| 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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Royal Gold Inc.
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PRODUCER |
CODE : RGLD |
ISIN : US7802871084 |
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ProfileMarket IndicatorsVALUE : Projects & res.Press releasesAnnual reportRISK : Asset profileContact Cpy |
Royal Gold is based in United states of america. Royal Gold produces gold, copper, lead, silver and zinc in Argentina, in Bolivia, in Burkina Faso, in Canada, in Chile, in Guinea, in Mexico, in Nicaragua and in USA, develops copper, gold, lead, silver and zinc in Australia, in Burkina Faso, in Canada and in Chile, and holds various exploration projects in Argentina, in Bulgaria, in Canada and in Finland. Its main assets in production are BALD MOUNTAIN in USA, LIMON, LEEVILLE MINING COMPLEX and GOLDSTRIKE OPEN PIT in Nicaragua, DON MARIO (CERRO PELADO), ROBINSON (NEVADA), WHARF and MARIGOLD in Bolivia, PEÑASQUITO, EL CHANATE, DOLORES MINE, MULATOS MINE -ESTRELLA and TWIN CREEKS in Mexico, SIGUIRI in Guinea, TAPARKO in Burkina Faso, MARTHA MINE, TROY and PIPELINE MINING COMPLEX in Argentina, ANDACOLLO HYPOGENE, TOQUI and ANDACOLLO in Chile and WILLIAMS and GOLDSTRIKE UNDERGROUND in Canada, its main assets in development are GOLD HILL and PASCUA LAMA in Chile, HOLT MINE & MILL and PINE COVE (MINGS BIGHT) in Canada, BALCOOMA in Australia and BOUROUM in Burkina Faso and its main exploration properties are CANADIAN MALARTIC (QUEBEC), MANHATTAN (WHITE CAPS), GOLDSTRIPE WILLA and CAMP BIRD MINE in Canada. Royal Gold is listed in Canada, in Germany and in United States of America. Its market capitalisation is US$ 8.2 billions as of today (€ 7.6 billions). Its stock quote reached its lowest recent point on February 28, 1992 at US$ 0.03, and its highest recent level on April 26, 2024 at US$ 124.58. Royal Gold has 65 455 293 shares outstanding. |