Silver Wheaton Corporation (SLW): Today's Featured Metals & Mining Laggard

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

Silver Wheaton Corporation ( SLW) pushed the Metals & Mining industry lower today making it today's featured Metals & Mining laggard. The industry as a whole closed the day up 0.9%. By the end of trading, Silver Wheaton Corporation fell $0.41 (-1.8%) to $22.73 on heavy volume. Throughout the day, 9,532,037 shares of Silver Wheaton Corporation exchanged hands as compared to its average daily volume of 4,513,000 shares. The stock ranged in price between $22.05-$23.63 after having opened the day at $23.44 as compared to the previous trading day's close of $23.14. Other companies within the Metals & Mining industry that declined today were: Harry Winston Diamond ( HWD), down 10.7%, Great Basin Gold ( GBG), down 8.9%, Walter Energy ( WLT), down 8.0% and Minco Gold Corporation ( MGH), down 7.2%.
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Silver Wheaton Corp., together with its subsidiaries, operates as silver and gold streaming company worldwide. The company has 20 long-term purchase agreements associated with silver and gold relating to 23 mining assets. Silver Wheaton Corporation has a market cap of $7.8 billion and is part of the basic materials sector. The company has a P/E ratio of 13.4, below the S&P 500 P/E ratio of 17.7. Shares are down 35.9% year to date as of the close of trading on Thursday.

TheStreet Ratings rates Silver Wheaton Corporation 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, growth in earnings per share, increase in net income and good cash flow from operations. We feel these strengths outweigh the fact that the company has had lackluster performance in the stock itself.

On the positive front, China Shen Zhou Mining & Resources ( SHZ), down 17.6%, Keegan Resources ( KGN), down 10.0%, Asanko Gold ( AKG), down 10.0% and Rubicon Minerals ( RBY), down 9.3% , were all gainers within the metals & mining industry with ArcelorMittal ( MT) being today's featured metals & mining industry leader.

For investors not wanting singular stock exposure, 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).

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