NEW YORK ( TheStreet) -- Steel Dynamics ( STLD), James River Coal ( JRCC), Ternium ( TX), Walter Energy ( WLT), Teck Resources ( TCK), Freeport-McMoRan Copper & Gold ( FCX), POSCO ( PKX), Cliffs Natural Resources ( CLF), Rio Tinto ( RIO) and Vale ( VALE) are a few mining-related stocks trading at deep discounts. The stocks have upside potential of 21%-50%, based on analysts' consensus estimates of 12-month price targets.

A sharp demand for commodities, underpinned by the economic recovery, has sparked off a rally in metal prices, which augurs well for mining stocks. The SPDR S&P Metals and Mining ETF ( XME) outperformed broader markets, surging 26% during the last one year, while the S&P 500 Index gained 15% in the same period.

The following 10 mining stocks are trading at price-to-projected earnings of less than 11 and received average analysts' buy ratings of 81%. The selected stocks have potential to deliver up to 50% return over the next one year.

Even though Metalico ( MEA), Eldorado Gold ( EGO), Royal Gold ( RGLD) and Kinross Gold ( KGC) are expected to return in excess of 30% in the next one year, we did not consider them as they are trading at an average price-to-projected earnings of around 26.

The stocks are stacked from cheap to cheapest based on forward earnings multiples.

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