Windstream, Randgold Resources Rise; SPY, EWU on Downward Trend

(Continued from Prior Part)

The iShares MSCI United Kingdom ETF (EWU) fell 1.45% as of August 20. Randgold Resources (GOLD) was the top-performing stock of the day. It recorded a return of 5.79% with a return of 5.48% for the trailing five days.

The above graph shows Randgold prices for the past month. Randgold’s rating has been upgraded to “hold” by Canaccord Genuity analysts. The company noted the following positives for the upgrade:

• Randgold holds 45% interest in the Kibali gold mine in Africa. The gold mine is forecast to be one of the largest gold mines in Africa when operating in full production.
• In its quarterly update, Randgold stated that the Kibali mine is well aligned to its production target of 600 koz for 2015 and the mine demonstrated continued stable performance.
• There’s a drop in the total cash cost of 9% for the quarter, from $611 per ounce in 1Q15 to $553 per ounce. This could be achieved due to an increase in production and overall improved cost control.
• Profit from mining for the quarter increased 10% to $108.0 million.
• Capital expenditure for the quarter remains in line with guidance for the year.

The surge in stock price is due to Randgold’s Kibali mining operations.

Randgold is followed by Fresnillo (FNLPF), which yielded 5.63%, and Anglo American (AAUKY) with a yield of 4.38% on August 20. All the top three stocks are mining stocks. The Anglo American stock is attractive because of the above-average dividends the company offers to its investors. Fresnillo’s ratings have been upgraded to “buy” by analysts at Numis Securities.

Royal Dutch Shell (RDS.A) from the oil and gas sector returned 0.75%. Barclays (BCS ) from the banking sector and Vodafone (VOD) from the telecommunications sector yielded -1.03% and -1.09%, respectively, on August 20.

Next, we’ll look at the stocks that came in at the bottom.

Continue to Next Part

Browse this series on Market Realist:

• Part 1 - Windstream Rises 6.36%, SPY Falls 2.09% on August 20
• Part 2 - SPY’s Struggle with Wall Street Continues
• Part 4 - Financial Services Take EWU Down