Recent Metals and Mining Stocks News

The Motley Fool
Metals and Mining Stocks

1 Simple Reason Why Silver Has 161% Upside

Higher silver prices bode well for metal companies like Silver Wheaton Corp. (TSX:SLW)(NYSE:SLW), First Majestic Silver Corp. (TSX:FR)(NYSE:AG), and Pan…

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The Motley Fool
Metals and Mining Stocks

Barrick Gold Corporation vs. Goldcorp Inc.: Which Should You Buy?

Barrick Gold Corporation (TSX:ABX)(NYSE:ABX) may be on the road to recovery, but Goldcorp Inc. (TSX:G)(NYSE:GG) is still best of breed.

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The Motley Fool
Metals and Mining Stocks

Could Silver Wheaton Corp. Hit $40?

Here's why the short-term pain might actually mean huge long-term gains for Silver Wheaton Corp. (TSX:SLW)(NYSE:SLW) investors.

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The Motley Fool
Metals and Mining Stocks

Buy Silver Wheaton Now to Cash In on the Silver Rally or Regret It Later

Bet like the pros on the impending rally in silver with Silver Wheaton Corp. (TSX:SLW)(NYSE:SLW).

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The Motley Fool
Metals and Mining Stocks

2 Reasons to Avoid Barrick Gold Corp., and 1 Stock to Buy Instead

Barrick Gold Corp. (TSX:ABX)(NYSE:ABX) has made a lot of progress on the cost-cutting front. But this is still a stock…

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The Motley Fool
Metals and Mining Stocks

What Is the Best Way for Investors to Cash In on the Impending Gold Rally?

Bet big on gold with Yamana Gold Inc. (TSX:YRI)(NYSE:AUY), Agnico Eagle Mines Ltd. (TSX:AEM)(NYSE:AEM), Goldcorp Inc. (TSX:G)(NYSE:GG), and Franco-Nevada Corp.…

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The Motley Fool
Metals and Mining Stocks

One Long-Term Gold Stock to Buy: Eldorado Gold Corp.

Despite weak gold prices and a modest dividend yield rate, here’s why Eldorado Gold Corp. (TSX:ELD)(NYSE:EGO) is a good long-term…

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The Motley Fool
Metals and Mining Stocks

Two Under-$5 Gold Stocks to Launch a Portfolio: IAMGOLD Corp. and Kinross Gold Corporation

IAMGOLD Corp. (TSX:IMG) (NYSE:IAG) and Kinross Gold Corporation (TSX:K) (NYSE:KGC) have an attractive entry price for investors looking to start…

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Frequently Asked Questions

Mining and mineral stocks do pose some risks investors should be aware of. 

First off, the industry is highly cyclical, meaning it rises and falls with the overall economy. When the economy is doing fairly well, the market demands more minerals: buildings are going up, consumers are buying more gold, construction is consistent. When the economy falls, however, demand for minerals tends to fall with it. The cyclical nature of energy stocks makes them more volatile than, say, utilities and consumer staples. 

Another risk investors should take note of is expansion. Building mines is very expensive, much more expensive than building a new corporate headquarters. In the past, mines have expanded their enterprises during strong periods of economic growth, only to launch when the economy begins to sink. 

For both these reasons, it’s vital to analyze a mining company’s finances. If the company is saddled with debt, that could be an indicator it’s overextending itself, despite supposed growth. 

Mining stocks can be a great investment, however, there are some things to keep in mind before investing.

Mining stocks can be very volatile depending on economic conditions. That being said, the best Canadian mining companies have been able to generate good profit regardless of economic conditions.