Canadian mining stocks have put together a solid performance in 2021. The commodity boom has given base metals a big boost, while precious metals have continued to lag. Today, I want to look at three mining stocks that are on a roll in the year-to-date period. Are these stocks worth snatching up after earnings? Let’s jump in.
The lithium mining space has regained momentum in the early 2020s
The lithium space suffered from oversaturation in late 2010, as investors rushed to take advantage of the electric vehicle (EV) boom. Lithium mining stocks have regained momentum in the early part of this decade. Lithium Americas (TSX: LAC)(NYSE: LAC) is a Vancouver-based miner that is engaged in lithium development projects. Shares of this mining stock have shot up 168% in 2021 as of early afternoon trading on November 25.
Back in August, I’d discussed why the stock had delivered big gains in the year-to-date period. In Q3 2021, the company stated that it targeted first production at its Cauchari-Olaroz site by the middle of 2022. Meanwhile, it is still conducting feasibility studies at its promising Thacker Pass site.
This mining stock has big growth potential over the course of this decade. It is pricey but a worthy gamble considering the future for lithium production.
Here’s a silver mining stock to snatch up after earnings
MAG Silver (TSX: MAG)(NYSE:MAG) is another Vancouver-based company engaged in the exploration and development of silver mining properties. Silver prices benefited from a COVID-19 pandemic bump, but that growth has mostly stalled over the past year. Shares of this mining stock have plunged 22% in 2021. The stock has dropped 10% month over month.
The company released its third-quarter 2021 earnings on November 15. Net income before tax was reported at $9.69 million in Q3 2021 — up from $8.08 million in the previous year. Meanwhile, gross profit from mineralized development material climbed to $11.2 million compared to $7.99 million in the third quarter of 2020.
Silver mining stocks are still a promising target, as the precious metals space has historically performed well during inflationary periods. High inflation is projected to press forward in North America going into 2022. MAG Silver boasts an immaculate balance sheet and exciting growth potential.
Target this base-metals stock as commodities surge
Earlier this week, I’d discussed the price surge for a small-cap Canadian nickel mining stock. Base metals like nickel and copper have soared during the 2021 commodities bull market. Ivanhoe Mines (TSX: IVN) is a Toronto-based company engaged in the exploration, development, and recovery of minerals and precious metals in Africa. Shares of this mining stock have climbed 36% in the year-to-date period.
In Q3 2021, Ivanhoe Mines delivered record profits of $85.4 million. Meanwhile, it delivered copper production of 77,500 tonnes so far this year. It bolstered its guidance for the full year.
This mining stock is trading in favourable value territory in comparison to its industry peers. Ivanhoe is worth snatching up, as base metals have gained huge momentum in 2021.
