Glencore (GLEN)

Sector:

Mining

Index:

FTSE 100

249.05p
   
  • Change Today:
    -7.50p
  • 52 Week High: 341.50
  • 52 Week Low: 222.15
  • Currency: UK Pounds
  • Shares Issued: 13,503m
  • Volume: 26,317,006
  • Market Cap: £33,629m

Glencore being investigated by US commodities regulator

By Michele Maatouk

Date: Friday 26 Apr 2019

LONDON (ShareCast) - (Sharecast News) - Glencore shares fell on Friday after it announced that it is being investigated by the US Commodity Futures Trading Commission (CFTC) over possible corrupt practices that may have led to the violation of some regulations.
"Glencore understands that the CFTC's investigations are at an early stage and have a similar scope in terms of subject matter as the current ongoing investigation by the US Department of Justice," it said in a statement after the close on Thursday.

The Swiss commodity trader and miner said it will cooperate with the US commodities regulator and its response will be managed by its Investigations Committee, which was set up in July 2018 to oversee the company's response to the investigation by the DoJ.

RBC Capital Markets said: "Without having any special insight on the DoJ investigation, or now the CFTC investigation, the potential impact on Glencore shares remains uncertain as the company works towards a settlement. A link between this investigation and the CFTC investigation, based on recent comments from the Director of Enforcement James McDonald, suggest that this is likely an extension of the current DOJ investigation on Glencore's adherence to the US Foreign Corrupt Practices Act. There is no known timeline for completion.

"This will not help the recently recovering sentiment from investors around Glencore shares but we are not sure that this extension, other than potentially expanded scope, really changes anything. We believe that GLEN, trading at an average 4.5x 2019-20e EV/EBITDA, continues to price a significant discount to Rio Tinto and BHP on 7.7x, in a large part owing to the current investigation.

"We continue to see good long-term value in GLEN shares but weaker coal markets and the lingering impact from the investigation are unlikely to allow for a re-rating in the near-term."

At 0935 BST, the shares were down 3% at 311.85p.

Email this article to a friend

or share it with one of these popular networks:


Note 1: Prices and trades are provided by Digital Look Corporate Solutions and are delayed by at least 15 minutes.

 

Glencore Market Data

Currency UK Pounds
Share Price 249.05p
Change Today -7.50p
% Change -2.92 %
52 Week High 341.50
52 Week Low 222.15
Volume 26,317,006
Shares Issued 13,503m
Market Cap £33,629m

Glencore Star Ratings

Compare performance with the sector and the market.
more star ratings
Key: vs Market vs Sector
Value
85.29% above the market average85.29% above the market average85.29% above the market average85.29% above the market average85.29% above the market average
77.97% above the sector average77.97% above the sector average77.97% above the sector average77.97% above the sector average77.97% above the sector average
Price Trend
56.6% below the market average56.6% below the market average56.6% below the market average56.6% below the market average56.6% below the market average
7.2% below the sector average7.2% below the sector average7.2% below the sector average7.2% below the sector average7.2% below the sector average
Income
58.51% above the market average58.51% above the market average58.51% above the market average58.51% above the market average58.51% above the market average
56.52% above the sector average56.52% above the sector average56.52% above the sector average56.52% above the sector average56.52% above the sector average
Growth
4.43% below the market average4.43% below the market average4.43% below the market average4.43% below the market average4.43% below the market average
23.33% below the sector average23.33% below the sector average23.33% below the sector average23.33% below the sector average23.33% below the sector average

What The Brokers Say

Strong Buy 10
Buy 1
Neutral 11
Sell 0
Strong Sell 1
Total 23
buy
Broker recommendations should not be taken as investment advice, and are provided by the authorised brokers listed on this page.

Glencore Dividends

  Latest Previous
  Special Special
Ex-Div 05-Sep-19 25-Apr-19
Paid 24-Sep-19 23-May-19
Amount 10.00¢ 10.00¢

Trades for 23-Sep-2019

Time Volume / Share Price
17:07 5,000 @ 249.05p
16:42 6,494 @ 249.05p
16:35 1,438 @ 249.05p
16:35 8,029,177 @ 249.05p
16:29 485 @ 249.25p

Glencore Key Personnel

CEO Ivan Glasenberg

Top of Page