You are required to analyse Fortescue Metals Group Limited (FMG.AX) and prepare an investment recommendation report. The report provides an assessment of the company's current position and future prospects, incorporating the use of various valuation techniques to arrive at estimates of the intrinsic value of the company's shares. Your report should make a case for the company's shares to be rated in one of the following ways: Buy

Evaluate the relative historical financial performance of the company among its peers ( We choose BHP and South32 as competitors)

identify the firm's competitors and discuss why they have been selected

identify, and explain the relevance of, five financial ratios of your choice (not to include ROE, Net Profit Margin, Total Asset Turnover or Financial Leverage) for the company and its peers (potential ratios to include Return on Assets, NPAT, Debt to Equity, Gross Margin, Operating Leverage, EPS Growth, Interest Cover Ratio)

explain the performance of the company compared to its peers using this analysis

analyse and explain the reasons for changes in these ratios over the past five years and compared to the average of the past five years

do not simply describe the changes in the ratios