Which mining stocks are you watching this week?
When the pandemic first hit in 2020, the growth of mining stocks was utterly unforeseen. Mining stocks started to rebound, and many of them reached new highs. So, one year later, what has happened? The declining pandemic numbers appear to be helping mining stocks maintain their momentum in the final months of 2021. This is attributable to increased industrial material use and higher retail sales.
When it comes to mining stocks, many people gravitate toward gold and silver-related companies. When wanting to invest in the mining industry, there are a variety of different types of mining stocks to consider. Lithium stocks, for example, have risen in popularity during the last year. Because of their relationship to electric vehicles, this is the case. Steel stocks do well as the metal’s demand and price rise. There are additional stores of uranium, copper, and a variety of other metals.
There are numerous factors to consider when investing in mining stocks, regardless of the sector. World news is crucial since it has an impact on all stocks, particularly mining stocks. Jobless claims statistics, real estate data, and other factors influence the price of mining companies. It’s not always easy to figure out which mining stocks are ideal for you. Let’s take a look at three of these stocks to look out for next month.
Top Mining Stocks To Watch
is a gold mining company that develops and runs properties in several countries. It is based in North America, South America, and West Africa at the moment. IAMGOLD is a shareholder in the Essakane, Rosebel, and Westwood mines, among many others in these areas.
Last Friday, one of IAMGOLD’s mine convoys at its Burkina Faso mine was attacked. Now on November 1st, the company has stated that the two individuals missing following the event have been safely located. This was a convoy transporting staff and contractors, with 33 people in total in buses and three supply trucks. The company said, “The Essakane mine site remains secured and our operations are not affected.”
This is IAMGOLD’s largest operating mine, which produced 364,000 ounces of gold last year. This was more than half of its overall production in total. Now on November 1st, IAG stock has a much higher volume than average in the market. In fact, its volume is more than double its current average. So will IAG be on your list of mining stocks to watch?
is a mining company that explores, discovers, acquires, develops, produces, sells, and reclaims mineral products of various types. As well as the company’s cash. Eldorado’s main interests include gold, silver, lead, zinc, and iron ores. Kisladag and Efemcukuru in Turkey, Lamque in Canada, Olympias and Stratoni in Greece are the five mines it currently runs.
On October 28th, the company reported its third quarter financial and operational results. Its quarterly production beat expectations during this period. As a result, Eldorado has increased its annual guidance by 6% to 460,000-480,000 ounces of gold. Its gold production quarter over quarter went up by 8%.
President and CEO George Burns said, “Our organic growth projects at existing operations remain on track with the Kisladag HPGR and Lamaque decline projects expected to be completed in the fourth quarter, allowing us to realize the benefits of these projects early next year.” With this new info in mind, will EGO be on your mining stock watchlist right now?
Rio Tinto Group (NYSE: RIO)
Rio Tinto Group is a mining company that finds, mines, and processes a variety of minerals. Aluminum, silver, molybdenum, copper, diamonds, gold, borates, titanium, salt, iron ore, and uranium are Rio’s principal products. Rio smelts aluminum and engages in a variety of mining activities. Rio Tinto stated in April that it had started producing lithium. A demonstration facility has begun production, with an annual output of 10 tons predicted. Following this factory, the corporation will decide whether to invest $50 million in a full-scale plant.
On October 28th, it was announced that Rio Tinto and BlueScope have partnered up to explore low-carbon steelmaking pathways. The company will do this using Pilbara iron ores and clear hydrogen to replace coking coal at BlueScope’s Port Kembla Steelworks. The companies will prioritize studying the use of green hydrogen at this location to reduce Pilbara iron ores.
Iron Ore Chief Executive at Rio Tinto, Simon Trott said, “This partnership will benefit from BlueScope’s experience and know-how in using electric melters at its New Zealand steelworks, Rio Tinto’s experience in the Atlantic direct reduction market and the R&D capability and the experience of both Rio Tinto and BlueScope in iron ore processing.” Based on this new info, will RIO stock be on your watchlist in November?
Best Mining Stocks To Buy?
It might be tough to decide which mining stocks are the best to invest in. Many mining stocks in various sectors are constantly rising and falling. As a result, while buying or selling mining stocks, developing an investment strategy can be extremely beneficial. It might be as simple as looking up the most recent news from across the world, the industry, and the firm. Looking at a mining stock’s volume can also be quite informative. So, armed with this knowledge, which mining stocks will you be adding to your watchlist in November?
7 Stocks to Buy for a Year Full of Volatility and Rate Hikes
“This time, it’s different.” Often considered the four most dangerous words in finance (five if you don’t count contracted words as singles), the…
“This time, it’s different.” Often considered the four most dangerous words in finance (five if you don’t count contracted words as singles), the sentiment warns of ignoring historical lessons and plowing ahead without a care in the world. That’s why to my knowledge, no one has uttered them in the new normal. Still, not saying it doesn’t mean you shouldn’t consider shifting strategies for stocks to buy.
For instance, you’ll often hear real-estate brokers claim that you can’t compare the housing bubble of the 2000s decade with the current rally. The idea is that buyers today are not of the subprime quality that dominated the last crisis. Without the threat of losing their homes due to say, questionable decisions of acquiring adjustable-rate mortgages, housing-related stocks to buy could likely continue rising higher.
That is, except for one problem: many of those sector-specific stocks to buy are not doing well. While the acquisitive party themselves may be prime borrowers (or even cash buyers), the overall economy still stands on shaky ground. As the Wall Street Journal pointed out, U.S.-based collective corporate debt is over $11 trillion. Additionally, other headwinds such as soaring consumer prices could cause people to limit their purchases — and that’s exactly what happened.
It’s not inflation that entirely should take the blame. The novel coronavirus’ omicron variant has taken its toll on commerce. Yet, the Federal Reserve has seen enough data to be worried. Thus, it’s likely that this year will be one of aggressive and hawkish monetary policies. The rate hikes may come earlier and with perhaps greater gusto as inflation fears continue to shape politics. In turn, that’s a good sign to rethink your stocks to buy.
However, don’t get too comfortable that rising borrowing costs are the end-all, be-all. As I’ve warned in multiple InvestorPlace articles, money velocity is down near all-time recorded lows. That’s an indication that regular folks are deeply concerned about what lies ahead. Therefore, it’s a good idea to consider these historically resilient stocks to buy.
- Charles Schwab (NYSE:SCHW)
- Progressive (NYSE:PGR)
- Kellogg (NYSE:K)
- Coca-Cola (NYSE:KO)
- Duke Energy (NYSE:DUK)
- Southern Copper (NYSE:SCCO)
- WPM) (NYSE:
Perhaps more than any other period in modern market history, investors must remain vigilant and agile. While it’s good to have a well-grounded framework to base your ideas from, should events and narratives change, you want to be flexible with your stocks to buy. Nevertheless, these ideas may prove worthwhile if the Fed is serious about its hawkishness.
Stocks to Buy: Charles Schwab (SCHW)
Source: Isabelle OHara / Shutterstock.com
Ordinarily, I wouldn’t think about adding Charles Schwab on any list of stocks to buy. Don’t get me wrong — it’s a fine establishment, one of the most respected institutions in high finance. However, people tend to want a little pizzazz in their portfolio. Certainly, when people get up in the morning to check their tickers, financial services securities don’t exactly rank highly.
I can imagine folks getting a jolt similar to a caffeine boost from cryptocurrencies. SCHW stock, though? Not so much.
But as I alluded to earlier, the narrative has changed. Now, financial services firms may be among the most attractive stocks to buy. Primarily, the company serves many high-net-worth investors, who probably benefitted handsomely from the time following the spring doldrums of 2020. How could you not? A monkey throwing darts would have yielded some positive ideas.
However, it’s in times of great uncertainty — such as the present juncture — where financial advisors really earn their keep. It’s easy to pick bullish ideas in an extremely bullish bull market. Now pick ones that will keep the boat afloat in ambiguous waters. And that’s part of the reason why SCHW stock may be off to a good start this year.
If I had to pick a more sleep-inducing sector than financial services as an investment, it would be insurance. Home insurance, auto insurance, whatever — it’s really boring. Again, it’s not about the business itself. As I mentioned in an article for Benzinga, the insurance industry has a rich history in the U.S. In fact, entrepreneurs established the first insurance firm in South Carolina to provide fire coverage.
If you want to go further back in time, in ancient Babylon, merchants signed bottomry contracts, which were loans that covered sea shipments. If an incident resulted in lost cargo, merchants did not have to repay the loan. Furthermore, the interest on this contract covered the insurance risk.
However, what about modern times? Well, insurance stocks to buy tend to have a linear relationship with interest rates: the higher the rates, the greater the growth. Obviously, you don’t want to invest based on arbitrarily defined short-term windows. However, I can’t help but notice that PGR stock is up nearly 5.5% year-to-date (YTD).
Fundamentally, it’s possible that as Covid-19 fades, companies will recall their workers. In turn, that would imply a greater need for auto insurance — benefitting Progressive.
Stocks to Buy: Kellogg (K)
Source: DenisMArt / Shutterstock.com
From boring stocks to buy to boring breakfasts, Kellogg really encompasses it all.
I love Kellogg and it’s a wonderful business. However, when one in four Americans say they never have time to make breakfast — and with nearly two-thirds sometimes getting so busy that they skip meals — the critics of K stock have some viable arguments regarding relevancy concerns.
However, with the new normal, Kellogg could hedge against the return-to-work idea I just mentioned. If the mass work-from-home experiment becomes permanent, then people will have more time to munch on Kellogg’s various scrumptious breakfast products. Worse comes to worst, you might be able to claim Amish identity and have your webcam turned off.
On a more guttural level, grocery shortages inherently and cynically provide a tailwind for Kellogg through enhanced demand. Plus, like many resilient stocks to buy, K stock features a higher-than-average dividend. So, all in all, investors should continue to keep this in mind for their portfolio of stocks to buy.
Source: Fotazdymak / Shutterstock.com
By now, we’re all familiar with the concept of retail revenge. But if you haven’t heard, it’s the collective opening of wallets as consumers essentially bid to make up for lost time and experiences. Furthermore, with the personal saving rate skyrocketing during the lockdowns for obvious reasons, Americans had a lot of money to spend.
While I’m not entirely clear how much of the pandemic savings are in consumers’ balance sheets, as a rate of personal income relative to cash outlays and taxes, spending has normalized back down to pre-pandemic norms. Cynically, this may bolster Coca-Cola under the thesis of cheap entertainment stocks to buy.
Naturally, mainstream media outlets have a tendency to shift the blame on the profligacy of American consumers. But the ultra-low money velocity suggests this idea may not be entirely accurate. Instead, it’s possible that big corporations have decimated wages to the point where it’s impossible for average Americans to get ahead. The widening wealth gap also provides confirming evidence.
And please — don’t give me this toxic positivity, hustle-culture garbage about working for your dreams. If it was remotely possible for everyone to 10X their income, everyone would do it. Instead, the reality is that people will penny-pinch while still seeking cheap thrills, which cynically bodes well for Coca-Cola’s addictive products.
Stocks to Buy: Duke Energy (DUK)
Source: jadimages / Shutterstock.com
Speaking of hustle culture, one of the ways that you may be able to determine whether a trend is a fading fad or a viable construct is to check if the concept works in any other context. For instance, if hustling can generate 10X your current income, can hustling utility workers generate 10X more electricity than they already do?
The answer of course is no, and the reason is that we live in a world of finite resources. Certainly, it’s possible for some elements within a system to 10X their productivity. But that would also limit many other elements from achieving their 10X potential.
Believe me, the primary beneficiaries of toxic positivity are only the ones dumping said toxicity.
And that brings me to Duke Energy. Since it’s impossible for any utility firm to 10X their capacity through “grinding” — whatever that means — Duke Energy benefits as one of the core stocks to buy during times of uncertainty. Why? Because modern society can’t survive without energy.
Put another way, consumers will cut almost anything out of their budget before they cut utilities. And once you go there, your life can 10X but in the other direction.
Southern Copper (SCCO)
Source: Coldmoon Photoproject/Shutterstock.com
Although some measure of volatility should be expected throughout 2022, the impact on the commodities market could be mixed. In particular, copper demand has soared since the spring doldrums of two years ago. Furthermore, while much of the trading in the spot market throughout last year has been horizontal in nature, what’s more important is that copper prices show no sign of fading.
Should this continue to be the case, Southern Copper could represent one of the stocks to buy during this uncertainty. Even with a questionable economic backdrop, the political powers in this nation are generally eager supporters of electric vehicles (EVs). Sure enough, copper is a “major component in EVs used in electric motors, batteries, inverters, wiring and in charging stations.”
Put another way, if you believe in EVs, then you also synergistically believe in copper. And of course, that lends itself to potentially higher prices of both SCCO stock and the underlying asset.
Finally, copper has become even more of a strategic asset now that China is competing aggressively with the U.S. in the EV space. Combined with its well-above-average dividend yield, SCCO stock makes for an interesting case among stocks to buy.
Stocks to Buy:(WPM)
Source: allstars / Shutterstock.com
To be upfront, precious metals miners — or in the case of, streaming companies — tend to perform best under inflationary circumstances. Under this scenario, the weakening dollar incentives investors to rotate some of their risk capital into assets commanding universal intrinsic value. That way, they can preserve their purchasing power, rotating back into fiat currencies once the opportunity is appropriate.
But to wager on WPM stock when the dollar might get stronger due to hawkish monetary policies? That seems awfully risky until you consider the precious metal complex’s other catalyst, the fear trade.
Recently, I’ve been reading reports about how thieves are digging through train cargo loaded with packages in downtown Los Angeles. Due to these activities, they’re also creating massive trash heaps around the railroad tracks. What’s more, other articles state that many folks are scavenging through the trash, occasionally finding items of value.
Let me be clear: there’s no excuse for lawlessness. At the same time, desperate economic measures are facilitating wholesale desperate actions. So I’m not necessarily quick to judge.
However, such actions may point to disturbing realities regarding our economy — meaning that WPM stock could be among the relevant stocks to buy this year.
On the date of publication, Josh Enomoto did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
A former senior business analyst for Sony Electronics, Josh Enomoto has helped broker major contracts with Fortune Global 500 companies. Over the past several years, he has delivered unique, critical insights for the investment markets, as well as various other industries including legal, construction management, and healthcare.
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B2Gold (NYSE:BTG) (TSX:BTO) shows strong production, but Mali risks persist
B2Gold’s (NYSE:BTG) strong 2021 production numbers are overshadowed by its underperforming Gold Miners Index (GDX) by nearly 20%. The drop was partly…
B2Gold’s (NYSE:BTG) strong 2021 production numbers are overshadowed by its underperforming Gold Miners Index (GDX) by nearly 20%.
The drop was partly due to a record comparative earnings year in 2020 as well as perceived risk in Mali. If recent sanctions do not impact mining operations, B2Gold’s price could start to better reflect its solid fundamentals.
Low cost producer with strong cash position
Annual production for FY2021 was 1.04M oz. with all-in sustaining costs (AISC) between $870 and $910. AISC for FY2022 are projected to be $1,010-$1,050 due to inflationary pressures. Even so, B2G is poised to remain among the lowest cost producers in the industry.
2021 cash flow from operations is estimated at $650M. The strong cash position with virtually no debt gives the company options for exploration and M&A. $29M has been allocated to grassroots exploration for 2022, highlighting their ambition to continue to grow by drilling.
In the words of chief executive Clive Johnson, “we’ve always been very entrepreneurial, yet we’re very good at the bricks and mortar of our business…. We’ll do deals that other companies may not do.”
Perceived Mali risks but no impact on production
Over half of B2Gold’s production comes from the Fekola Mine in Mali, where regulatory and geopolitical events have been an ongoing theme.
There was a military coup in May which, while not impacting operations, created some negative investor sentiment regarding one of Africa’s biggest gold producers. The government’s revocation of an exploration permit for B2Gold’s Menankoto property also caused negative market reaction. Although a permitting agreement was reached in December, recent sanctions on the country imposed by the Economic Community of West African States (ECOWAS) raise the possibility of supply disruptions.
Nonetheless, Fekola exceeded 2021 production estimates with 567,795 oz. and CEO Clive Johnson maintains that it will withstand supply disruptions and meet 2022 targets.
Image source: b2gold.com
Part of B2Gold’s strategy is to operate and develop in jurisdictions which, while relatively underexplored, are often perceived as higher risk compared to, for instance, Canada, Nevada, or Australia. As Clive Johnson states, “a core part of our strategy is to go where others fear to tread.”
Aside from core operations in Mali, The Philippines, and Namibia, the company has exploration projects in Uzbekistan and Finland as well as a JV development in Colombia. In July 2021, they signed exploration contracts in Egypt.
In the face of perceived geopolitical risks, Johnson highlights the solid economic foundation gold miners brought to countries during COVID and anticipates B2Gold’s experience and reputation will set it apart.
B2Gold offers one of the highest dividends in the industry (4.38%). It is trading at 8.67 times earnings and has healthy current and quick ratios of 4.89 and 2.90, respectively. Price to forward earnings and price to cash flow are both below industry averages.
If perceived Mali risks begin to ease and gold continues to show a strong hand in volatile markets, B2Gold’s value could start to be better reflected in the price.
The above references an opinion and is for information purposes only. It is not intended to be investment advice. Seek a licensed professional for investment advice. The author is an insider or shareholder of one or more of the companies mentioned above.
Trading Penny Stocks? Top Stock Market News For January 21st, 2022
What to know about trading penny stocks on January 21st
The post Trading Penny Stocks? Top Stock Market News For January 21st, 2022 appeared first on Penny…
Buying Penny Stocks Today? Here’s What You Need to Know
With another wild week of trading penny stocks and blue chips coming to an end, there is a lot for investors to keep track of right now. Right now, there are several factors that are impeding stock market growth including the pandemic, inflation, balance sheet announcements and much more. And because penny stocks are both reactive and speculative, it’s worth taking a closer look.
What’s Going On In The Stock Market Right Now?
During premarket on January 21st, we witnessed futures drop, signaling another potentially bearish day of trading in the market. With the NASDAQ Composite dropping by roughly 1%, it has now dropped by around 12% from its record high back in November. This clearly signifies a bearish drop and puts it well into correction territory.
On the earnings side, we saw shares of Netflix (NASDAQ: NFLX) drop by over 20% during premarket on slowed subscriber growth. Its first-quarter subscriber growth outlook was well below expectations, with only 2.5 million reported compared to an expected almost 6.3 million. Other entertainment companies such as Disney and Roku, saw share price drops as well, likely in a sympathetic movement pattern.
So, while all of this may sound disheartening, given the extraordinary times we’ve been living in, it makes sense that we would witness major market volatility like this. On top of that, we also witnessed the price of Bitcoin dip below $40,000, with crypto-related stocks falling simultaneously. So, with that in mind, let’s take a look at three penny stocks that gained during premarket.
3 Penny Stocks That Gained During Premarket
- Blue Star Foods Corp. (NASDAQ: BSFC)
- Save Foods Inc. (NASDAQ: SVFD)
- ReTo Eco-Solutions Inc. (NASDAQ: RETO)
Blue Star Foods Corp. (NASDAQ: BSFC)
The largest gainer of the day by far is BSFC stock, shooting up by over 220% by morning trading. While we did witness a similar jump with BSFC stock back in November of last year, it quickly corrected. Now, we are witnessing another major bullish move for the food company. While there is no company-specific news right now. The company did state back in December that it agreed to acquire assets from Gault Seafood. It also stated that this deal would be expected to close during the first quarter of this year.
So, while no news has come out detailing any update to this deal, it is exciting to consider. In addition, Diamond Equity Research issues an update, stating the ins and outs of this deal with Gault and the company moving forward as a whole. So, with this major move today, we do see that BSFC stock is highly speculative. But, whether it’s worth adding to your list of penny stocks or not is up to you.
Save Foods Inc. (NASDAQ: SVFD)
Another big gainer of the day is Save Foods Inc., which managed to climb by over 34% in early morning trading. With shares halted on a circuit breaker in the morning, we are seeing massive volume for SVFD stock right now.
Similarly to BSFC, there is no news that is driving SVFD stock up right now. However, many view it as a low-float play which is likely the cause behind this uptick. Keep in mind that SVFD stock is highly volatile as we’ve seen with its trading today. And with an over 50% drop in its value in the past year, it’s clear that there are many fluctuations occurring with SVFD stock right now. Whether this makes it a worthwhile addition to your penny stocks watchlist however, is up to you and your trading strategy.
ReTo Eco-Solutions Inc. (NASDAQ: RETO)
While RETO stock’s gain of around 3% in morning trading is not much compared to the other stocks on this list, RETO has climbed by almost 70% in the past five days. And, in the last month or so, that number jumps to over 160% which is no small feat. The major news with RETO came as it entered into an equity acquisition agreement to acquire an interest in Yile IoT Technology Co. Ltd. through REIT Mingde.
“We are excited about the acquisition of REIT Mingde as we believe this transaction will enable us to integrate Yile IoT’s technologies into ReTo and accelerate the upgrade and growth of ReTo’s business. With the support of IoT technologies, ReTo strives to become a technology-driven provider of services for ecological and environmental protection industries, and increase value for our shareholders.”
The CEO and Chairman of ReTo, Mr. Hengfang Li
This is great news for the company as the IoT market is continuing to heat up right now. So with that in mind, is RETO stock worth buying or not?
Which Penny Stocks Are You Watching?
If you’re looking for the best penny stocks to buy in 2022, there are hundreds of options to choose from. While it can be difficult to land on just a few for your watchlist, with the right research on hand, it can be much easier than previously imagined.
Now, trading penny stocks right now is highly volatile considering the sheer number of events that are impacting the stock market. But, with high hopes surrounding the future, many expect that it could get better in the coming weeks. With that in mind, which penny stocks are you watching?
If you enjoyed this article and you’re interested in learning how to trade so you can have the best chance to profit consistently then you need to checkout this YouTube channel. CLICK HERE RIGHT NOW!
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