Wednesday, October 20, 2010

New Gold (Amex:NGD), Hecla Mining (NYSE:HL), Thompson Creek (NYSE:TC) Downgraded by UBS (NYSE:UBS)

UBS (NYSE:UBS) took aim at some companies it feels are weak in the mining sector, and downgraded New Gold, Inc. (Amex:NGD), Hecla Mining (NYSE:HL), Thompson Creek Metals (NYSE:TC).

Hecla was downgraded from "Buy" to "Neutral," New Gold from "Buy" to "Neutral," and Thompson Creek Metals was cut from "Buy" to "Neutral" as well.

Thompson Creek Metals closed the trading day Tuesday at $10.76, losing $0.82, or 7.08 percent.

Hecla Mining dropped to $6.60, dropping $0.56, or 7.82 percent. UBS has a price target of $7.75 on them, increasing it from $6.75.

New Gold fell to $6.46, declining $0.56, or 7.98 percent. They have a price target of $7.25 on them from UBS.

2 comments:

  1. I bought Hecla just over 12 months ago and it has gone from $3.22 upto $6.60 so far...

    They have no debt or hedged production and have massive amounts of cash. Their production costs are also declining annually.

    This and the rising silver/gold price make HL a great buy!!!

    UBS muppets!!

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  2. In the past, HL hit $7.30 when silver was $19+. Further back, HL hit $12.30 when silver was $21+. Silver is now over $23.

    When the price hit those peaks, their industrial metals were somewhat higher than current prices, however, HL now has solid earnings and cash flow and is in position to finance cash poor development projects.

    With world currency markets inflating, silver prices still have a way to go. HL is a screaming buy!

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