Mining Stocks

Mining stocks are investments in companies that produce or explore for minerals. Some of these minerals include uranium, coal, molybdenum (which is used in steelmaking), copper, silver and gold. They are affected by fluctuating commodity prices in addition to their own business and operating risks.

While sometimes risky, mining stocks can also be strong performers when commodity prices move up. However, due to the volatility of these stocks, Pat McKeough recommends that they only form a modest part of a well-balanced portfolio.

Canadian penny mining stocks are some of the riskiest stocks you can buy. These companies are trying to find mineral deposits that mine at a profit and such a find are exceedingly rare. Because of this, it’s even more important to look for investment quality in penny mines.

For example, we automatically rule out investing in penny mines that promote themselves too aggressively or do so misleadingly. The mine-finding effort is more likely to succeed if the managers focus on finding a mine rather than hyping their stock.

Junior mining stocks are usually smaller companies that typically take on riskier mining projects. However, if a junior mining stock is successful at finding and mining, it can mean huge returns for investors.

No matter what type of mining stocks, or other stocks you invest in, TSI Network recommends following our three-part Successful Investor strategy:

  1. Invest mainly in well-established, mostly dividend-paying companies;
  2. Spread your money out across most if not all of the five main economic sectors (Manufacturing & Industry; Resources & Commodities; Consumer; Finance; and Utilities);
  3. Downplay or avoid stocks in the broker/media limelight.

How Mining Stocks make a difference

Learn everything you need to know in ‘The Complete Guide to Mining Stocks’ for FREE from The Successful Investor.

Best Canadian Mining Stocks TSX: Plus Gold Stocks, Canadian Diamond Mines and more.


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Mining Stocks Post Archives

Mining stocks that pay dividends

Add to your long-term returns in the resource sector by investing in mining stocks that pay dividends
At TSI Network, we keep a sharp eye out for high-quality mining stocks that pay dividends.

Dividends are typically cash payouts that serve as a way companies share the wealth… Read More

Barrick Gold is adding new mines

Barrick Gold is adding new mines

A slight decline in gold production and prices resulted in a 7.4% revenue drop in the most-recent quarter for Barrick Gold.

However, earnings still beat estimates and the firm continues to pay a performance dividend each quarter.

The stock trades at 23.0 times the company’s 2023 earnings… Read More

Get a 4.6% yield from gold giant Newmont

Get a 4.6% yield from gold giant Newmont

Lower production and realized gold prices led to a 9% revenue drop for this company during the most-recent quarter. Higher costs also cut earnings 55%.

However, this company has high quality reserves and offers a fundamentally-strong bet against inflation and a weaker U.S. dollar. A planned… Read More

Newmont Corp. now yields 5.4%

Newmont Corp. now yields 5.4%

We feel the best way to profit from strong gold prices is to buy high-quality producers like this one.

Most of this firm’s mines are in politically stable countries and its dividend is linked to the price of gold. That makes it a strong gold play.

Meanwhile… Read More

Revenues rocketed 64.4% at Nutrien Ltd.

Revenues rocketed 64.4% at Nutrien Ltd.

The sanctions on Russia have removed a major competitor for this firm’s products even as demand is increasing, making this a top pick for us despite its recent price rise.

Meanwhile the firm is building new plants to address that rising demand.

The stock trades at just… Read More