| Comparing the Performance of Pure Gold Versus Diversified Miners | |
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How the 2015 Fall in Metals Has Impacted Miners Differently (Continued from Prior Part) Pure versus diversified
2015 has taken its toll on the mining sector due to the extreme drought in the metals industries. The ETFs in the metals industry like the SPDR S&P Metals and Mining ETF (XME) and Sprott Gold Miners ETF (SGDM) have plunged 50.6% and 23%, respectively, on a year-to-date basis. The prices of gold and silver have declined 9.5% and 12%, respectively. Copper, zinc, and lead have retreated 18.3%, 22.5%, and 10%, respectively.
In this part, we’ll compare the performance of the pure precious gold miners like IamGold (IAG) and AngloGold Ashanti (AU) with that of mixed miners like Royal Gold (RGLD) and Agnico-Eagle Miners (AEM).
Best performer
Among the four mining stocks mentioned above, Agnico-Eagle (AEM) has been the best performer, as it has gained about 12% on a year-to-date basis, whereas the others have lost. The trading price of AEM is also above its 100-day moving average price. The rest of the stocks are trading significantly lower than their moving average prices.
RGLD, AU, and IAG are trading at a 17.8%, 3.7%, and 11% discount from their 100-day moving averages. Also, the best target price for all four stocks is significantly above their current prices.
AngloGold and IamGold have a strong correlation with gold of 0.92 and 0.9, respectively. On the other hand, mixed metals miners like Agnico-Eagle and Royal Gold are loosely tied to gold with correlation coefficients of 0.75 and 0.77, respectively.
These four companies together determine 14.8% of the price changes in the Market Vectors Gold Miners ETF. ETFs XME and SGDM have RSIs (relative strength index) of 38.5 and 52.3, respectively. RSI levels around 30 indicate possible undervaluation.
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PRODUCER |
CODE : AU |
ISIN : US0351282068 |
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ProfileMarket IndicatorsVALUE : Projects & res.Press releasesAnnual reportRISK : Asset profileContact Cpy |
AngloGold is a gold producing company based in . AngloGold produces gold, copper, silver and zinc in Argentina, in Australia, in Brazil, in Canada, in Ghana, in Guinea, in Mali, in Namibia, in South Africa and in Tanzania, develops gold and iron in Australia, in Brazil, in Colombia, in Congo Dem. Rep. of and in South Africa, and holds various exploration projects in Philippines. Its main assets in production are CRIXÁS, MINERAÇÃO, SAO BENTO, ANGLOGOLD ASHANTI MINERAÇAO and CRIXAS MINE in Brazil, SUNRISE DAM GOLD MINE in Australia, NAVACHAB MINE and NAVACHAB in Namibia, YATELA, MORILA and SADIOLA in Mali, CERRO VANGUARDIA in Argentina, MPONENG (WESTERN DEEP NO. 1 SHAFT), TAUTONA (WESTERN DEEP NO.3 SHAFT), BAMBANANI, TAU LEKOA, MPONENG, SAVUKA, TAU TONA, GREAT NOLIGWA, KOPANANG and CRIPPLE CREEK & VICTOR (CRESSON MINE) in South Africa, SIGUIRI in Guinea, TEBEREBIE, IDUAPRIEM, OBUASI and KUBI in Ghana, GEITA in Tanzania and TROUT LAKE MINE and CALLINAN MINE in Canada, its main assets in development are MOAB KHOTSONG in South Africa, MINAS-RIO in Brazil, LA COLOSA and GRAMALOTE in Colombia, KIBALI (KILO-MOTO) in Congo Dem. Rep. of and TROPICANA in Australia and its main exploration properties are HUALATAN and ER in Peru, MKURUMU in Tanzania, 777 PROJECT and RIVARD in Canada, LOUBOUGOULA, GOODPASTER and ALAMOUTALA (SADIOLA II) in Mali, BAMBADJI in Senegal, MORRO VELHO in Brazil and SIANA in Philippines. AngloGold is listed in Australia, in Germany and in United States of America. Its market capitalisation is US$ 9.1 billions as of today (€ 8.5 billions). Its stock quote reached its lowest recent point on November 23, 2018 at US$ 10.00, and its highest recent level on April 23, 2024 at US$ 22.20. AngloGold has 409 109 984 shares outstanding. |