How can a stock like VALE be trading so low?

PE ratio of 2.91.

Earnings growth huge.

Yield huge.

Why on earth could it be trading so low?

 

%%
SELLERS like it.
Maybe not much ore left in that dirt cheap mine ; + hard to forget a big mine accident on front page of WSJ??

 

The high margins aren't expected to last.

 

More sellers than buyers

 

Recession fears pummeling commodity stocks

 

Sellers think the earnings estimate will decline

 

next funny questions :

why is Vale not at 2?
why is Vale not at 44?
Why is Vale swinging wildly from 2 to 44 so many times over the past 2 decades?
Why is Vale stuck in the middle of 2 and 44?

for goodness sake, learn to be a trader.

stop trying to be a professional writer trying to
rationalise / reason things out.


when PE is low at 2.9, it can get even lower at 0.029 !!!
and not higher at 290 !!!!

anyway, how much $$$$ have you lost from rationalising / reasoning?

If the PE thing is causing you to lose money, you should remove PE thing from
your vocabulary.

 

%%
IRON price ore dropped a lot; @ least a places i sell it
. $44??
Dont know , but hard to forget all the dead at that mine\ WSJ front page article years ago.
I almost did not buy a hi IBD rated/ coal mine stock mine years ago[low PE]. worked out fine, but that coal mine was much safer