GRANT SPORRE |DEUTSCHE BANK
In our assessment, Glencore's share price, along with many of its peers, is factoring in a cautious view on commodities. Although market expectations, including our own, are fairly modest for the H1'11 period, a solid result for the marketing division will begin to build investor confidence in the sustainability.
MICHAEL SHILLAKER | CREDIT SUISSE
Following disappointing Q1 results and concerns over Q2 given heavy commodity related losses from investment banks, we believe these results should bring some comfort to the market and refocus attention away from quarterly trends and on to what we see as key investment drivers – high quality marketing business and strong volume growth.
DOMINIC O’KANE | LIBERUM CAPITAL
Post IPO Glencore has more closely tracked the Investment Banks and traders than its mining peers… We believe the reason is fear of declining commodity trading profitability and access to liquidity. Marketing’s first half EBIT is up 45 per cent year on year, indicating Glencore can thrive in difficult trading markets…We advise investors to re-visit 2H’11 accelerated earnings and its differentiated M&A model rather than linger on bearish marketing concerns.