Fortescue share price rebounds 3% today

Fortescue’s shares are rebounding on Tuesday…

| More on:
Happy man in high vis vest and hard hat holds his arms up with fists clenched celebrating the rising Fortescue share price

Image source: Getty Images

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

The Fortescue Metals Group Limited (ASX: FMG) share price is rebounding on Tuesday.

In afternoon trade, the mining giant’s shares are up 3% to $17.52.

Why is the Fortescue share price rising today?

Investors appear to have been picking up Fortescue shares today on the belief that they were oversold on Monday.

The Fortescue share price started the week with a sizeable decline after seaborne iron ore prices plunged in response to sharp falls in the futures markets.

With things looking a little more stable for iron ore prices today, Fortescue, BHP Group Ltd (ASX: BHP), and Rio Tinto Limited (ASX: RIO) shares are rebounding.

Are its shares good value?

Despite the recent weakness in the Fortescue share price, brokers aren’t recommending investors jump in.

In fact, none of the major brokers currently have a buy rating on its shares.

Though, it is worth noting that Macquarie’s neutral rating and $20.00 price target does imply meaningful upside of 14% from current levels.

Elsewhere, the bears at Goldman Sachs have a sell rating and lowly $13.50 price target on the company’s shares. Its analysts see far more value in BHP and Rio Tinto and have buy ratings on both.

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has positions in and has recommended Goldman Sachs. The Motley Fool Australia has recommended Macquarie Group Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

More on Resources Shares

tradie holding a laptop computer displaying ASX share price and scratching his head looking confused
Broker Notes

Are Rio Tinto shares a buy? See what top brokers are saying

The miner's share price has struggled to make ground in recent months.

Read more »

Three miners wearing hard hats and high vis vests take a break on site at a mine as the Fortescue share price drops in FY22
Resources Shares

The OZ Minerals share price has barely moved since rocketing on BHP’s takeover bid. So, what now?

Things have gone quiet with OZ Minerals. We take a look at what's next.

Read more »

Two workers on site discuss the next stage of this civil engineering job, one points his hands upwards.
Resources Shares

How have ASX nickel stocks been performing in 2022?

While most people are aware of the crucial role of lithium in lithium-ion batteries, nickel is also a critical battery…

Read more »

A group of three men in hard hats and high visibility vests stand together at a mine site while one points and the others look on with piles of dirt and mining equipment in the background.
Resources Shares

Why did ASX mining share Conico rocket 30% today?

What did this junior miner reveal to the ASX today?

Read more »

A man sits wide-eyed at a desk with a laptop open and holds one hand to his forehead with an extremely worried look on his face as he reads news of the Bitcoin price falling today on his mobile phone
Capital Raising

This ASX mining share just crashed 37%. Here’s why

Investors have turned sour on this small-cap mining share...

Read more »

a small boy dressed in a superhero outfit soars into the sky with a graphic backdrop of a cityscape.
Resources Shares

Guess which ASX lithium share just rocketed 20%

The Aussie-based lithium explorer is now the largest holder of lithium mining claims in the US state of South Dakota.

Read more »

Man in yellow hard hat looks through binoculars as man in white hard hat stands behind him and points.
Dividend Investing

Here’s the BHP dividend forecast through to 2026

Where is the BHP dividend heading in the coming years?

Read more »

a man sits in unhappy contemplation staring at his computer on his desk in a home environment, propping his chin on his hand.
Resources Shares

The ASX 200 share Firetrail just bought after brutal sell-off

If a stock has lost one-third of its value over the last four months, would you be courageous enough to…

Read more »