Precious Metals Stocks Thriving On The Downturn

Michael Teague |

The sell-off that had taken a turn for the ugly at the end of last week was the ostensible result of fears about global economic growth, with the focal point of concern being the Chinese economy.

Worries about the Chinese economy are by no means new, and are in fact carry-overs from 2013. But now that the dust from the sharp upward turn of the bull run last year is settling, the picture that is starting to take place is being seen as cause for concern, even if the slowdown in Asia is only a notch less exponential.

All asset classes have been affected by this recent trading activity, but precious metals have perhaps felt the least of the pain, with futures for February delivery up over a percent over the last week to over $1,270 prior to Monday’s opening bell. While analysts expect yellow metal to remain range-bound between $1,200 and $1,400 throughout 2014, last week proved a modest reminder that gold and other metals in its class like silver, and to a lesser extent platinum and palladium, are still every bit as good as their reputation as a store of value during times of uncertainty.

This can be seen in the impressive performance of a number of gold and silver stocks over the week. The following companies gold and silver companies, all with market-caps of $300,000 million or greater, are the previous week’s best-performing precious metals companies, all of which were trading nearly ten percent higher or more.

 

Ruicon Metals Corporation ($RBY)

Industry/Country: Gold/Canada

Market-Cap: $355.05 million

Price: $1.23

Performance (week): +18.27 percent


 

Fortuna Silver Mines Inc. ($FSM)



Industry/Country: Silver/Canada

Market-Cap: $462.31 million

Price: $3.67

Performance (week): +13.07 percent

 

AngloGold Ashanti Ltd. ($AU)

Industry/Country: Gold/South Africa

Market-Cap: $5.5 billion

Price: $14.10

Performance (week): +10.24 percent

 

Compania de Minas Buenaventura SA ($BVN)

Industry/Country: Gold/Peru

Market-Cap: $3.38 billion

Price: $13.31

Performance (week): +9.73 percent

 

Endeavour Silver Corp. ($EXK)

Industry/Country: Silver/Canada

Market-Cap: $442.72 million

Price: $4.44

Performance (week): +9.63 percent

 

Randgold Resources Limited ($GOLD)

Industry/Country: Gold/Channel Islands

Market-Cap: $6.47 billion

Price: $70.11

Performance (week): +9.60 percent

DISCLOSURE: The views and opinions expressed in this article are those of the authors, and do not represent the views of equities.com. Readers should not consider statements made by the author as formal recommendations and should consult their financial advisor before making any investment decisions. To read our full disclosure, please go to: http://www.equities.com/disclaimer

Companies

Symbol Name Price Change % Volume
RBY Rubicon Mineral n/a n/a n/a 0
BVN Buenaventura Mining Company Inc. 12.94 -0.10 -0.77 1,571,087
FSM Fortuna Silver Mines Inc. 6.28 -0.11 -1.72 1,928,989
AU AngloGold Ashanti Limited 11.81 -0.73 -5.82 5,636,192
EXK Endeavour Silver Corporation (Canada) 4.70 -0.04 -0.84 2,606,592
ABEC Analytica Bio-Energy Corp 0.04 0.00 0.00 0

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