Newmont Mining Co. (NEM), Goldcorp Inc. (GG), Kinross Gold (KGC), Jaguar Mining (JAG), Ivanhoe Mines Ltd (IVN), Silvercrest Mines (STVZF) and Primero Mining Corp. (PPP) had ratings and price targets on them adjusted by analysts.
Citigroup downgraded Newmont Mining Co. (NEM) from a "Buy" rating to a "Neutral" rating.
Citigroup initiated coverage on Goldcorp Inc. (GG). They have a "Neutral" rating on the company.
Citigroup initiated coverage on Kinross Gold (KGC). They have a "Buy" rating on the company.
RBC Capital downgraded Jaguar Mining (JAG) from a "Sector Perform" rating to an "Underperform" rating.
BMO Capital Markets downgraded Ivanhoe Mines Ltd (IVN) from an "Outperform" rating to a "Market Perform" rating.
Roth Capital initiated coverage on Silvercrest Mines (STVZF). They have a "Buy" rating on the company.
BMO Capital Markets upgraded Primero Mining Corp. (PPP) from a "Market Perform" rating to an "Outperform" rating.
Showing posts with label Newmont Mining Corp. Show all posts
Showing posts with label Newmont Mining Corp. Show all posts
Thursday, April 5, 2012
Tuesday, February 28, 2012
Newmont (NEM) (ENOC) (EPB) (TC) (REGI) (TRP) (ATW) Ratings, Price Targets
Newmont Mining Co. (NEM), EnerNOC, Inc. (ENOC), El Paso Pipeline Partners (EPB), Thompson Creek Metals (TC), Renewable Energy Group (REGI), TransCanada Co. (TRP) and Atwood Oceanics, Inc. (ATW) had ratings and price targets on them adjusted by analysts.
TD Securities downgraded Newmont Mining Co. (NEM) from a "Buy" rating to a "Hold" rating.
Needham & Company downgraded EnerNOC, Inc. (ENOC) from a "Buy" rating to a "Hold" rating.
Citigroup downgraded El Paso Pipeline Partners (EPB) from a "Buy" rating to a "Neutral" rating.
Credit Suisse downgraded Thompson Creek Metals (TC) from an "Outperform" rating to a "Neutral" rating.
Piper Jaffray initiated coverage on Renewable Energy Group (REGI). They placed an "Overweight" rating and price target of $17.00 on the company.
TD Securities downgraded TransCanada Co. (TRP) from a "Buy" rating to a "Hold" rating.
Morgan Stanley initiated coverage on Atwood Oceanics, Inc. (ATW). They placed an "Equal Weight" rating on the company.
TD Securities downgraded Newmont Mining Co. (NEM) from a "Buy" rating to a "Hold" rating.
Needham & Company downgraded EnerNOC, Inc. (ENOC) from a "Buy" rating to a "Hold" rating.
Citigroup downgraded El Paso Pipeline Partners (EPB) from a "Buy" rating to a "Neutral" rating.
Credit Suisse downgraded Thompson Creek Metals (TC) from an "Outperform" rating to a "Neutral" rating.
Piper Jaffray initiated coverage on Renewable Energy Group (REGI). They placed an "Overweight" rating and price target of $17.00 on the company.
TD Securities downgraded TransCanada Co. (TRP) from a "Buy" rating to a "Hold" rating.
Morgan Stanley initiated coverage on Atwood Oceanics, Inc. (ATW). They placed an "Equal Weight" rating on the company.
Thursday, February 2, 2012
Newmont (NEM) (SVM) (X) (AEIS) (ETR) (VLO) Ratings, Price Targets
Newmont Mining Co. (NYSE: NEM), Silvercorp Metals (NYSE: SVM), U.S. Steel (NYSE: X), Advanced Energy Industries, Inc. (NASDAQ: AEIS), Entergy Corp. (NYSE: ETR) and Valero Energy Co. (NYSE: VLO) ratings and price targets.
Newmont Mining Co. (NEM) was downgraded by Stifel Nicolaus from a “Buy” rating to a “Hold” rating.
Silvercorp Metals (SVM) had its “Outperform” rating reiterated by BMO Capital Markets. They have a price target of $11.00 on the company.
U.S. Steel (X) had its “Buy” rating reiterated by KeyBanc.
Advanced Energy Industries, Inc. (AEIS) had its price target raised by Dougherty & Co from $8.00 to $10.00. They have a “Neutral” rating on the company.
Entergy Corp. (ETR) had its price target lowered by BMO Capital Markets to $69.00. They have a “Market Perform” rating on the company.
Valero Energy Co. (VLO) had its price target lowered by Credit Suisse (NYSE:CS) to $37.00. They have an “Outperform” rating on the company.
Newmont Mining Co. (NEM) was downgraded by Stifel Nicolaus from a “Buy” rating to a “Hold” rating.
Silvercorp Metals (SVM) had its “Outperform” rating reiterated by BMO Capital Markets. They have a price target of $11.00 on the company.
U.S. Steel (X) had its “Buy” rating reiterated by KeyBanc.
Advanced Energy Industries, Inc. (AEIS) had its price target raised by Dougherty & Co from $8.00 to $10.00. They have a “Neutral” rating on the company.
Entergy Corp. (ETR) had its price target lowered by BMO Capital Markets to $69.00. They have a “Market Perform” rating on the company.
Valero Energy Co. (VLO) had its price target lowered by Credit Suisse (NYSE:CS) to $37.00. They have an “Outperform” rating on the company.
Wednesday, January 11, 2012
Kinross (KGC) (JNPR) (JEF) (KELYA) (KMPR) (NEM) Upgraded
Kinross Gold (NYSE: KGC), Juniper Networks (NASDAQ: JNPR), Jefferies Group (NYSE: JEF), Kelly Services (NASDAQ: KELYA), Kemper (NASDAQ: KMPR) and Newmont Mining (NYSE: NEM) were upgraded by analysts.
Jefferies Group (JEF) was upgraded by Zacks Investment Research from an “Underperform” rating to a “Neutral” rating.
Juniper Networks (JNPR) was upgraded by Piper Jaffray (NYSE:PJC) from a “Neutral” rating to an “Overweight” rating.
Kelly Services (KELYA) was upgraded by Zacks Investment Research from a “Neutral” rating to an “Outperform” rating.
Kemper (KMPR) was upgraded by Zacks Investment Research from an “Underperform” rating to a “Neutral” rating.
Kinross Gold (KGC) was upgraded by Deutsche Bank (NYSE:DB) from a “Hold” rating to a “Buy” rating.
Newmont Mining (NEM) was upgraded by CIBC from an “Underperform” rating to a “Sector Perform” rating.
Jefferies Group (JEF) was upgraded by Zacks Investment Research from an “Underperform” rating to a “Neutral” rating.
Juniper Networks (JNPR) was upgraded by Piper Jaffray (NYSE:PJC) from a “Neutral” rating to an “Overweight” rating.
Kelly Services (KELYA) was upgraded by Zacks Investment Research from a “Neutral” rating to an “Outperform” rating.
Kemper (KMPR) was upgraded by Zacks Investment Research from an “Underperform” rating to a “Neutral” rating.
Kinross Gold (KGC) was upgraded by Deutsche Bank (NYSE:DB) from a “Hold” rating to a “Buy” rating.
Newmont Mining (NEM) was upgraded by CIBC from an “Underperform” rating to a “Sector Perform” rating.
Tuesday, January 10, 2012
Devon (DVN) (KMR) (NGLS) (NU) (NEM) (WPZ) Ratings, Price Targets
Devon Energy Co. (NYSE: DVN), Kinder Morgan Management LLC (NYSE: KMR), Targa Resources Partners LP (NASDAQ: NGLS), Northeast Utilities System (NYSE: NU), Newmont Mining Co. (NYSE: NEM) and Williams Partners L.P. (NYSE: WPZ) ratings and price targets.
Kinder Morgan Management LLC (KMR) was downgraded by Tudor Pickering from an “Accumulate” rating to a “Hold” rating.
Targa Resources Partners LP (NGLS) was downgraded by Tudor Pickering from an “Accumulate” rating to a “Hold” rating.
Northeast Utilities System (NU) was downgraded by Macquarie from a “Neutral” rating to an “Underperform” rating.
Newmont Mining Co. (NEM) was upgraded by CIBC to a “Sector Perform” rating.
Devon Energy Co. (DVN) was upgraded by ISI Group from a “Sell” rating to a “Hold” rating.
Williams Partners L.P. (WPZ) was downgraded by Tudor Pickering from an “Accumulate” rating to a “Hold” rating.
Kinder Morgan Management LLC (KMR) was downgraded by Tudor Pickering from an “Accumulate” rating to a “Hold” rating.
Targa Resources Partners LP (NGLS) was downgraded by Tudor Pickering from an “Accumulate” rating to a “Hold” rating.
Northeast Utilities System (NU) was downgraded by Macquarie from a “Neutral” rating to an “Underperform” rating.
Newmont Mining Co. (NEM) was upgraded by CIBC to a “Sector Perform” rating.
Devon Energy Co. (DVN) was upgraded by ISI Group from a “Sell” rating to a “Hold” rating.
Williams Partners L.P. (WPZ) was downgraded by Tudor Pickering from an “Accumulate” rating to a “Hold” rating.
Newmont (NEM) (OPEN) (OPNT) (DVN) (ECA) (EE) Upgraded
Newmont Mining Co. (NYSE: NEM), OpenTable Inc. (NASDAQ: OPEN), OPNET Technologies, Inc. (NASDAQ: OPNT), Devon Energy Co. (NYSE: DVN), EnCana Co. (NYSE: ECA) and El Paso Electric (NYSE: EE) were upgraded by analysts.
Newmont Mining Co. (NEM) was upgraded by CIBC from an “Underperform” rating to a “Sector Perform” rating.
OpenTable Inc. (OPEN) was upgraded by Barclays Capital (NYSE:BCS) from an “Equal Weight” rating to an “Overweight” rating.
OPNET Technologies, Inc. (OPNT) was upgraded by Sidoti from a “Neutral” rating to a “Buy” rating.
Devon Energy Co. (DVN) was upgraded by ISI Group from a “Sell” rating to a “Hold” rating.
EnCana Co. (ECA) was upgraded by ISI Group from a “Sell” rating to a “Buy” rating.
El Paso Electric (EE) was upgraded by Jefferies Group (NYSE:JEF) from an “Underperform” rating to a “Hold” rating. They have a price target of $34.50 on the company, up from $28.00.
Newmont Mining Co. (NEM) was upgraded by CIBC from an “Underperform” rating to a “Sector Perform” rating.
OpenTable Inc. (OPEN) was upgraded by Barclays Capital (NYSE:BCS) from an “Equal Weight” rating to an “Overweight” rating.
OPNET Technologies, Inc. (OPNT) was upgraded by Sidoti from a “Neutral” rating to a “Buy” rating.
Devon Energy Co. (DVN) was upgraded by ISI Group from a “Sell” rating to a “Hold” rating.
EnCana Co. (ECA) was upgraded by ISI Group from a “Sell” rating to a “Buy” rating.
El Paso Electric (EE) was upgraded by Jefferies Group (NYSE:JEF) from an “Underperform” rating to a “Hold” rating. They have a price target of $34.50 on the company, up from $28.00.
Newmont (NEM) (NGLS) (NU) (INFA) (INHX) (IPCM) Downgraded
Newmont Mining Co. (NYSE: NEM), Targa Resources Partners (NASDAQ: NGLS), Northeast Utilities System (NYSE: NU), Informatica Co. (NASDAQ: INFA), Inhibitex (NASDAQ: INHX) and IPC The Hospitalist (NASDAQ: IPCM) were downgraded by analysts.
Newmont Mining Co. (NEM) was downgraded by Deutsche Bank (NYSE:DB) from a “Buy” rating to a “Hold” rating.
Targa Resources Partners (NGLS) was downgraded by Tudor Pickering from an “Accumulate” rating to a “Hold” rating.
Northeast Utilities System (NU) was downgraded by Macquarie from a “Neutral” rating to an “Underperform” rating.
Informatica Co. (INFA) was downgraded by BMO Capital Markets from an “Outperform” rating to a “Market Perform” rating. They have a price target of $35.00 on the company, down from $55.00.
Inhibitex (INHX) was downgraded by Robert W. Baird from an “Outperform” rating to a “Neutral” rating. They have a price target of $26.00 on the company, up from $15.00.
IPC The Hospitalist (IPCM) was downgraded by Jefferies Group (NYSE:JEF) from a “Buy” rating to a “Hold” rating.
Newmont Mining Co. (NEM) was downgraded by Deutsche Bank (NYSE:DB) from a “Buy” rating to a “Hold” rating.
Targa Resources Partners (NGLS) was downgraded by Tudor Pickering from an “Accumulate” rating to a “Hold” rating.
Northeast Utilities System (NU) was downgraded by Macquarie from a “Neutral” rating to an “Underperform” rating.
Informatica Co. (INFA) was downgraded by BMO Capital Markets from an “Outperform” rating to a “Market Perform” rating. They have a price target of $35.00 on the company, down from $55.00.
Inhibitex (INHX) was downgraded by Robert W. Baird from an “Outperform” rating to a “Neutral” rating. They have a price target of $26.00 on the company, up from $15.00.
IPC The Hospitalist (IPCM) was downgraded by Jefferies Group (NYSE:JEF) from a “Buy” rating to a “Hold” rating.
Monday, January 9, 2012
Newmont (NEM) (SXL) (THOR) (TJX) (OPEN) (OPNT) Ratings, Price Targets
Newmont Mining Co. (NYSE: NEM), SunoCo Logistics Partners LP (NYSE: SXL), Thoratec (NASDAQ: THOR), TJX Companies Inc. (NYSE: TJX), OpenTable Inc. (NASDAQ: OPEN) and OPNET Technologies, Inc. (NASDAQ: OPNT) ratings and price targets.
Newmont Mining Co. (NEM) was upgraded by CIBC from an “underperform” rating to a “sector perform” rating.
SunoCo Logistics Partners LP (SXL) was downgraded by Tudor Pickering to a “hold” rating.
Thoratec (THOR) was downgraded by Wells Fargo & Co. (NYSE:WFC) from an “outperform” rating to a “market perform” rating.
TJX Companies Inc. (TJX) was downgraded by Goldman Sachs (NYSE:GS) from a “buy” rating to a “neutral” rating.
OpenTable Inc. (OPEN) was upgraded by Barclays Capital (NYSE:BCS) from an “equal weight” rating to an “overweight” rating.
OPNET Technologies, Inc. (OPNT) was upgraded by Sidoti from a “neutral” rating to a “buy” rating.
Newmont Mining Co. (NEM) was upgraded by CIBC from an “underperform” rating to a “sector perform” rating.
SunoCo Logistics Partners LP (SXL) was downgraded by Tudor Pickering to a “hold” rating.
Thoratec (THOR) was downgraded by Wells Fargo & Co. (NYSE:WFC) from an “outperform” rating to a “market perform” rating.
TJX Companies Inc. (TJX) was downgraded by Goldman Sachs (NYSE:GS) from a “buy” rating to a “neutral” rating.
OpenTable Inc. (OPEN) was upgraded by Barclays Capital (NYSE:BCS) from an “equal weight” rating to an “overweight” rating.
OPNET Technologies, Inc. (OPNT) was upgraded by Sidoti from a “neutral” rating to a “buy” rating.
IPC (IPCM) (P) (MTB) (NEM) (AVGO) (BRCM) Ratings, Price Targets
IPC The Hospitalist (NASDAQ: IPCM), Pandora Media (NYSE: P), M&T Bank Co. (NYSE: MTB), Newmont Mining Co. (NYSE: NEM), Avago Technologies (NASDAQ: AVGO) and Broadcom Corp. (NASDAQ: BRCM) ratings and price targets.
IPC The Hospitalist (IPCM) was downgraded by Dougherty & Co. from a “buy” rating to a “neutral” rating. They have a price target of $41.00 on the firm, down from $56.00.
Pandora Media (P) is now covered by Needham & Company. They have a “buy” rating and a price target of $13.00 on the firm.
M&T Bank Co. (MTB) was downgraded by Bank of America (NYSE:BAC) from a “buy” rating to a “neutral” rating.
Newmont Mining Co. (NEM) was downgraded by Deutsche Bank (NYSE:DB) from a “buy” rating to a “hold” rating.
Avago Technologies (AVGO) was upgraded by Nomura (NYSE:NMR) from a “neutral” rating to a “buy” rating.
Broadcom Corp. (BRCM) was upgraded by Deutsche Bank from a “hold” rating to a “buy” rating.
IPC The Hospitalist (IPCM) was downgraded by Dougherty & Co. from a “buy” rating to a “neutral” rating. They have a price target of $41.00 on the firm, down from $56.00.
Pandora Media (P) is now covered by Needham & Company. They have a “buy” rating and a price target of $13.00 on the firm.
M&T Bank Co. (MTB) was downgraded by Bank of America (NYSE:BAC) from a “buy” rating to a “neutral” rating.
Newmont Mining Co. (NEM) was downgraded by Deutsche Bank (NYSE:DB) from a “buy” rating to a “hold” rating.
Avago Technologies (AVGO) was upgraded by Nomura (NYSE:NMR) from a “neutral” rating to a “buy” rating.
Broadcom Corp. (BRCM) was upgraded by Deutsche Bank from a “hold” rating to a “buy” rating.
Wednesday, November 2, 2011
Newmont (NEM) (LEAP) (NGSX) (CAVM) (CBI) (CCO) Price Targets Changed
Newmont Mining Co. (NYSE: NEM), Leap Wireless (NASDAQ: LEAP), NeurogesX, Inc (NASDAQ: NGSX), Cavium Networks, Inc. (NASDAQ: CAVM), Chicago Bridge & Iron Company (NYSE: CBI) and Clear Channel Outdoor Holdings, Inc. (NYSE: CCO) had price targets on them adjusted by analysts.
Newmont Mining Co. (NEM) had its price target lowered by RBC Capital from $87.00 to $82.00. They have a “Sector Perform” rating on the company.
Leap Wireless (LEAP) had its price target lowered by RBC Capital from $11.00 to $9.00. They have a “Sector Perform” rating on the company.
NeurogesX, Inc. (NGSX) had its price target lowered by Ladenburg Thalmann from $5.00 to $2.50. They have a “Buy” rating on the company.
Cavium Networks, Inc. (CAVM) had its price target lowered by
Wunderlich from $27.00 to $25.00. They have a “Buy” rating on the company.
Chicago Bridge & Iron Company (CBI) had its price target raised by Citigroup (NYSE:C) to $49.50.
Clear Channel Outdoor Holdings, Inc. (CCO) had its price target analysts at Benchmark Co. to $12.00.
Newmont Mining Co. (NEM) had its price target lowered by RBC Capital from $87.00 to $82.00. They have a “Sector Perform” rating on the company.
Leap Wireless (LEAP) had its price target lowered by RBC Capital from $11.00 to $9.00. They have a “Sector Perform” rating on the company.
NeurogesX, Inc. (NGSX) had its price target lowered by Ladenburg Thalmann from $5.00 to $2.50. They have a “Buy” rating on the company.
Cavium Networks, Inc. (CAVM) had its price target lowered by
Wunderlich from $27.00 to $25.00. They have a “Buy” rating on the company.
Chicago Bridge & Iron Company (CBI) had its price target raised by Citigroup (NYSE:C) to $49.50.
Clear Channel Outdoor Holdings, Inc. (CCO) had its price target analysts at Benchmark Co. to $12.00.
Tuesday, November 1, 2011
Newmont (NEM) (LGCY) (HFBC) (HME) Downgraded
Newmont Mining Co. (NYSE: NEM), Legacy Reserves (NASDAQ: LGCY), HopFed Bancorp, Inc. (NASDAQ: HFBC) and Home Properties (NYSE: HME) were downgraded by analysts.
Newmont Mining Co. (NEM) was downgraded by CIBC from a “Sector Perform” rating to an “Underperform” rating.
Legacy Reserves (LGCY) was downgraded by Robert W. Baird from an “Outperform” rating to a “Neutral” rating. They have a price target of $31.00 on the company.
HopFed Bancorp, Inc. (HFBC) was downgraded by Hilliard Lyons from a “Long” rating to a “Term Buy” rating.
Home Properties (HME) was downgraded by UBS AG (NYSE:UBS) from a “Neutral” rating to a “Sell” rating.
Newmont Mining Co. (NEM) was downgraded by CIBC from a “Sector Perform” rating to an “Underperform” rating.
Legacy Reserves (LGCY) was downgraded by Robert W. Baird from an “Outperform” rating to a “Neutral” rating. They have a price target of $31.00 on the company.
HopFed Bancorp, Inc. (HFBC) was downgraded by Hilliard Lyons from a “Long” rating to a “Term Buy” rating.
Home Properties (HME) was downgraded by UBS AG (NYSE:UBS) from a “Neutral” rating to a “Sell” rating.
Thursday, October 27, 2011
Gold Miners (NEM) (AU) (GG) (RGLD) Ready to Soar?
In this article, we will have a look at the so called “leverage” effect that mining companies are supposed to have to the underlying metal prices.
To explain briefly why mining companies SHOULD have a leverage effect to increasing metal prices, I will illustrate this with a simple example.Suppose you have a mining company X.X is mining gold, which is trading at $300 at the moment. However, the company has to pay its employees, has to pay for exploration of the mines, it takes a lot of money to build the mine, and so on. Assume it costs $500 to mine one ounce of gold. Initially, the company will make a loss of $200 for each ounce of gold mined. However, when the gold price rises to $500, the company will break even. With a gold price of $600, the company will make $100 profit for each ounce of gold mined.Now here is the key: if gold rises now from $600 to $700 (16.66%), the profits will rise from roughly $100 to $200, which is +100%!So even though the price of gold rose only 16.66%, profits doubled. So each $ increase in the price of gold, will lead to more profits for the company. When profits soar, the stocks are also expected to soar.
However, of what we have seen in recent years, it looks like this is definitely not always the case.
Some examples of gold stocks that have risen substantially more than the price of gold are ANV (Allied Nevada Gold) and GOLD (Randgold Resources.
Some other gold mining companies have performed equally to GLD, such as RGLD (Royal Gold) and GG (Gold Corp.).
However, as a result of the financial crisis in 2008, most gold stocks got beaten down so much that sentiment is so bearish, that it looks like these companies will never be able to increase profits or cash flows from their operations.Some examples are AU (AngloGold Ashanti) and NEM (Newmont Mining). However, please notice that both these stocks are currently near their long term red resistance line. If price would manage to break above these lines, these stocks could be in for one of the biggest rallies you will ever experience in your life, as money will flow into the most undervalued stocks, and when suddenly everybody starts to chase after them, they could rise at the speed of light.
When we look at the HUI index, we can see that from 2005 until 2008 (right before the financial crisis), the price of the HUI index was highly correlated with the price of Gold. However, recently, the HUI index has been lagging the price of Gold in a way that asks for a huge rally of mining stocks, or a huge drop of the Gold price, or a mixture of both. This can’t sustain in the long term, and with gold now being in a favorable position, we think the HUI index will play catch up with Gold.
When we measure Gold stocks in Gold, we can see that many stocks are now at or near historical low prices.
To give you one particular example of a stock we mentioned above, we take NEM (Newmont Mining). NEM is now trading at about 3.8% of the price of gold. In order for the ratio to go back to its historical average of about 8%, NEM could more than double, even if Gold would stay flat.
Another nice example of a stock that is trading near its lows when measured in gold is Tanzanian Royalty Exploration.
Conclusion: Although the mining stocks should have a leverage effect to a rising price of the metals they have in the ground, we can see that because of the financial crisis this leverage effect has often disappeared.However, with the crisis in Europe only worsening, and the US on the brink of financial disaster, we think it’s just a matter of time before the rating of the perceived “safe haven US Government bonds” will be lowered again.When this happens, investors have nowhere to go but GOLD. When the mass finally realizes that the mining stocks are severely undervalued, the mining companies could start a rally like you will only see once (or maybe twice if you’re lucky enough to become old) in your life.
Source
To explain briefly why mining companies SHOULD have a leverage effect to increasing metal prices, I will illustrate this with a simple example.Suppose you have a mining company X.X is mining gold, which is trading at $300 at the moment. However, the company has to pay its employees, has to pay for exploration of the mines, it takes a lot of money to build the mine, and so on. Assume it costs $500 to mine one ounce of gold. Initially, the company will make a loss of $200 for each ounce of gold mined. However, when the gold price rises to $500, the company will break even. With a gold price of $600, the company will make $100 profit for each ounce of gold mined.Now here is the key: if gold rises now from $600 to $700 (16.66%), the profits will rise from roughly $100 to $200, which is +100%!So even though the price of gold rose only 16.66%, profits doubled. So each $ increase in the price of gold, will lead to more profits for the company. When profits soar, the stocks are also expected to soar.
However, of what we have seen in recent years, it looks like this is definitely not always the case.
Some examples of gold stocks that have risen substantially more than the price of gold are ANV (Allied Nevada Gold) and GOLD (Randgold Resources.
Some other gold mining companies have performed equally to GLD, such as RGLD (Royal Gold) and GG (Gold Corp.).
However, as a result of the financial crisis in 2008, most gold stocks got beaten down so much that sentiment is so bearish, that it looks like these companies will never be able to increase profits or cash flows from their operations.Some examples are AU (AngloGold Ashanti) and NEM (Newmont Mining). However, please notice that both these stocks are currently near their long term red resistance line. If price would manage to break above these lines, these stocks could be in for one of the biggest rallies you will ever experience in your life, as money will flow into the most undervalued stocks, and when suddenly everybody starts to chase after them, they could rise at the speed of light.
When we look at the HUI index, we can see that from 2005 until 2008 (right before the financial crisis), the price of the HUI index was highly correlated with the price of Gold. However, recently, the HUI index has been lagging the price of Gold in a way that asks for a huge rally of mining stocks, or a huge drop of the Gold price, or a mixture of both. This can’t sustain in the long term, and with gold now being in a favorable position, we think the HUI index will play catch up with Gold.
When we measure Gold stocks in Gold, we can see that many stocks are now at or near historical low prices.
To give you one particular example of a stock we mentioned above, we take NEM (Newmont Mining). NEM is now trading at about 3.8% of the price of gold. In order for the ratio to go back to its historical average of about 8%, NEM could more than double, even if Gold would stay flat.
Another nice example of a stock that is trading near its lows when measured in gold is Tanzanian Royalty Exploration.
Conclusion: Although the mining stocks should have a leverage effect to a rising price of the metals they have in the ground, we can see that because of the financial crisis this leverage effect has often disappeared.However, with the crisis in Europe only worsening, and the US on the brink of financial disaster, we think it’s just a matter of time before the rating of the perceived “safe haven US Government bonds” will be lowered again.When this happens, investors have nowhere to go but GOLD. When the mass finally realizes that the mining stocks are severely undervalued, the mining companies could start a rally like you will only see once (or maybe twice if you’re lucky enough to become old) in your life.
Source
Wednesday, October 26, 2011
Newmont (NEM) (LTD) (LULU) (LVLT) (NKE) (PNK) Get New Coverage
Newmont Mining Co. (NYSE: NEM), Limited Brands (NYSE: LTD), Lululemon (NASDAQ: LULU), Level 3 (NASDAQ: LVLT), NIKE, Inc. (NYSE: NKE) and Pinnacle Entertainment, Inc (NYSE: PNK) getting new coverage from analysts.
TD Newcrest initiated coverage on Newmont Mining Co. (NEM). They placed a “Buy” rating and a price target of $85.00 on the company.
Northcoast Research initiated coverage on Limited Brands (LTD).
Janney Montgomery Scott initiated coverage on Lululemon (LULU). They placed a “Neutral” rating and a price target of $57.00 on the company.
Citigroup (NYSE:C) initiated coverage on Level 3 (LVLT). They placed a “Neutral” rating on the company. They cited valuation as the catalyst behind the call.
Auriga initiated coverage on NIKE, Inc. (NKE). They placed a “Buy” rating and a price target of $110.00 on the company.
FBR Capital initiated coverage on Pinnacle Entertainment, Inc. (PNK). They placed an “Outperform” rating and a price target of $15.00 on the company.
TD Newcrest initiated coverage on Newmont Mining Co. (NEM). They placed a “Buy” rating and a price target of $85.00 on the company.
Northcoast Research initiated coverage on Limited Brands (LTD).
Janney Montgomery Scott initiated coverage on Lululemon (LULU). They placed a “Neutral” rating and a price target of $57.00 on the company.
Citigroup (NYSE:C) initiated coverage on Level 3 (LVLT). They placed a “Neutral” rating on the company. They cited valuation as the catalyst behind the call.
Auriga initiated coverage on NIKE, Inc. (NKE). They placed a “Buy” rating and a price target of $110.00 on the company.
FBR Capital initiated coverage on Pinnacle Entertainment, Inc. (PNK). They placed an “Outperform” rating and a price target of $15.00 on the company.
Thursday, August 25, 2011
Newmont (NEM) (ANV) (STRA) (TSO) (ATRC) (CACI) Upgraded
Newmont Mining Co. (NYSE: NEM), Allied Nevada Gold Corp. (NYSE: ANV), Strayer Education, Inc. (NASDAQ: STRA), Tesoro Co. (NYSE: TSO), AtriCure (NASDAQ: ATRC) and CACI International Inc (NASDAQ: CACI) upgraded by analysts.
Newmont Mining Co. (NEM) was upgraded by RBC Capital from a “Positive” rating to an “Underperform” rating. They have a price target of $87.00 on the company, up from $67.00.
Allied Nevada Gold Corp. (ANV) was upgraded by RBC Capital from a “Positive” rating to an “Outperform” rating. They have a price target of $67.00 on the stock, up from $44.00.
Strayer Education, Inc. (STRA) was upgraded by Sterne Agee from a “Sell” rating to a “Neutral” rating.
Tesoro Co. (TSO) was upgraded by The Benchmark Company from a “Sell” rating to a “Buy” rating. They have a price target of $25.00 on the company.
AtriCure (ATRC) was upgraded by Morgan Keegan from a “Market Perform” rating to an “Outperform” rating. They have a price target of $13.00 on the company, down from $14.00.
CACI International Inc. (CACI) was upgraded by Jefferies (NYSE:JEF)from an “Underperform” rating to a “Hold” rating. They have a price target of $54.00 on the company, down from $56.00.
Newmont Mining Co. (NEM) was upgraded by RBC Capital from a “Positive” rating to an “Underperform” rating. They have a price target of $87.00 on the company, up from $67.00.
Allied Nevada Gold Corp. (ANV) was upgraded by RBC Capital from a “Positive” rating to an “Outperform” rating. They have a price target of $67.00 on the stock, up from $44.00.
Strayer Education, Inc. (STRA) was upgraded by Sterne Agee from a “Sell” rating to a “Neutral” rating.
Tesoro Co. (TSO) was upgraded by The Benchmark Company from a “Sell” rating to a “Buy” rating. They have a price target of $25.00 on the company.
AtriCure (ATRC) was upgraded by Morgan Keegan from a “Market Perform” rating to an “Outperform” rating. They have a price target of $13.00 on the company, down from $14.00.
CACI International Inc. (CACI) was upgraded by Jefferies (NYSE:JEF)from an “Underperform” rating to a “Hold” rating. They have a price target of $54.00 on the company, down from $56.00.
Tuesday, August 23, 2011
Newmont (NEM) (VIA-B) (BIRT) (HPQ) (YGE) (CHCO) Upgraded
Newmont Mining Co. (NYSE: NEM), Viacom, Inc. (NASDAQ: VIA.B), Actuate Co. (NASDAQ: BIRT), Hewlett-Packard (NYSE: HPQ), Yingli Green Energy Hold. Co. Ltd. (NYSE: YGE) and City Holding Company (NASDAQ: CHCO) upgraded by analysts.
Newmont Mining Co. (NEM) was upgraded by Citigroup (NYSE:C) from a “Hold” rating to a “Buy” rating.
Viacom, Inc. (VIA-B) was upgraded by Caris & Company from an “Above Average” rating to a “Buy” rating. They have a price target of $58.00 on the company.
Actuate Co. (BIRT) was upgraded by First Analysis from an “Equal Weight” rating to an “Overweight” rating.
Hewlett-Packard (HPQ) was upgraded by Auriga from a “Hold” rating to a “Buy” rating.
Yingli Green Energy Hold. Co. Ltd. (YGE) was upgraded by Piper Jaffray (NYSE:PJC) from a “Neutral” rating to an “Overweight” rating.
City Holding Company (CHCO) was upgraded by Stifel Nicolaus from a “Hold” rating to a “Buy” rating. They have a price target of $35.00 on the company.
Newmont Mining Co. (NEM) was upgraded by Citigroup (NYSE:C) from a “Hold” rating to a “Buy” rating.
Viacom, Inc. (VIA-B) was upgraded by Caris & Company from an “Above Average” rating to a “Buy” rating. They have a price target of $58.00 on the company.
Actuate Co. (BIRT) was upgraded by First Analysis from an “Equal Weight” rating to an “Overweight” rating.
Hewlett-Packard (HPQ) was upgraded by Auriga from a “Hold” rating to a “Buy” rating.
Yingli Green Energy Hold. Co. Ltd. (YGE) was upgraded by Piper Jaffray (NYSE:PJC) from a “Neutral” rating to an “Overweight” rating.
City Holding Company (CHCO) was upgraded by Stifel Nicolaus from a “Hold” rating to a “Buy” rating. They have a price target of $35.00 on the company.
Newmont Mining Co. (NEM) (GRMN) (GSS) (HMY) (IDSY) (MFN) (NDN) Close Up
Newmont Mining Co. (NYSE:NEM) closed Monday at 62.86, up $2.78, or 4.63 percent.
Garmin Ltd. (NASDAQ:GRMN) ended the session at $31.62, gaining $0.62, or 2.00 percent.
Golden Star Resources Ltd. (AMEX:GSS) closed Monday at $2.40, jumping $0.20, or 9.09 percent.
Harmony Gold Mining (NYSE:HMY) closed at $12.91, climbing $0.95, or 7.94 percent.
I.D. Systems Inc. (NASDAQ:IDSY) closed at $4.85, rising $0.31, or 6.83 percent.
Minefinders Corp. Ltd. (AMEX:MFN) ended the day at $16.95, increasing $1.26, or 8.03 percent.
99 Cents Only (NYSE:NDN) closed at $18.00, soaring $1.42, or 8.56 percent.
Garmin Ltd. (NASDAQ:GRMN) ended the session at $31.62, gaining $0.62, or 2.00 percent.
Golden Star Resources Ltd. (AMEX:GSS) closed Monday at $2.40, jumping $0.20, or 9.09 percent.
Harmony Gold Mining (NYSE:HMY) closed at $12.91, climbing $0.95, or 7.94 percent.
I.D. Systems Inc. (NASDAQ:IDSY) closed at $4.85, rising $0.31, or 6.83 percent.
Minefinders Corp. Ltd. (AMEX:MFN) ended the day at $16.95, increasing $1.26, or 8.03 percent.
99 Cents Only (NYSE:NDN) closed at $18.00, soaring $1.42, or 8.56 percent.
Monday, August 22, 2011
Gold Jumping on QE3 Speculation
Speculation the Federal Reserve will introduce another round of quantitative easing had the price gold surpassing the $1,890 mark early in the trading day, as investors continue to migrate toward safety in the volatile and weak economy.
Gold broke $1,890 in New York and London, as the failed Obama economic policies continue to weigh on the global economy.
While some continue to talk double-dip recession, we at Everything Gold have maintained we've never left the recession, as the data continue to confirm.
Others who believed in the recovery myth are now talking entering a recession, which has helped offer support to the price of gold, as well as the ongoing sovereign debt debacle in Europe. An earlier-than-expected QE3 adds more fuel to the gold price fire, and could cause an inevitable correction in gold to be somewhat subdued in comparison to what it may have been.
Barrick Gold (NYSE:ABX) was trading at $52.61, gaining $1.83, or 3.60 percent, as of 11:48 AM. Yamana Gold (NYSE:AUY) was trading at $15.94, jumping $0.43, or 2.77 percent. Newmont Mining (NYSE:NEM) was at $63.23, climbing $3.15, or 5.24 percent. Goldcorp was trading at $53.96, increasing $2.31, or 4.47 percent. Eldorado Gold was at $20.12, up $0.73, or 3.76 percent. Novagold was trading at $10.05, gaining $0.49, or 5.13 percent.
Gold broke $1,890 in New York and London, as the failed Obama economic policies continue to weigh on the global economy.
While some continue to talk double-dip recession, we at Everything Gold have maintained we've never left the recession, as the data continue to confirm.
Others who believed in the recovery myth are now talking entering a recession, which has helped offer support to the price of gold, as well as the ongoing sovereign debt debacle in Europe. An earlier-than-expected QE3 adds more fuel to the gold price fire, and could cause an inevitable correction in gold to be somewhat subdued in comparison to what it may have been.
Barrick Gold (NYSE:ABX) was trading at $52.61, gaining $1.83, or 3.60 percent, as of 11:48 AM. Yamana Gold (NYSE:AUY) was trading at $15.94, jumping $0.43, or 2.77 percent. Newmont Mining (NYSE:NEM) was at $63.23, climbing $3.15, or 5.24 percent. Goldcorp was trading at $53.96, increasing $2.31, or 4.47 percent. Eldorado Gold was at $20.12, up $0.73, or 3.76 percent. Novagold was trading at $10.05, gaining $0.49, or 5.13 percent.
Thursday, August 11, 2011
Newmont (NEM) (WY) (SWN) (PCL) (PFE) (OAS) Upgraded
Newmont Mining Co. (NYSE: NEM), Weyerhaeuser (NYSE: WY), Southwestern Energy (NYSE: SWN), Plum Creek Timber Co. (NYSE: PCL), Pfizer Inc (NYSE: PFE) and Oasis Petroleum Inc. (NYSE: OAS) upgraded by analysts.
Weyerhaeuser (WY) was upgraded by UBS AG (NYSE:UBS) from a “Sell” rating to a “Neutral” rating.
Southwestern Energy (SWN) was upgraded by Global Hunter Securities from a “Reduce” rating to a “Neutral” rating. They have a price target of $39.00 on the company.
Plum Creek Timber Co. (PCL) was upgraded by UBS AG from a “Sell” rating to a “Neutral” rating.
Pfizer Inc. (PFE) was upgraded by Argus from a “Hold” rating to a “Buy” rating. They have a price target of $21.00 on the company.
Oasis Petroleum Inc. (OAS) was upgraded by Morgan Keegan from a “Market Perform” rating to an “Outperform” rating. The have a price target of $34.00 on the company.
Newmont Mining Co. (NEM) was upgraded by Stifel Nicolaus from a “Hold” rating to a “Buy” rating. They have a price target of $76.00 on the company.
Weyerhaeuser (WY) was upgraded by UBS AG (NYSE:UBS) from a “Sell” rating to a “Neutral” rating.
Southwestern Energy (SWN) was upgraded by Global Hunter Securities from a “Reduce” rating to a “Neutral” rating. They have a price target of $39.00 on the company.
Plum Creek Timber Co. (PCL) was upgraded by UBS AG from a “Sell” rating to a “Neutral” rating.
Pfizer Inc. (PFE) was upgraded by Argus from a “Hold” rating to a “Buy” rating. They have a price target of $21.00 on the company.
Oasis Petroleum Inc. (OAS) was upgraded by Morgan Keegan from a “Market Perform” rating to an “Outperform” rating. The have a price target of $34.00 on the company.
Newmont Mining Co. (NEM) was upgraded by Stifel Nicolaus from a “Hold” rating to a “Buy” rating. They have a price target of $76.00 on the company.
Tuesday, August 9, 2011
JPMorgan (JPM) Says Gold Could Push $2,500 by the End of 2011
After three straight days of a huge gold rally, the largest since 2008, JPMorgan (NYSE:JPM) said gold could go crazy and soar to as high as $2,500 an ounce by the end of 2011.
This of course is led by Obama and the Democrat refusing to do the responsible thing and cut back on government spending (along with some Republicans).
Gold has jumped recently to an all-time high of $1,779 an ounce. The $2,500 mark, if reached, would represent a new high when taking into consideration being adjusted for inflation.
Goldman Sachs (NYSE:GS) has also joined the gold chorus, saying they see it hitting $1,730 an ounce within 6 months and $1,900 an ounce in 12 months.
Keynesianism is in its death throes as the realization the failed economic theory of the government printing money to escape recessions is just that - a failed one. Socialism everywhere is on the run as the unsustainability of entitlement programs and excessive military spending is increasingly being made clear to a growing number of people.
Consequently, the reason gold is soaring is not only as a safety hedge and defense against inflation, but it's value and recognition as a viable currency is roaring back. Gold has also broken away from the impact of demand, from and industrial standpoint, no longer considered to be affected by the business cycle.
As expected, gold miners are trading up today, with Yamana Gold (NYSE:AUY) trading at $13.61, gaining $0.16, or 1.19 percent, as of 12:14 PM EDT. NovaGold (NYSE:NG) was at $9.30, up $0.26, or 2.88 percent. Eldorado Gold (NYSE:EGO) was trading at $18.08, gaining $0.20, or 1.12 percent. Newmont Mining (NYSE:NEM) was at $54.46, up $0.33, or 0.61 percent. Goldcorp was trading at $46.66, gaining $0.22, or 0.47 percent. Barrick Gold was at $46.62, jumping $0.48, or 1.04 percent.
This of course is led by Obama and the Democrat refusing to do the responsible thing and cut back on government spending (along with some Republicans).
Gold has jumped recently to an all-time high of $1,779 an ounce. The $2,500 mark, if reached, would represent a new high when taking into consideration being adjusted for inflation.
Goldman Sachs (NYSE:GS) has also joined the gold chorus, saying they see it hitting $1,730 an ounce within 6 months and $1,900 an ounce in 12 months.
Keynesianism is in its death throes as the realization the failed economic theory of the government printing money to escape recessions is just that - a failed one. Socialism everywhere is on the run as the unsustainability of entitlement programs and excessive military spending is increasingly being made clear to a growing number of people.
Consequently, the reason gold is soaring is not only as a safety hedge and defense against inflation, but it's value and recognition as a viable currency is roaring back. Gold has also broken away from the impact of demand, from and industrial standpoint, no longer considered to be affected by the business cycle.
As expected, gold miners are trading up today, with Yamana Gold (NYSE:AUY) trading at $13.61, gaining $0.16, or 1.19 percent, as of 12:14 PM EDT. NovaGold (NYSE:NG) was at $9.30, up $0.26, or 2.88 percent. Eldorado Gold (NYSE:EGO) was trading at $18.08, gaining $0.20, or 1.12 percent. Newmont Mining (NYSE:NEM) was at $54.46, up $0.33, or 0.61 percent. Goldcorp was trading at $46.66, gaining $0.22, or 0.47 percent. Barrick Gold was at $46.62, jumping $0.48, or 1.04 percent.
Thursday, August 4, 2011
Gold Futures Soar to Record $1,684.70 An Ounce
Gold futures jumped to another record today, reaching as high as $1,684.70 in morning trading, as investors continue to pour their money into the safety of the yellow metal.
Gold futures for December delivery climbed $12.70, or 0.8 percent, to $1,679 at 10:29 A.M. on the Comex in New York after earlier reaching the record amount. This is the third day in a row gold has broken records.
The misguided actions of American politicians to raise the debt ceiling will increase the pace at which the U.S. dollar will eventually stop being the reserve currency of the world.
Even with the outrageous quantitative easing of the Federal Reserve and the Obama administration, the recession continues, no jobs have been created, and the value of the U.S. dollar continues to plunge. Gold will continue to rise in price under these conditions.
Gold miners, which have largely been lagging the upward price move of gold, show signs of beginning to be rewarded, as recent quarterly reports from Alamos Gold (TSX:AGI) and Yamana Gold (NYSE:AUY) seem to reveal that may be over. Most of this is in direct relationship to rising gold prices, as input costs have risen.
Even so, gold miners are getting punished today, as majors like Newmont Mining (NYSE:NEM), Goldcorp (NYSE:GG) and Barrick Gold (NYSE:ABX) are all trading down between 3 to 5 percent.
Gold futures for December delivery climbed $12.70, or 0.8 percent, to $1,679 at 10:29 A.M. on the Comex in New York after earlier reaching the record amount. This is the third day in a row gold has broken records.
The misguided actions of American politicians to raise the debt ceiling will increase the pace at which the U.S. dollar will eventually stop being the reserve currency of the world.
Even with the outrageous quantitative easing of the Federal Reserve and the Obama administration, the recession continues, no jobs have been created, and the value of the U.S. dollar continues to plunge. Gold will continue to rise in price under these conditions.
Gold miners, which have largely been lagging the upward price move of gold, show signs of beginning to be rewarded, as recent quarterly reports from Alamos Gold (TSX:AGI) and Yamana Gold (NYSE:AUY) seem to reveal that may be over. Most of this is in direct relationship to rising gold prices, as input costs have risen.
Even so, gold miners are getting punished today, as majors like Newmont Mining (NYSE:NEM), Goldcorp (NYSE:GG) and Barrick Gold (NYSE:ABX) are all trading down between 3 to 5 percent.
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