#5 - Vale (NYSE:VALE)
Vale (NYSE:VALE) has been below $10 for much of the last five years, but it is seeing a resurgence as the world moves out of pandemic. This is a tale of two companies. On the one hand, the company is one of three major iron ore producers. Demand for iron ore has been slumping as China has cut back based on a supply glut.
However, Vale is also the world’s leading producer of nickel which, along with lithium, is drawing increasing demand in the electric vehicle (EV) market. In fact, the latest versions of lithium ion EV batteries contain up to 60% nickel.
And it also is a miner of cobalt, but there is a growing to cobalt-free battery formulations that may make this aspect of the company’s business less significant.
VALE stock is up 38% on a trailing 12-month basis and carries a dividend yield of 4.07%.
About Vale
Vale SA, together with its subsidiaries, produces and sells iron ore and iron ore pellets for use as raw materials in steelmaking in Brazil and internationally. The company operates through Iron Solutions and Energy Transition Materials segments. The Iron Solutions segment produces and extracts iron ore and pellets, manganese, and other ferrous products; and provides related logistic services.
Read More - Current Price
- $8.56
- Consensus Rating
- Hold
- Ratings Breakdown
- 4 Buy Ratings, 6 Hold Ratings, 1 Sell Ratings.
- Consensus Price Target
- $13.89 (62.3% Upside)
