Mining stocks are investments in companies that produce or explore for minerals. Some of these minerals include uranium, coal, molybdenum (which is used in steelmaking), copper, silver and gold. They are affected by fluctuating commodity prices in addition to their own business and operating risks.
While sometimes risky, mining stocks can also be strong performers when commodity prices move up. However, due to the volatility of these stocks, Pat McKeough recommends that they only form a modest part of a well-balanced portfolio.
Canadian penny mining stocks are some of the riskiest stocks you can buy. These companies are trying to find mineral deposits that mine at a profit and such a find are exceedingly rare. Because of this, it’s even more important to look for investment quality in penny mines.
For example, we automatically rule out investing in penny mines that promote themselves too aggressively or do so misleadingly. The mine-finding effort is more likely to succeed if the managers focus on finding a mine rather than hyping their stock.
Junior mining stocks are usually smaller companies that typically take on riskier mining projects. However, if a junior mining stock is successful at finding and mining, it can mean huge returns for investors.
No matter what type of mining stocks, or other stocks you invest in, TSI Network recommends following our three-part Successful Investor strategy:
 How Successful Investors Get RICHLearn everything you need to know in ‘The Canadian Guide on How to Invest in Stocks Successfully’ for FREE from The Successful Investor. How to Invest In Stocks Guide: Find 10 factors that make your investments safer and stronger. |
MAJOR DRILLING, $8.70, is a buy. This large contract driller (Toronto symbol MDI; TSINetwork: Speculative) (majordrilling.com; Shares o/s: 81.8 million; Market cap: $712.0 million; No divids.) is now acquiring Explomin Perforaciones, a specialty drilling contractor based in Peru. The purchase price is $63 million U.S., with an added $22… Read More
Like most silver stocks, Hecla Mining is heavily influenced by silver prices. But we think the direction of silver prices—and for Hecla shares—is upward. Meanwhile, the company has made a good addition to its board of director.
HECLA MINING, $5.62, is a buy. This silver and gold miner… Read More
Nutrien’s shares are down over 50% from their April 2022 peak following Russia’s invasion of Ukraine, which caused a big spike in potash prices. However, potash supplies and prices later declined. Even so, the company’s stands to gain from a rising global population and the… Read More
IAMGOLD, $6.99, is a buy. The miner (Toronto symbol IMG; TSINetwork Rating: Speculative) (www.iamgold.com; Shares outstanding: 570.3 million; Market cap: $4.0 billion; No dividends paid) has bounced back from a recent drop that came after Burkina Faso’s President Ibrahim Traore mentioned during a radio interview on October. 5, 2024,… Read More
Whatever the near-term outlook for gold, we think top-quality gold stocks like Alamos and Lundin—both hitting all-time highs—remain buys. That’s in part because of their prospects for increased production and cash flow—regardless of precious metal prices.
ALAMOS GOLD INC., $27.46, is a buy. Through the shares (Toronto… Read More
NEWMONT CORP., $54.00, remains a buy for long-term growth and as a hedge against inflation. The company (New York symbol NEM; Shares o/s: 1.1 billion; Market cap: $59.4 billion; TSINetwork Rating: Average; Dividend yield: 1.9%; www.newmont.com) is the world’s largest gold miner, with major operations in North America,… Read More
These three resources producers are making acquisitions and investing in big new projects. These moves help bolster their reserves and set them up for more growth in the next few years. For now, however, we prefer mining firms Alcoa and BHP over oil producer APA… Read More
BARRICK GOLD, $27.36, is a Power Buy. The miner (Toronto symbol ABX; TSINetwork Rating: Average) (www.barrick.com; Shares o/s: 1.8 billion; Market cap: $48.0 billion; Yield: 2.0%) has announced that its feasibility study for the expansion of its Lumwana mine in Zambia is expected to be completed by the end… Read More
NUTRIEN LTD. $64 is a buy. The company (Toronto symbol NTR; Aggressive Growth Portfolio, Resources sector; Shares o/s: 494.6 million; Market cap: $35.6 billion; Price-to-sales ratio: 1.0; Dividend yield: 4.1%; TSINetwork Rating: Average; www.nutrien.com) is the world’s largest producer of agricultural fertilizers, including potash, nitrogen and phosphate. It… Read More
Teck Resources recently sold its metallurgical coal mines in Western Canada. Metallurgical coal is a key ingredient in steelmaking.
The company is using the cash from the sale to pay down debt and reward investors. More importantly, the sale leaves Teck to focus on its copper… Read More
NEWMONT CORP., $51.36, remains a buy for long-term growth and as a hedge against inflation. The company (New York symbol NEM; Shares o/s: 1.1 billion; Market cap: $59.2 billion; TSINetwork Rating: Average; Dividend yield: 2.0%; www.newmont.com) reports that in the quarter ended June 30, 2024, it produced a.. Read More
NEWMONT CORP. $52 is a buy for long-term growth and as a hedge against inflation. The company (New York symbol NEM; Aggressive Growth Portfolio, Resources sector; Shares outstanding: 1.15 billion; Market cap: $59.8 billion; Price-to-sales ratio: 3.6; Dividend yield: 1.9%; TSINetwork Rating: Average; www.newmont.com) acquired rival Newcrest Mining… Read More
Like most silver stocks, Hecla Mining is heavily influenced by silver prices. But we think the direction of silver prices—and for Hecla shares—is upward. That’s in part because global demand for silver, used in solar panels, electric vehicles and other key green technologies continues to… Read More
Barrick has moved up recently, along with gold prices—now hitting new all-time highs. The gains likely reflect growing belief among investors that easing inflation eliminates the need for any more interest-rate increases. That should push up investor demand for gold as the appeal of interest-bearing… Read More
AMERIGO RESOURCES, $1.66, is a buy for aggressive investors. The company (Toronto symbol ARG; TSINetwork Rating: Speculative) (www.amerigoresources.com; Shares o/s: 166.0 million; Market cap: $287.1 million; Dividend yield: 7.2%) is now using its strong cash flow to declare its first Performance Dividend of $0.04 a share,… Read More
TECK RESOURCES LTD. $66 remains a buy for the Resources sector of your portfolio. The company (Toronto symbol TECK.B; Conservative Growth Portfolio, Resources sector; Shares outstanding: 517.5 million; Market cap: $34.2 billion; Price-to-sales ratio: 2.4; Dividend yield: 0.8%; TSINetwork Rating: Extra Risk; www.teck.com) recently sold 20% of its… Read More
NEWMONT CORP. $42 is a buy for long-term growth and as a hedge against inflation. The company (New York symbol NEM; Aggressive Growth Portfolio, Resources sector; Shares outstanding: 1.15 billion; Market cap: $48.3 billion; Price-to-sales ratio: 3.0; Dividend yield: 2.4%; TSINetwork Rating: Average; www.newmont.com) acquired rival Newcrest Mining… Read More
The outlook for a wide range of commodities continues to improve as the world’s economy recovers from the COVID-19 pandemic. The ongoing shift to electric-powered vehicles continues to spur demand for key metals such as copper and nickel.
These three leading commodity producers are preparing for… Read More
Like most gold stocks, IAMGold’s shares are heavily influenced by gold prices. Still, the company’s positive cash flow and rising production provide lots of speculative appeal for investors.
IAMGOLD, $5.05, is a buy. The miner (Toronto symbol IMG; TSINetwork Rating: Speculative) (www.iamgold.com; Shares outstanding: 493.6 million; Market cap: $2.5… Read More
Alamos is now undertaking an acquisition that will make it the third-largest gold producer in Canada. Notably, the new mine is next to its existing Island mine. That means lots of cost savings for Alamos in addition to higher overall production.
ALAMOS GOLD, $20.56, is a.. Read More
