SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Strategies & Market Trends : Australian Shares and ADRs
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: EPS who wrote (32)4/9/1998 10:15:00 PM
From: Moominoid  Read Replies (2) of 96
 
Here is a list of some potential Australian Resource Stocks to consider:

1. Santos
2. Rio Tinto (joint UK / Aus company)
3. Woodside Petroleum

4. and lower:

Aurora Gold
Ranger Minerals
Western Metals
Westralian Sands
North Limited
Portman Mining

The method used to select these was to look at the last annual report of First State Fund Managers - on of the best fund managers in Australia - and see which resource stocks they held. Then I checked recent performance tables for Australian shares (in "Shares" magazine). The ones above have zero to positive returns in the last year and last three years, are currently making a profit and that profit has increased over the last year and last six months, have reasonable debt to equity ratios, and have reasonable price to earnings ratios. Santos is the clear winner with a total return over the last three years of 120% which is comparable to Australian industrials, saw double digit profit growth in the last year and has a PE of only about 15 at the moment. Rio Tinto comes in second etc.

By contrast on many gold explorers (apart from Aurora Gold and Ranger Minerals above) you might have only 20-30% of the money you put in 1-3 years ago. BHP shows falling profits, a PE of 63 and negative returns over the last 1 and 3 years. Comalco has a PE around 300+ and similar dismal profits and returns.

David
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  

HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2025 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News