Topic: Growth Stocks

Wall Street Stock Forecaster Hotline – Friday, August 28, 2015

Article Excerpt

BHP BILLITON LTD. ADRs, $36.69, New York symbol BHP, recently set up its aluminum, manganese, nickel and silver operations, as well as some coal mines, as a new firm called South32. The spinoff leaves BHP focused on four main commodities: iron ore, metallurgical coal, copper and petroleum, at properties in Australia, North America and South America. In its 2015 fiscal year, which ended June 30, 2015, BHP’s revenue fell 21.4%, to $44.6 billion from $56.8 billion in 2014. Earnings dropped 51.6%, to $6.4 billion, or $2.41 per ADR (each American depositary receipt represents two BHP common shares). In 2014, it earned $13.3 billion, or $4.99 per ADR. These declines are largely due to weak prices for oil, coal, copper and other commodities. As well, the company gets 30% of its revenue from customers in China, and slowing industrial growth in that country has dampened demand. In response, BHP continues to cut its operating costs and improve its productivity. In fiscal 2015, these actions saved…