bearish sentiment on China's economy and need for Iron. China's demand is a large driver for Iron prices, after all. Reading into Vale's latest financial documents they mentioned this along with other factors.
David C
2021-11-06 23:46:46 +0000 UTCUbs just lowered their price target to $11 anyone have any insight into this?
Ricki C
2021-11-03 16:06:25 +0000 UTCI was also looking into this, increased by position. Thanks Tom!
Edip Amet
2021-11-03 10:52:21 +0000 UTCI see that EBITDA growth is only 5% 23,625,000>> 24,806,250 >> 26,046,563>> 27,348,891 >> 28,716,335 These are for years 2022 - 2026 respectively. You’re extra conservative
bassel haikal haikal
2021-11-02 19:32:59 +0000 UTCHey guys, any issue with this company sustaining or cutting the dividend ? I'll be honest, I don't know anything about iron or mining companies.... going off Tom's word on this one. My portfolio focus is based on dividend paying stocks.
Zach
2021-11-02 17:39:40 +0000 UTCThank you, Tom. Just bought some of this yesterday. I like the 87% upside :)
JZC
2021-11-02 12:29:09 +0000 UTCThanks Tom! Bought some last month. Happy to see your price target is close to mine.
Mark Sarasin
2021-11-02 12:17:00 +0000 UTC
