Vale SA (VALE), the Brazilian iron ore giant, saw its stock soar 5.08% in Thursday's intraday trading session, despite reporting a net loss of $694 million for the fourth quarter of 2024. The surge was driven by the company's announcement of fresh dividends and a share buyback program, which offset the impact of the weaker-than-expected earnings.
The reported quarterly loss, stemming from impairments on some of Vale's Canadian base metals assets, missed analysts' expectations of a $1.95 billion profit. However, the company declared a dividend of 2.14 reais per share and launched a share buyback program for up to 120 million shares, representing 3% of its outstanding stock, to be executed over 18 months.
Analysts at RBC Capital Markets and Morgan Stanley (MS) anticipate a positive market reaction, citing the decreased 2025 capital expenditure forecast and the new shareholder returns as potential catalysts for consensus upgrades and stock rerating. The move signals Vale's commitment to returning cash to shareholders, despite the challenging quarter.
免责声明：投资有风险，本文并非投资建议，以上内容不应被视为任何金融产品的购买或出售要约、建议或邀请，作者或其他用户的任何相关讨论、评论或帖子也不应被视为此类内容。本文仅供一般参考，不考虑您的个人投资目标、财务状况或需求。TTM对信息的准确性和完整性不承担任何责任或保证，投资者应自行研究并在投资前寻求专业建议。