Goldcorp Projection

by admin on February 20, 2012

Goldcorp updated shareholders with 2012 production guidance. The company still projects 2.6 Mozs at cash costs of $250-275/oz.
Goldcorp reported an 8% increase in reserves to 64.7 Mozs. Most importantly, the company announced a significant 42% increase (7.8 Mozs) in P&P reserves at Los
Filos to (Los Filos now contains Goldcorp’s third-largest reserve base).

One of the reasons why institutional investors favor Goldcorp is because the mining company has a strong growth profile beyond 2012.

{ 0 comments }

Iron Ore Investors Are Nervous

by admin on February 17, 2012

Iron ore companies have been some of the strongest performing mining stocks in 2012. There has been a massive rebound in shares of VALE and FMG.A, two beaten down iron ore producers.

However, investors in the iron ore sector have reason to be nervous.

The best miners are running operating profit margins at over 60 per cent. The price of the raw commodity has increased to $140/tonne.

The question for iron ore investors is whether or not growth in China is slowing. Some investors even fear a “China collapse.”

It has been wildly debated whether or not a property bubble exists in China. Short sellers like Jim Chanos have reportedly been betting against iron ore companies like VALE.

 

{ 0 comments }

Has Agnico-Eagle Finally Bottomed?

February 17, 2012

Agnico Eagle shares went for a wild ride yesterday after the company posted it’s 4th quarter results. The company reported a loss of $601.4-million, or a loss of $3.53 per share, for the fourth quarter of 2011. Most of the loss was due to a partial write-down of the Meadowbank mine which was $645 million. [...]

Read the full article →

Reading the Gold Price Charts

January 11, 2012

One of the better technical analysts, especially in regards to the gold and silver market is Louise Yamada. She graciously shared her thoughts on where gold and silver might be headed in 2012. First of all, the current correction in gold is most similar to the correction in 2008 during the financial crisis. In 2008, [...]

Read the full article →

Gold Stock Risks

December 22, 2011

It is commonly said that gold stock investing is the most difficult type of investing because gold mining is the most difficult business known to man. If you’ve followed gold companies for number of years and you have invested in gold stocks during this time it is quite likely that you have some gold stocks [...]

Read the full article →

When to Buy Agnico Eagle?

December 19, 2011

Agnico Eagle (AEM) has been one of the more frustrating gold stocks for investors. Investors who bought Agnico in September for $70/share are now sitting on 50% losses after the company had to shut down it’s Goldex mine due to safety issues.  Recently, the stock has been especially sluggish as tax loss selling into the [...]

Read the full article →

Analyzing Gold Company Financials

December 19, 2011

Before you decide to invest in gold stocks, it is important to understand the financing difficulties that many companies face. For junior mining companies simply exploring for gold they constantly need to return to the market in order to raise more money. This of course dilutes existing shareholders of the company. Mining is one of [...]

Read the full article →

Gold Sentiment is at Record Lows

December 16, 2011

The recent drop in the price of gold has baffled lots of investors. As a matter of fact, bullish sentiment on gold is probably at it’s lowest level in years. Even Mark Hulbert wrote an article entitled “Gold Bugs Throw in the Towel.”   In addition, Market Vane has reported a bullish consensus of only 61% [...]

Read the full article →

Top Gold Stocks

December 16, 2011

Diversification is at the core of all investing. It rarely makes sense to put all of your eggs into one basket. There are always unforeseen problems and difficulties that can sink even blue-chip stocks. Diversification in gold stocks generally means allocating a certain portion of your portfolio to major gold companies, development companies and junior [...]

Read the full article →

The Bad Economics of Penny Mining Stocks

December 14, 2011

As more and more investors start to invest in gold stocks it is important to outline some key facts about the mining industry. First of all, there will most likely be a mania phase in gold stocks where penny stocks will rocket higher by multiples of 25 times or more. However, just because these penny [...]

Read the full article →