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Filings Buzz in the Mining Industry: 72% Jump in Big Data Mentions in Q2 of 2021

Mentions of big data within the filings of companies in the mining industry rose 72% between the first and second quarter of 2021…

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This article was originally published by Mining Technology

Mentions of big data within the filings of companies in the mining industry rose 72% between the first and second quarters of 2021.

In total, the frequency of sentences related to big data between July 2020 and June 2021 was 150% higher than in 2016 when GlobalData, from whom our data for this article is taken, first began to track the key issues referred to in company filings.

 

When companies in the mining industry publish annual and quarterly reports, ESG reports and other filings, GlobalData analyses the text and identifies individual sentences that relate to disruptive forces facing companies in the coming years. Big data is one of these topics – companies that excel and invest in these areas are thought to be better prepared for the future business landscape and better equipped to survive unforeseen challenges.

To assess whether big data is featuring more in the summaries and strategies of companies in the mining industry, two measures were calculated. Firstly, we looked at the percentage of companies which have mentioned big data at least once in filings during the past twelve months – this was 58% compared to 31% in 2016. Secondly, we calculated the percentage of total analysed sentences that referred to big data.

Of the 50 biggest employers in the mining industry, China Steel Corp was the company which referred to big data the most between July 2020 and June 2021. GlobalData identified 23 big data-related sentences in the Taiwan-based company’s filings – 0.4% of all sentences. Tata Steel Ltd mentioned big data the second most – the issue was also referred to in 0.4% of sentences in the company’s filings. Other top employers with high big data mentions included Caterpillar Inc, MMC Norilsk Nickel, and KGHM Polska Miedz SA.

Across all companies in the mining industry the filing published in the second quarter of 2021 which exhibited the greatest focus on big data came from Tata Steel Ltd. Of the document’s 5,755 sentences, 24 (0.4%) referred to big data.

This analysis provides an approximate indication of which companies are focusing on big data and how important the issue is considered within the mining industry, but it also has limitations and should be interpreted carefully. For example, a company mentioning big data more regularly is not necessarily proof that they are utilising new techniques or prioritising the issue, nor does it indicate whether the company’s ventures into big data have been successes or failures.

GlobalData also categorises big data mentions by a series of subthemes. Of these subthemes, the most commonly referred to topic in the second quarter of 2021 was ‘data analytics’, which made up 70% of all big data subtheme mentions by companies in the mining industry.

 

The post Filings buzz in the mining industry: 72% increase in big data mentions in Q2 of 2021 appeared first on Mining Technology | Mining News and Views Updated Daily.

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Author: Andrew Hillman

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Silver Mountain Resources Seeks To Raise $23 Million In TSXV IPO

Mining firm Silver Mountain Resources Inc. is looking to go public on the TSX Venture Exchange. The firm announced today
The post Silver Mountain Resources…

Mining firm Silver Mountain Resources Inc. is looking to go public on the TSX Venture Exchange. The firm announced today that it is seeking to raise a total of $23 million in its initial public offering.

The proposed offering will be conducted through the issuance of 46.0 million company units selling at $0.50 per share. This is an upsize from the original plan of raising $15 million in the IPO. Each company unit will comprise of one common share and one-half purchase warrant, with each whole warrant exercisable to acquire one common share at $0.70 per share within 24 months following the closing.

The offering is being managed by Eight Capital and Sprott Capital Partners leading a syndicate of underwriters, which were given a 30-day overallotment option to purchase additional 6.9 million units at the same IPO price.

The silver miner plans to restart the Reliquias underground mine at the Castrovirreyna project in Huancavelica, Peru.


Information for this briefing was found via Sedar and the companies mentioned. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.

The post Silver Mountain Resources Seeks To Raise $23 Million In TSXV IPO appeared first on the deep dive.


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Author: ER Velasco

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Precious Metals

Mandalay Drills 47.7 g/t Gold Over 11.7m at Bjorkdal Property, Sweden

Mandalay Resources Corp. [MND-TSX; MNDJF-OTCQB; R7X-FSE] provided an update on the eastern extension drilling programs…

Mandalay Resources Corp. [MND-TSX; MNDJF-OTCQB; R7X-FSE] provided an update on the eastern extension drilling programs at its 100%-owned Bjorkdal operation in Sweden.

Central Zone Extension infill highlights include 47.7 g/t gold over 11.7 metres (Estimated True Width “ETW” 5.85 m) in drill hole MU21-052, including 1,056.0 g/t over 0.40 metres. Drill hole MU21-047 returned 47.5 g/t gold over 6.4 metres (ETW 4.11 m), including 716.0 g/t over 0.31 metres and 507.0 g/t gold over 0.45 metres (ETW 0.23 m) in hole MU21-051.

Central Zone Extension testing returned 45.5 g/t gold over 2.3 metres (ETW 1.15 m) in hole MU21-028. Hole MU21-029 returned 83.1 g/t gold over 0.4 metres (ETW 0.39 m). Hole MU21-030 returned 8.4 g/t gold over 5.7 metres (ETW 5.35 m) and hole MU21-031 returned 5.1 g/t gold over 8.0 metres (ETW 6.13 m).

At the Central Zone Lake Zone Link, hole MU21-028 returned 13.2 g/t gold over 1.0 metre (ETW 0.94 m). Hole MU21-029 returned 19.3 g/t gold over 0.4 metres (ETW 0.35 m).

Dominic Duffy, President and CEO, commented: “Following the success of the Main and Lake zone extension programs, Mandalay diverted focus to this high potential area. These recent drilling programs have supported the initial finding with some of the best grades seen at Bjorkdal. Predominantly, the intercepts are interpreted to be direct extensions of the Main and Central zone veining, however, the grades recovered from the Central Extension drilling show a distinct upgrading down plunge.

“The increasing grades within the extensions of the Bjorkdal deposit at depth to the east mark a significant development in the multifaceted efforts to lift ore grades produced from the mine and will be a major focus of our production in the years to come. The Main, Lake and Central zones are all open to the north-east and those drilling results are showing higher grades the deeper and further to the east we drill. This is very exciting, and this drilling will continue to be one the primary exploration focuses over the course of 2022.

“As a result of these excellent results, a mining concession application has already been submitted to the relevant authorities in order to extend the mining license holdings to cover this eastward extension of veining.”

Since the success of the Lake and Main Zone extension projects, Mandalay has drilled a further 17 holes and 7,253 metres into the eastern extension of the Bjorkdal veining in three programs. These are the Central Zone Extension, Central Zone Conversion and Central to Lake Zone Link drilling programs. Currently, these results have been connected to the continuation of 21 existing veins and 16 new veins have been discovered. Significant grade also sits outside of currently modelled veining and it is expected that additional drilling will improve confidence in structural connections leading to further vein definition. So far, and to varying degrees, the veining has been extended up to 350 metres from current workings.

 

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7 Stocks That Could Benefit From a More Hawkish Fed

Jittery sentiment dominates Wall Street these days. So far in the year, broader indices, including the Dow Jones Industrial Average, S&P 500, and the…

Jittery sentiment dominates Wall Street these days. So far in the year, broader indices, including the Dow Jones Industrial Average, S&P 500, and the Nasdaq 100, have lost around 7.3%, 6.6%, and 4.1%, respectively. Meanwhile, many investors are readjusting their portfolios to account for an increasingly hawkish U.S. Federal Reserve (Fed). Even in this environment, there can be some prime stocks to buy.

There are clear signs that the central bank is getting ready to tighten the monetary policy in its fight against inflation. Most analysts expect to see at least three interest rate hikes in 2022.

Against this backdrop, tech and growth stocks may keep tumbling through 2022, as higher borrowing costs are expected to erode their future earnings. On the other hand, the rotation to banks, insurance companies, and real estate investment trusts (REITs) should accelerate, as they typically benefit from higher interest rates.

On a more positive note, a hawkish Fed does not necessarily imply a bear market. Data from Trust Advisory Services reveal that the S&P 500 has risen at an average annualized rate of 9% during the 12 rate-hike cycles since the 1950s. The index has seen positive returns in 11 of those instances.

In other words, some long-term investors could consider buying an exchange-traded fund (ETF) like the SPDR S&P 500 ETF Trust (NYSEARCA:SPY). Others might consider diversifying their portfolios.

With that said, here are seven stocks to buy that are primed to benefit from rising interest rates:

  • Ares Capital (NASDAQ:ARCC)
  • Bank of America (NYSE:BAC)
  • Invesco Preferred ETF (NYSEARCA:PGX)
  • JPMorgan Chase (NYSE:JPM)
  • Medical Properties Trust (NYSE:MPW)
  • SPDR S&P Insurance ETF (NYSEARCA:KIE)
  • VanEck Inflation Allocation ETF (NYSEARCA:RAAX)

 Stocks to Buy: Ares Capital (ARCC)

Source: Pavel Kapysh / Shutterstock.com

  • 52-week range: $17.15 – $22.35
  • Dividend yield: 7.81%

Ares Capital is a business development company (BDC) that essentially operates as a private equity firm. Management looks for targeted opportunities that generate current income and capital appreciation via debt and equity investments.

Ares Capital released third quarter (Q3) 2021 results in late October. Generally accepted accounting principles (GAAP) net income stood at $334 million, or 73 cents per diluted share, down from $441 million in the prior-year quarter. This BDC boasts over $6 billion of available liquidity.

On these metrics, Chief Executive Officer (CEO) Kipp deVeer commented, “During the third quarter, we hit on all cylinders with robust new investing activity, strengthening credit quality and nearly $150 million in net realized gains.”

Ares Capital focuses on rescue financing of mid-sized companies. The company particularly benefits from its “unitranche” structured investments, where it becomes the only lender. A rising interest-rate environment implies that Ares can command higher returns for the loans it offers to its customers.

At the current stock price, ARCC stock offers an almost 8% dividend yield. The stock price hovers around $20, up 22% over the past year. Shares are trading at 11.5 times forward earnings and 4.9 times trailing sales. The 12-month median price forecast for Ares Capital stock is $22.50. Interested investors could regard $20 as a good entry point.

Bank of America (BAC)

A photo of the Bank of America (BAC) logo in neon red and blue on a tan wall.Source: Tero Vesalainen / Shutterstock.com

  • 52-week range: $29.57 – $50.08
  • Dividend yield: 1.87%

With more than $2.5 trillion in assets, Bank of America is the second-largest bank by assets stateside. Management announced Q4 and full-year 2021 metrics on Dec. 19. Revenue rose 10% year-over-year (YOY) to $22.1 billion.

Net income went up to $7 billion, or 82 cents per diluted share, up from $5.5 billion, or 59 cents per diluted share, a year ago.

Following the results, CEO Brian Moynihan remarked, “Our fourth-quarter results were driven by strong organic growth, record levels of digital engagement, and an improving economy. We grew loans by $51 billion and added $100 billion of deposits during the quarter, further strengthening our position as the leader in retail deposits.”

The bank has a very asset-sensitive business. After its earnings report, the bank revealed that a 1% increase in short- and long-term interest rates could lead to $7.2 billion of extra net interest income over the next year. Loan growth is expected to continue in 2022.

BAC stock currently hovers around $43, up 35% over the past 12 months. From a valuation standpoint, it is a relatively low-risk stock with 14 times forward earnings and 1.46 times book value. The 12-month median price forecast for BAC stock stands at $52.25.

Stocks to Buy: Invesco Preferred ETF (PGX)

two businesspeople sit at a table stacking up coins in the shape of an ascending bar chartSource: Shutterstock

  • 52 Week Range: $14.46 – $15.37
  • Dividend Yield: 4.87%
  • Expense Ratio: 0.52%

My next choice is an exchange traded fund (ETF), namely the Invesco Preferred ETF. It invests in preferred securities issued in the U.S. Preferred shares embody characteristics of bonds, which pay a fixed income, as well as stocks, which represent ownership in a company.

Holders are entitled to dividend payments on a set schedule, similar to bond interest payments. A company’s earnings do not have much impact on the price. Yet, interest rates and credit ratings play key roles.

The fund was first listed in 2008. PGX, which has 283 holdings, follows the returns of the ICE BofAML Core Plus Fixed Rate Preferred Securities Index.

The fund is heavily weighted toward financial companies (67.43%), followed by utilities (10.02%), real estate (8.51%), and communication services (6.82%). Preferred shares in the fund include those from Citigroup (NYSE:C), JP Morgan Chase, Wells Fargo (NYSE:WFC), AT&T (NYSE:T), and Bank of America.

Over the past 12 months, PGX is down about 2%, hovering around $14.50. Investors who would like to park their cash during these volatile times might want to research the fund further.

JPMorgan Chase (JPM)

Source: Shutterstock

  • 52 week range: $127.35 – $172.96
  • Dividend yield: 2.76%

My next choice is another leading financial institution, JPMorgan Chase. Management put out Q4 and full-year 2021 financials on Jan. 14. Revenue came in at $30.3 billion, up 1% YOY. But net income declined to $10.4 billion, or $3.33 per diluted share, down from $11.6 billion, or $3.74 per diluted share in the prior-year quarter.

After the announcement, CEO Jamie Dimon cited, “In 2021, we extended credit and raised over $3 trillion in capital for our consumer and institutional clients around the world.”

Thanks to the anticipated increase in interest rates, management is forecasting a recovery in interest income. However, headwinds include a potential drop in fixed income related net interest income, lower investment banking activity, and higher capital requirements. Meanwhile, the bank is investing heavily in the digital future to take on the disruption brought on by fintech, especially blockchain technologies.

JPM currently hovers slightly around $140, up 8% over the past 12 months. Shares are trading at 1.68 times book value and 13 times forward earnings. The 12-month median price forecast for JPMorgan stock is $176.

Stocks to Buy: Medical Properties Trust (MPW)

hand of person in a suit dangling keys with a house symbol on the ring. Windows overlooking city skyline in background.Source: ImageFlow/shutterstock.com

  • 52-week range: $19.39 – $24.13
  • Dividend yield: 4.89%

Birmingham, Alabama-based Medical Properties Trust is a healthcare facility REIT. It specializes in hospitals, rehabilitation centers, and behavioral facilities. The REIT is one of the leading non-government owner of hospitals stateside.

MPW released Q3 2021 numbers in late October. Net income came in at $171 million, or 29 cents per diluted share, up from $131 million, or 25 cents per diluted share in the prior-year quarter. Cash and equivalents ended the period at $350 million.

The group has a stable business that generates high margins and collects predictable recurring revenue. It has been growing primarily through acquisitions, recently announcing a $760 million sale-and-leaseback transaction that added 18 facilities to its portfolio.

MPW stock trades at slightly around $22.50, up 6.6% over the last 12 months. At the current price, the REIT supports a generous 4.89% dividend yield. Shares trade at 8.6 times trailing sales. The 12-month median price forecast for Medical Properties Trust stock is $25.

SPDR S&P Insurance ETF (KIE)

  • 52-week range: $32 – $41.80
  • Dividend yield: 1.84%
  • Expense ratio: 0.35% per year

My next choice is another fund: the SPDR S&P Insurance ETF, which invests in insurance shares. These financial names typically reinvest customer premiums in interest-bearing accounts. So, higher interest rates translate into improving profitability.

KIE started trading in November 2005. It has 56 holdings and follows the equal-weighted KBW Insurance Index.

The fund’s leading 10 stocks account for 22% of net assets. Such a diversified approach and the relatively low-risk nature of insurance stocks could make this ETF appealing for defensive investors.

Among the leading names on the roster are Globe Life (NYSE:GL), Progressive Corporation (NYSE:PGR), Unum Group (NYSE:UNM), Allstate Corporation (NYSE:ALL), and Assured Guaranty (NYSE:AGO).

As sub-segments, we see Property & Casualty Insurance (45.50%), Life & Health Insurance (25.68%), Insurance Brokers (12.61%), Reinsurance (9.68%), and Multi-Line Insurance (6.53%).

The fund is up about 15% over the past year and hit an all-time high on Jan. 13. As it seems it is doing so well, this company has won its spot for my top stocks to buy.

Stocks to Buy: VanEck Inflation Allocation ETF (RAAX)

close-up of the phrase "exchange traded fund" on three colorful papers pinned to a wall by colorful pushpinsSource: shutterstock.com/bangoland

  • 52-week Range: $22.46 – $28.02
  • Dividend Yield: 5.41%
  • Expense Ratio: 0.78% per year

My final choice is the VanEck Inflation Allocation ETF. It consists of other funds that offer exposure to inflation-fighting real assets, such as commodities, REITs, natural resources shares, infrastructure stocks, and master limited partnerships (MLPs). The ETF started trading in April 2018.

This fund currently has 24 holdings. The top ten ETFs in RAAX account for almost 80% of net assets of $34.3 million.

Among the leading funds on the roster are Invesco Optimum Yield Diversified Commodity Strategy ETF (NASDAQ:PDBC), VanEck Merk Gold Shares (NYSEARCA:OUNZ), Vanguard Real Estate ETF (NYSEARCA:VNQ), VanEck Energy Income ETF (NYSEARCA:EINC), and Global X US Infrastructure Development ETF (BATS:PAVE).

The ETF gained 3.72% over the past 12 months and now generates a 5.41% dividend yield. It also hit an all-time high in mid-November, but has declined around 10% since then. Interested investors may use the recent dip as an opportunity to invest in RAAX.

On the date of publication, Tezcan Gecgil 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.

Tezcan Gecgil has worked in investment management for over two decades in the U.S. and U.K. In addition to formal higher education in the field, she has also completed all 3 levels of the Chartered Market Technician (CMT) examination. Her passion is for options trading based on technical analysis of fundamentally strong companies. She especially enjoys setting up weekly covered calls for income generation.

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Author: Tezcan Gecgil

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