This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

7 Mining Stocks to Watch

Stocks in this article: IVN AEM NEM BHP CDE VALE HBM

7. Ivanhoe Mines (IVN) is an international mineral exploration and development company operating through two subsidiaries. The company has interests in coal resource properties in Mongolia and molybdenum, rhenium, copper, gold and uranium resource properties in Australia. Its principal mineral resource property is the Oyu Tolgoi Project, located in Mongolia.

The company announced said that construction at Oyu Tolgoi is advancing on schedule and on budget, and reached 30.8% level of completion at the end of the second quarter of 2011. Contract negotiations for the supply and sale of copper-gold-silver concentrate produced at Oyu are expected to be finalized in fourth quarter of 2011, with most of the concentrate expected to be delivered to smelters in China. Ivanhoe swung to net income of $0.6 million for the second quarter 2011 compared to net loss of $30 million in year-ago quarter. Revenue more than doubled to $47.3 million year-over-year.

Ivanhoe recently confirmed that Rio Tinto has exercised its subscription right to acquire an additional 27.9 million common shares of the company for total proceeds of $536 million. This raises Rio's stake in Ivanhoe to 48.5% with a total investment of more than $4 billion since October 2006. As of August 24, 2011, the company's consolidated cash balance stands at $1.7 billion.

Ivanhoe recently said that gold and silver sales would generate almost 50% of total annual revenue at Oyu Tolgoi during early mining from the gold-rich open-pit mine currently under construction, despite copper being the most important metal at the mine. Revenues from gold and silver will likely lower the average cash cost to produce a pound of copper during the first five years of mining at Oyu Tolgoi.

Of the 9 analysts covering the stock, 33% recommend a buy and 44% rate a hold. Data from Bloomberg has analysts forecasting the stock gaining 18.1% to $26.00 in the upcoming 12 months.

2 of 8

Check Out Our Best Services for Investors

Action Alerts PLUS

Jim Cramer and Stephanie Link reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

Jim Cramer's protégé, David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
Try it NOW
Try it NOW
Try it NOW

Check Out Our Best Services for Investors

Dividend Stock Advisor

Jim Cramer's protégé, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
Try it NOW
Try it NOW
Try it NOW
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!

Markets

DOW 17,672.60 -141.38 -0.79%
S&P 500 2,051.82 -11.33 -0.55%
NASDAQ 4,757.8790 +7.4820 0.16%

Partners Compare Online Brokers

Free Reports

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs