4 Stocks Pushing The Metals & Mining Industry Higher

Editor's Note: TheStreet ratings do not represent the views of TheStreet's staff or its contributors. Ratings are established by computer based on metrics for performance (which includes growth, stock performance, efficiency and valuation) and risk (volatility and solvency). Companies with poor cash flow or high debt levels tend to earn lower ratings in our model

Two out of the three major indices are trading lower today with the Dow Jones Industrial Average ( ^DJI) trading down 19 points (-0.1%) at 13,006 as of Monday, Dec. 3, 2012, 11:50 AM ET. The NYSE advances/declines ratio sits at 1,239 issues advancing vs. 1,655 declining with 129 unchanged.

The Metals & Mining industry currently sits down 0.7% versus the S&P 500, which is down 0.1%. On the negative front, top decliners within the industry include Newmont Mining Corporation ( NEM), down 2.1%, Goldcorp ( GG), down 1.5% and Freeport-McMoRan Copper & Gold ( FCX), down 0.8%.

TheStreet Ratings group would like to highlight 4 stocks pushing the industry higher today:

4. Royal Gold ( RGLD) is one of the companies pushing the Metals & Mining industry higher today. As of noon trading, Royal Gold is up $1.94 (2.4%) to $82.70 on light volume Thus far, 312,906 shares of Royal Gold exchanged hands as compared to its average daily volume of 943,800 shares. The stock has ranged in price between $80.99-$83.19 after having opened the day at $81.27 as compared to the previous trading day's close of $80.76.

Royal Gold, Inc., together with its subsidiaries, engages in the acquisition and management of precious metals royalties and similar production based interests. Royal Gold has a market cap of $5.4 billion and is part of the basic materials sector. The company has a P/E ratio of 51.8, above the S&P 500 P/E ratio of 17.7. Shares are up 19.8% year to date as of the close of trading on Friday. Currently there is 1 analyst that rates Royal Gold a buy, no analysts rate it a sell, and 4 rate it a hold.

TheStreet Ratings rates Royal Gold as a buy. The company's strengths can be seen in multiple areas, such as its robust revenue growth, largely solid financial position with reasonable debt levels by most measures, expanding profit margins, increase in net income and growth in earnings per share. We feel these strengths outweigh the fact that the company has had somewhat disappointing return on equity. Get the full Royal Gold Ratings Report now.

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3. As of noon trading, Teck Resources ( TCK) is up $0.43 (1.3%) to $34.10 on average volume Thus far, 1.0 million shares of Teck Resources exchanged hands as compared to its average daily volume of 2.5 million shares. The stock has ranged in price between $33.99-$34.42 after having opened the day at $34.12 as compared to the previous trading day's close of $33.67.

Teck Resources Limited operates as a diversified mining, mineral processing, and metallurgical company. It is involved in exploring, developing, smelting, refining, safety, environmental protecting, product stewardship, recycling, and researching activities. Teck Resources has a market cap of $19.3 billion and is part of the basic materials sector. The company has a P/E ratio of 14.8, below the S&P 500 P/E ratio of 17.7. Shares are down 4.8% year to date as of the close of trading on Friday. Currently there are 9 analysts that rate Teck Resources a buy, 1 analyst rates it a sell, and 4 rate it a hold.

TheStreet Ratings rates Teck Resources as a hold. The company's strengths can be seen in multiple areas, such as its reasonable valuation levels, largely solid financial position with reasonable debt levels by most measures and expanding profit margins. However, as a counter to these strengths, we also find weaknesses including deteriorating net income, weak operating cash flow and disappointing return on equity. Get the full Teck Resources Ratings Report now.

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2. As of noon trading, ArcelorMittal ( MT) is up $0.20 (1.3%) to $15.40 on average volume Thus far, 2.5 million shares of ArcelorMittal exchanged hands as compared to its average daily volume of 6.2 million shares. The stock has ranged in price between $15.32-$15.53 after having opened the day at $15.46 as compared to the previous trading day's close of $15.20.

ArcelorMittal, together with its subsidiaries, operates as an integrated steel and mining company worldwide. ArcelorMittal has a market cap of $23.7 billion and is part of the basic materials sector. The company has a P/E ratio of 17.0, below the S&P 500 P/E ratio of 17.7. Shares are down 16.4% year to date as of the close of trading on Friday. Currently there are 4 analysts that rate ArcelorMittal a buy, no analysts rate it a sell, and 2 rate it a hold.

TheStreet Ratings rates ArcelorMittal as a sell. The company's weaknesses can be seen in multiple areas, such as its feeble growth in its earnings per share, deteriorating net income, disappointing return on equity, poor profit margins and weak operating cash flow. Get the full ArcelorMittal Ratings Report now.

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1. As of noon trading, Vale ( VALE) is up $0.07 (0.4%) to $17.50 on average volume Thus far, 7.8 million shares of Vale exchanged hands as compared to its average daily volume of 20.3 million shares. The stock has ranged in price between $17.39-$17.73 after having opened the day at $17.72 as compared to the previous trading day's close of $17.43.

Vale S.A. engages in the exploration, production, and sale of basic metals in Brazil and internationally. The company is also involved in energy, logistics, and steel businesses. Vale has a market cap of $125.7 billion and is part of the basic materials sector. The company has a P/E ratio of 4.1, below the S&P 500 P/E ratio of 17.7. Shares are down 17.7% year to date as of the close of trading on Friday. Currently there are 2 analysts that rate Vale a buy, 2 analysts rate it a sell, and 8 rate it a hold.

TheStreet Ratings rates Vale as a hold. The company's strengths can be seen in multiple areas, such as its revenue growth, largely solid financial position with reasonable debt levels by most measures and attractive valuation levels. However, as a counter to these strengths, we also find weaknesses including a generally disappointing performance in the stock itself and feeble growth in the company's earnings per share. Get the full Vale Ratings Report now.

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If you are interested in one of these 4 stocks, ETFs may be of interest. Investors who are bullish on the metals & mining industry could consider SPDR S&P Metals & Mining ETF ( XME) while those bearish on the metals & mining industry could consider PowerShares DB Base Metals Sht ETN ( BOS).

A reminder about TheStreet Ratings group: TheStreet ratings do not represent the views of TheStreet's staff or its contributors. Ratings are established by computer based on metrics for performance (which includes growth, stock performance, efficiency and valuation) and risk (volatility and solvency). Companies with poor cash flow or high debt levels tend to earn lower ratings in our model.
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