Northland Analys
This thesis is written from an investor’s perspective to determine the fair value of Northland Resources share price as of the 20th of July, 2012. The valuation is supported by a fundamental analysis of the iron ore market’s forecasted supply and demand capacity. For a long time the iron ore price has, been set in secretive meetings, not widely followed by banking analysts, and not been included in major commodity indexes. The iron ore price is highly leveraged towards the urbanization and industrialization phase of China. The economic prosperity of China has caused an exponential increase in commodity prices. This has led many people to believe in a new paradigm or a so called super cycle with sustained high commodity prices in the future. ...