ASX Shares BHP Billiton

I bought 3000 BHP at about $13 something with my old ARF super back in the early 2000s, when you were allowed to buy only in the ASX 200. I almost sold them at ~$45, but thought they may climb higher. I got out at about $39 when they started falling late 2007.

 

She´ll be right don't worry. Been buying/selling/options for 40 years on BHP, my first share age 8.

 

On a side note, I bought some A2M today. There must be a lot of traders that get a giggle out of that ASX code.

 

I agree 100%,just because the investment media have street fights and think that' "BHP" is kaput is a good sign long term ,btw i do not have anything in BHP yet ,but if they go into into $19.50-19.75 the the buy orders i have i place will start to buy, may take a few years to go back above the previous high,in between just pick up the divs ,simple..."IMHO"..

 

my FIL bought FMG at $6.86.

watched them got to $13+ = I was almost yelling at him to sell half and ride the rest as profit, take his cash off the table.

Australia had Twiggy-eyes on, he thought it was going to $20 so he held on.

Then watched it plummett to 99c.

I long CFD'd the s.h.i.t outta it and it went to $3, sold out, then went to $4 and been range bound ever since.

 

I believe it is a good time to buy BHP shares. I can't as i am out of money at the moment .

If you consider the URANIUM mining,
Who owns most of them in Australia - BHP.
Now think about who's been asking for uranium for a long time - INDIA.
And what is about happen between India and Australia - Free trade agreement

Connect the dots and there seems to be a good chance that BHP will go up soon.
Thank me later

 

I reckon the last dividend from BHP will be the last juicy one. The recent disaster in Brazil clean up cost will be a timely excuse to cut the dividend and changes will be made to their policy. Can't see BHP covering 150% payout ratio next time....


pinkboy

 

Yep, but the thing is they can't declare intention too early in case commodity prices pick up. If not, yes then a reset
is in order....it's the prudent thing to do.
So for the home viewers, ignore current dividend yield when assessing the opportunity.

 

Ouch !!!!

 

I suspect if you looked at the percentage of revenue from uranium I think you'll find it to be very low. BHPB's exposure to uranium is minimal - if you want a uranium play you'd be better off finding something else from the ASX. Secondly the uranium assets they hold aren't exactly what I would call blue chip.

Secondly, I thought that global demand for uranium was low - I know theres obviously been a bit of global stigma after Japan.

I agree pinkboy - I think they will probably use the Somarco disaster as the 'excuse' to end the progressive dividend policy. Although the other thing to consider is they still have a fair amount of discretionary capital they can cut from future years... but obviously that has a cost.

 

A mate of mine who bought in at around 21 bucks on 2000 units a week or so ago,he would be $$13,500.oo down a few minutes ago,but at this price from the previous highs and the financial loss and social status ,$19.76
is the entry price for me..imho..

 

Absolutely agree. The iron ore price has collapsed. Even despite the devaluation of the AUD the IO price they receive is well underwater. If they did maintain their dividend payout policy, it would be completely irresponsible, effectively risking the company's future (by massively weakening their balance sheet - not good for credit ratings that) on a hope and a prayer that commodity prices rebound (which I don't see for sometime).

Mind you BHP not alone, many other mining companies in the same boat, though their SPs haven't rerated downward enough yet.

BHP might be a great long term investment, but wouldn't go near it for a short to mid term investment.

 

How long will it be before demand from India picks up? I'd rather put my money with BHP than Fortescue.

 

I think BHP is incredible at under $20 for the long term.

 

Sounds simplistic, but why would you want to invest in a company that has no control over the price it sells it's product for? The directors of the company themselves have no idea what the price of iron ore etc will be in a few years. Just look at the disastrously optimistic predictions they have been making the last few years. Iron ore at $200 a tonne, anyone?

Maybe it's good value now. I have no idea. But over the long term, the majority of mining stocks haven't been good investments.

 

Very few, if any, companies are true "price makers"

Price Makers & Price Takers | Revision World

 

Not many companies have control over the price they sell their product. Only one I can think of myself are certain utility companies that have a monopoly in the area they service.

The same can be said of any investment sector. There are thousands of equities listed on ASX...how many have been good investments over long term?

 

Sounds like resi property investors but with less regulation.

 

BHP unlike Rio is more than just Iron Ore although of course all commodity prices are getting smashed....hello Coal, Copper and OIl . Apparently the cost of production for iron ore is $17ton , and expected to drop to $15 ton.

 

I think you better do a bit more homework on Rio