Why Vale Is Poised to Bounce Back

Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, Brazilian mining giant Vale (NYSE: VALE  ) has earned a respected four-star ranking.

With that in mind, let's take a closer look at Vale and see what CAPS investors are saying about the stock right now.

Vale facts

Headquarters (founded)

Rio de Janeiro, Brazil (1942)

Market Cap

$91.6 billion

Industry

Steel

Trailing-12-Month Revenue

Industrial metals and minerals

Management

CEO Murilo Pinto De Oliveira Ferreira (since 2011)

CFO Luciano Siani Pires (since 2012)

Return on Equity (average, past 3 years)

20.8%

Cash/Debt

$6.4 billion / $33.2 billion

Dividend Yield

4.5%

Competitors

BHP Billiton

Cliffs Natural Resources

Sources: S&P Capital IQ and Motley Fool CAPS.

On CAPS, 97% of the 6,575 members who have rated Vale believe the stock will outperform the S&P 500 going forward.

Earlier this week, one of those Fools, dgilber1, succinctly summed up the Vale opportunity for our community:

This large Brazilian company deals in mining and exporting iron ore, manganese, nickel, copper, potassium, phosphate, and nitrogen. China has a growing need for steel and has good relations with Brazil. Also, as the value of the dollar declines, commodities tend to increase in value.

If you want market-thumping returns, you need to put together the best portfolio you can. Of course, despite a strong four-star rating, Vale may not be your top choice.

If that's the case, we've compiled a special free report for investors called "The Tiny Gold Stock Digging Up Massive Profits," which uncovers a much smaller miner with big potential. The report is 100% free, but it won't be around forever, so click here to access it now.

Want to see how well (or not so well) the stocks in this series are performing? Follow the TrackPoisedTo CAPS account.


Read/Post Comments (0) | Recommend This Article (3)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

Be the first one to comment on this article.

Sponsored Links

Leaked: Apple's Next Smart Device
(Warning, it may shock you)
The secret is out... experts are predicting 458 million of these types of devices will be sold per year. 1 hyper-growth company stands to rake in maximum profit - and it's NOT Apple. Show me Apple's new smart gizmo!

DocumentId: 2358512, ~/Articles/ArticleHandler.aspx, 10/22/2014 11:01:22 PM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...

Apple's next smart device (warning, it may shock you

Apple recently recruited a secret-development "dream team" to guarantee its newest smart device was kept hidden from the public for as long as possible. But the secret is out. In fact, ABI Research predicts 485 million of this type of device will be sold per year. But one small company makes Apple's gadget possible. And its stock price has nearly unlimited room to run for early-in-the-know investors. To be one of them, and see Apple's newest smart gizmo, just click here!


Advertisement