MIN declined 5.5% after it cut Onslow iron ore guidance by ~8%, the stocks resilience suggests it was no great surprise. Plus other stocks with lithium exposure such as IGO Ltd (IGL) and Liontown (LTR) also struggled. The revision was lower due to lower haulage capacity, but it was encouraging to see that Onslow Iron remains on track to reach its 35 million tonnes pa capacity by the first quarter of FY26. MIN’s 330-tonne road trains are being forced to drive at a third of their usual speed while $230 million is being spent upgrading the newly built road. On Wednesday, CEO Chris Ellison took analysts and investors to the project to highlight the progress he says the company has made on the road. The price action of the stock over the coming days will demonstrate the effectiveness of his sales pitch.
- We still like the risk/reward towards MIN into dips, though note this is a higher risk exposure given debt levels: MM holds MIN in its Active Growth Portfolio.
MM is long and bullish MIN
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