These Resources stocks have gains ahead

Article Excerpt

Demand for Major Drilling’s specialized services, especially from senior gold producers, including Australia’s largest mining companies, is now recovering. Meanwhile, Computer Modelling is benefiting from expanding oil and gas drilling in response to higher energy prices. We think there are still gains ahead for both stocks and their investors. MAJOR DRILLING, $7.76, is a buy. This large contract driller (Toronto symbol MDI; TSINetwork: Speculative) (majordrilling.com; Shares outstanding: 82.8 million; Market cap: $657.8 million; No dividends paid) mainly serves the mining industry. In the quarter ended July 31, 2022, the company’s revenue jumped 32.4%, to $199.8 million from $151.0 million a year earlier. More specifically, revenue in the Canada-U.S. region increased 32.6% to $112.6 million. This region saw an influx in drilling activity for junior miners as well as extended programs from seniors/intermediates. South and Central American revenue increased 34.9% to $47.5 million for the latest quarter. Operational challenges in relation to COVID-19 restrictions have eased. Asian and African operations reported revenue of $39.8 million, which was up 28.8% from…