What Could Drive IAMGOLD Corp.’s Valuation Going Forward?
IAG stock could continue to gain traction due to its high operational leverage, at least as long as the upward trend in gold prices continues.
Which Gold Miners Popped and Dropped in 2017?
The North American gold miners’ results season is slated to begin on October 25. In this series, we’ll see how analysts view their revenues, earnings, and free cash flows.
Understanding IAMGOLD’s 2Q17 Earnings Highlights
IAMGOLD’s (IAG) 2Q17 production was 223,000 ounces of gold—growth of 26,000 ounces or 13% year-over-year (or YoY).
Financial Leverage Is Less of a Concern for Coeur Mining’s Investors
Coeur Mining (CDE) repaid $109.3 million of its debt in 3Q16. After this, the company’s interest expenses fell 26% quarter-over-quarter and 35% year-over-year.
Key Highlights of Iamgold’s Q2 2018 Earnings
Iamgold (IAG) generated revenues of $277.4 million in Q2 2018, which represents a YoY (year-over-year) growth of 1.1%.
Why Miners Have Outshined Precious Metals
Mining stocks are often known to amplify the returns in precious metals. Small losses for metals can bring exponential losses to metal miners, and vice versa.
How Rebounding Equities Are Affecting Precious Metals
Compared to the substantial gains in precious metals on Tuesday, the gains yesterday were muted. How come?
Reading the Technicals of Mining Shares
After the revival on Friday, June 29, Monday was another choppy day. Let’s look at the technicals for four miners.
New Gold Bulls: Where Are They Now?
New Gold (NGD) stock has had one of the poorest showings YTD (year-to-date).
Key Highlights from IAMGOLD’s Q3 2018 Earnings
IAMGOLD (IAG) generated revenue of $244.8 million in the third quarter, a YoY (year-over-year) fall of 9%.
How Indian Demand Could Influence Gold Prices
India and China remain the top two consumers of gold (IAU) and silver (SLV).
How Miners Performed in 2017
Wheaton is above its 100-day moving average, while Coeur Mining and Eldorado are below their longer-term 100-day moving averages.
Gold Performance Versus Other Investments in 1H17
Factors impacting gold in 1H17 are a weaker US dollar, geopolitical uncertainties, higher interest rates, and expectations for Trump’s agenda.
Are Gold and Volatility Moving Together?
The rise in precious metals over the last few months has been due to insecurity among investors, given the political climate.
Gold Prices at a 4-Month Low—Is More Downside Ahead?
Gold prices touched an almost four-month low in early December. After breaching $1,300 per ounce in September due to geopolitical tensions, gold prices have mostly been on a downtrend.
Is Gold Still Dependent on the Inflation Numbers?
Janet Yellen, chair of the Federal Reserve, noted that the Fed is planning to change the annual stress tests it gives to US banks. The test results would reveal whether the banks can withstand a massive financial crisis.
What Factors Could Be Playing Precious Metals?
Gold was trading moderately high on Wednesday, October 25, 2017. It rose a marginal 0.04% and closed at $1,276.30 per ounce. Silver and palladium, however, had a down day.
Why Is IAMGOLD’s Valuation Discount Slipping?
Lower historical multiple Historically, IAMGOLD (IAG) has traded at a lower valuation as than its peers. But after the transformation it has shown so far in 2017, its discount has fallen. While the average five-year discount to its intermediate peers (GDXJ) is about 35%, its current discount is 20%. Reasons for contraction of discount IAG stock is now trading […]
The Brightest Day for Mining This Week—So Far
Randgold Resources, AngloGold Ashanti, Hecla Mining, and IAMGOLD have risen 30.7%, 17.9%, 13%, and 31.4% YTD, respectively.
US Inflation Softens, Gold Still Has Drivers to the Upside
As per the U.S. Bureau of Labor Statistics, the US Consumer Price Index (or CPI) rose 0.2% in February, compared to a 0.5% rise in January 2018.
These Global Indicators Are Affecting Gold in 2017
The strong economic numbers from the US during 1Q17 have been casting a shadow over precious metals.
How US Employment Numbers Played Precious Metals This Week
Gold prices dropped from its seven-week high level of $1,276.10 per ounce on August 1. Gold futures for September expiration fell 0.08% on August 2 and ended at $1,274.20 per ounce.
How Is the Gold-Silver Ratio Moving in April 2017?
As of April 18, 2017, gold and silver have risen 12% and 14.8%, respectively, year-to-date.
Behind IAMGOLD’s 1Q17 Results
IAG’s 1Q17 adjusted EPS (earnings per share) of $0.01 beat the market’s expectation of -$0.01.
IAMGOLD Beat 3Q17 Estimates—But Can the Stock Momentum Continue?
IAG reported EPS (earnings per share) of $0.07 for 3Q17, beating the consensus estimate by $0.06. Its revenues missed the estimate by $4.1 million.
Increased Volatility and Gold Investors
While gold miners have been out of favor for a long time, that might be about to change. Since the uncertainty in the market is increasing, gold prices are poised to rise.
Can AngloGold’s Project Pipeline Provide an Upside to Its Production?
AngloGold Ashanti’s 1Q16 production fell by 7.2% YoY to 861,000 ounces, mainly due to planned reductions at its Obuasi, Tropicana, and Morila mines.
Which Intermediate Gold Miners Can See Upside in 2017 and Beyond?
Among the intermediate gold miners, Agnico Eagle Mines (AEM) has the highest EV-to-forward-EBITDA multiple of 12.9x.
How Analysts See Iamgold’s Top Performance among Gold Mining Stocks
Of the 13 analysts covering IAG stock, 54% recommend a “buy,” while 46% recommend a “hold.” IAG doesn’t have any “sell” ratings.
Which Intermediate Gold Stock Do Analysts Favor Now?
Intermediate gold miners’ (RING) (GDXJ) stock performances were better than those of senior gold miners in 1H17.
Which Gold Stocks Do Analysts Love and Hate?
Gold price’s reversal this year has created opportunities in gold stocks. The SPDR Gold Shares ETF (GLD) had gained 11% year-to-date as of Friday.
Why Did Gold Prices and Gold Mining Stock Performances Diverge in 1H17?
Gold miners in 2017 seem to be driven more by company-specific factors than by the direction of gold prices.
The Most Crowded Trades Today: Assessing Gold’s Benefit
The average cash balance is now 4.8%, which is higher than the ten-year average cash level of 4.5%.
Will Yamana’s Chapada Mine Sale Improve Its Shareholder Returns?
Yamana Gold (AUY) announced today that it has agreed to sell its Chapada mine to Lundin Gold (LUNMF) for $1 billion.
How Are Analysts Rating Yamana after Its 3Q16 Results?
About 45% of analysts covering AUY have given it a “buy” recommendation. About 45% of analysts have issued a “hold.” Only 9% have issued a “sell.”
Which Intermediate Gold Miners Look Undervalued at Current Levels?
Intermediate gold miners are smaller than senior gold miners in terms of production and market capitalization, but they’re still generally liquid, unlike their junior counterparts (GDXJ).
Will These Intermediate Gold Equities See a Valuation Upside?
Among intermediate gold miners, Agnico Eagle Mines has the highest forward EV-to-EBITDA (enterprise value-to-EBITDA) multiple of 12.0x.
How Yamana Gold Can Narrow the Valuation Gap with Peers
Yamana Gold’s (AUY) valuation multiple has varied widely between 5.1x and 15.1x. Yamana Gold is now trading at a forward EV-to-EBITDA multiple of 5.1x.
Where Are Gold Prices Headed Next?
There are many factors that support higher gold prices in the medium- to long-term.
Which Gold Stocks Do Analysts Favor ahead of Q3 2018 Earnings?
In the senior and intermediate gold miner space (GDX)(GDXJ), analysts are the most bullish on IAMGOLD (IAG), with 75.0% of analysts assigning it a “buy.”
These Factors Could Propel Gold to the $1,400 Mark
In the absence of earnings growth to justify the current valuations of US equities, many investors may begin looking for trade that is less crowded.
Why Gold Miners Have Not Magnified Gold’s Gains in 2017
Due to leverage, the performance of gold miners usually magnifies the direction of the gold prices, but the scenario in 2017 has been slightly different.
These 10 Gold Stocks Matter Now to the Analysts Still Betting on Gold
Gold prices remain under pressure as the demand for alternative investments, including equity stocks and bitcoin, remain strong in the risk-on environment.
Would You Buy a Silver or Gold Nest?
Often, haven bids for gold outnumber bids for silver. But the recent surge of silver has proved differently.
Analysts on Gold: What’s in Store for the Rest of 2017
It’s always important to watch what analysts are forecasting for gold prices for in short and long terms. This helps investors understand gold’s price outlook.
Why Iamgold’s Saramacca Exploration Results Surpassed Expectations
On September 5, 2017, Iamgold (IAG) announced a significant gold discovery at its Saramacca site in Suriname.
What Led to the Recent Divergence of Gold and Gold Mining Stocks?
The year-to-date stock performances of precious metal miners have been driven more by company-specific factors than by the direction of gold prices.
What Gold Miners’ Technical Indicators Are Telling Us
While the current rise in precious metal prices has provided a tailwind for miners, for some of them, the gains might be more self-sustained.
Should You Avoid Intermediate Gold Miners with High Leverage?
Intermediate gold miners aren’t far behind senior gold miners in terms of mimicking gold price trends.
Why IAMGOLD Has Climbed the Ranks among Analysts
Currently, IAMGOLD (IAG) has the third-highest number of “buy” recommendations among analysts at 75%.
Gold Miners’ Key Valuation Catalysts as 4Q16 Results Draw Near
Valuation for capital-intensive industries The EV-to-EBITDA (enterprise value to earnings before interest, tax, depreciation, and amortization) multiple is a good valuation measure for capital-intensive industries. It helps investors compare companies with varying capital structures. Higher multiples The chart above compares gold miners’ EV-to-forward EBITDA multiples and EBITDA margins for 2017. Among North American intermediate gold […]
Why Haven’t Miners Kept Up as Gold Remains Buoyant?
Gold prices rose ~3% year-to-date (or YTD) after rising ~13% in 2017. But what about the miners?
Watch for These Catalysts in Intermediate Gold Miners’ Q4 Results
Intermediate gold miners are smaller than senior gold miners in terms of production and market capitalization, but they’re still generally liquid, unlike their junior counterparts.
How IAG’s Westwood Mine Development Is Coming Along
IAMGOLD’s (IAG) Westwood reported 106% higher production in 3Q17 on a YoY (year-over-year) basis, coming in at 33,000 ounces.
Barrick Gold on the Street: How Analysts Are Reacting to the Quarterly Miss
Barrick Gold has 46.0% “buy” ratings, 46.0% “hold” ratings, and 8.0% “sell” ratings. Its target price implies an upside of 29.0% based on its current price of $16.90.
Can the Divergence Between Gold Prices and Gold Miners Continue in 2018?
Gold prices (GLD) rose ~13% in 2017. On top of that, January 2018 saw a ~3% rise in prices.
Gold Miner Stocks: What’s Driving Long-Term Production Growth?
After years of cutting back on sustained capital expenditures, gold miners have started to refocus on production growth as gold prices (GLD) remain buoyant in 2016.
Which Gold Miners Benefitted Most from the 1H16 Gold Rush?
Gold prices rose 23% in the first half of 2016, making gold one of the best-performing investments so far this year.
Analysts Have a Mixed View of Gold Miners ahead of Q2 Earnings
Among the senior and intermediate miners, Eldorado Gold (EGO) and New Gold (NGD) have the fewest “buy” ratings at 15% each.
Metal and Mining Sector Companies Fell on November 2
On November 2, the stocks related to base metals and precious metal miners moved lower. DBB and XME fell 1.3% and 2%, while GLD rose 0.73%.
Eldorado Gold Stock Skyrocketed on May 22
On May 22, there was a sense of relief for Eldorado Gold stock. Eldorado Gold stock skyrocketed and closed 16.8% higher yesterday.
How Strict Is the Gold-Regulated Market?
Bitcoin (ARKW) has seen its price plunge since the start of 2018 due to news that world leaders are planning to implement regulations on digital currencies.
Outlook: IAMGOLD’s Stock Momentum after Its Q3 2018 Results
IAMGOLD (IAG) was the best-performing gold stock of 2017, returning 51.4% for the year.
Outlook: IAMGOLD’s Stock Momentum after Q2 2018 Results
IAG is guiding for gold production of 850,000–900,000 ounces for 2018.
Iamgold’s Westwood Mine: On Track for Full Ramp-Up by 2020
Westwood’s all-in sustaining costs for the second quarter were $1,129 per ounce, which was 13% higher YoY.
Could Gold be Set for a Big Move in 2018?
Gold started 2018 on a strong note, in line with the new-year price rallies it has seen over the last few years.
Precious Metal Miners Worth Considering Based on Valuations
Gold prices have been on a roller coaster ride, given the on and off situation with North Korea. A missile test and gold’s safe-haven appeal have propelled prices higher, and then they’ve fallen back again.
Inside IAMGOLD’s Essakane Mine: What Caused Improved Costs in 1Q17
Essakane produced 93,000 ounces of gold in 1Q17, which represents a YoY rise of 6%, mainly due to a 27% increase in throughput.
What to Buy and What to Avoid in Today’s Gold Environment
The best bet is to go for gold miners with healthy balance sheets, increasing production profiles, low costs, and good cash flows.
Do the Decreasing Bullion Prices Have an Increasing Spread?
With a positive outlook for the US economy, there is little hope that precious metals will see a remarkable upward move. The strengthening US dollar is making gold investors jittery.
Why Is AngloGold so Confident in 2H16 after Its Slow Run Rate in 1H16?
AngloGold’s 2Q16 production was 3% higher QoQ at 884,000 ounces. Its 1H16 production was 47% of the midpoint of its annual production guidance.
Gold Settles Lower: Are Investors Losing Hope for a Rebound?
Gold prices (GC) for COMEX futures August delivery were down by 0.38% after a period that was characterized by rising negative trading sessions.
Why Are Intermediate Gold Miners so Exuberant?
Intermediate gold miners are smaller than senior gold miners in terms of production and market capitalization, but they are still generally liquid.
Gold Surges on Non-Farm Employment Data: Will Gains Be Sustainable?
In the wake of the stabilizing economy, we have seen a downfall in precious metals that has been especially painful for gold investors.
Analyzing the Upward-Moving Miners in August 2017
Precious metals and most mining stocks have risen over the past one-month period, thanks to recent geopolitical tensions and the risk element in the market. September 1 was an up day for gold, silver, platinum, and palladium.
Gold’s Outlook: How Likely Is a Surprise Rate Hike by the Fed?
While the Federal Reserve kept interest rates unchanged in its policy meeting in January 2018, it raised its outlook for inflation and flagged “further gradual” rate increases.
Horseman Capital reduces its position in Newmont Mining
Newmont Mining is one of the world’s largest gold producers and is the only gold company included in the S&P 500 Index and Fortune 500.
Precious Metals Slow Down: What Technicals Are Pointing To
Palladium has a greater industrial use, so it may closely associate with industrial sentiment rather than the sentiment for precious metals.
US Dollar Gains as Uncertainty Persists
Flight-to-quality amid Greek debt renegotiations and the Chinese equity market slump has led investors to safe-haven assets, including the US dollar (UUP) and the Japanese yen.
What Iamgold’s Outperformance Could Mean for the Future
Iamgold’s (IAG) stock price has had a very strong performance in 2017 YTD, significantly outperforming peers and gaining 83% as of September 8, 2017.
Gold Lost Its Sheen as FBI Cleared Clinton in Email Probe
On November 6, 2016, the FBI cleared Hillary Clinton of criminal charges related to the handling of classified information on her private server.
Why Did Miners Rise Despite Loss in Gold?
Although gold fell on Friday, most gold miners saw an up day, following the other precious metals.
Gold Falls to $1,062, Even amid Instability after Paris Attacks
On Wednesday, November 18, 2015, gold fell to $1,062 per ounce, the lowest level in almost six years. Silver, platinum, and palladium fell 0.61%, 0.82%, and 2.6%, respectively that day.
What’s Affecting Precious Metal Miners in April 2017?
As of April 5, 2017, the volatilities of Hecla Mining (HL), Kinross Gold (KGC), Eldorado Gold (EGO), and IAMGOLD (IAG) were 45.6%, 41.9%, 50.5%, and 47.8%, respectively.
Why Did Miners Fall on August 24?
Most mining companies reversed their 2015 losses during the first few months of 2016 and have posted substantial gains. There is a high correlation between mining stocks and precious metals.
What Should Gold Investors Do after the US Election Surprise?
Until the market settles down and the policies of the new administration are understood, uncertainty is likely to prevail in the market. This, in turn, should support precious metals such as gold, silver, platinum, and palladium.
Divergent: How Did Gold and Equities Perform in 2016?
Gold lost most of its sheen as 2016 drew to a close, and its last trading day of the year closed on a sour note. Gold futures for February expiration were down almost $5.20 on December 30, 2016, compared to the previous trading day.
Goldcorp’s production profile is decreasing in Mexico
Los Filos is located in the Nukay mining district in central Guerrero state in southern Mexico. Its estimated mine life is 14 years. It had 7.95 million ounces in gold reserves as of December 2013.
Why Eldorado Gold Became the Least Impressive Gold Stock
Eldorado Gold (EGO) is one of the few gold stocks that have seen rapidly deteriorating sentiments from analysts in the last year.
These Factors Will Shape Gold’s Outlook in 2018
While a weaker US dollar supported gold prices in January 2018, the picture could change going forward.
Why Analysts’ Sentiments Are Turning Positive on IAMGOLD
Analysts’ sentiments toward IAMGOLD (IAG) have been changing for the better in the past few months.
Will Gold Miners Soar in the Second Half as Gold Rises?
Gold prices have seen a reversal in the last month or so. The SPDR Gold Shares ETF (GLD) gained 8.0% in June alone.
Why Wall Street Loves These Five Gold Stocks
Among miners, Eldorado Gold (EGO), New Gold (NGD), IAMGOLD (IAG), and Barrick Gold (GOLD) have seen the highest gains of 50.6%, 44.4%, 40.3%, and 36.4%, respectively.
What Could Help Kinross Gold Outperform Peers in 2019?
Kinross Gold stock has fallen 3.1% this year as of May 28.
Could IAMGOLD Be Next as a Consolidation Wave Hits the Gold Space?
The report from Bloomberg about the potential sale of all or parts of IAMGOLD’s business comes as the gold sector is going through a wave of consolidation.
IAMGOLD Stock Soars as It Reportedly Seeks a Potential Sale
On May 16, Bloomberg reported that IAMGOLD (IAG) could be exploring the possible sale of all or parts of its business.
Investors Spooked by IAMGOLD’s Probable Guidance Review in Q2
IAMGOLD’s (IAG) gold production for Q1 came in at 185,000 ounces, a decline of ~19% from Q1 2018.
Why IAMGOLD Stock Has Plunged Over 12% Today
IAMGOLD (IAG) released its Q1 2019 results yesterday after markets closed.
Gold: Analysts Are Bullish despite Weak Performance in 2019
Gold prices have fallen 3% YTD (year-to-date) as of April 26. Gold prices fell ~1.9% in 2018 and significantly underperformed broader markets.
Yamana Gold: What to Expect from Its Q1 Results
Yamana Gold is scheduled to release its first-quarter results on May 1 after the market closes. The company will hold a conference call on May 2.