Goldcorp Inc. (GG): Today's Featured Metals & Mining Winner

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

Goldcorp ( GG) pushed the Metals & Mining industry higher today making it today's featured metals & mining winner. The industry as a whole closed the day up 1.0%. By the end of trading, Goldcorp rose $0.70 (2.5%) to $28.56 on average volume. Throughout the day, 7,192,548 shares of Goldcorp exchanged hands as compared to its average daily volume of 6,620,700 shares. The stock ranged in a price between $28.15-$28.75 after having opened the day at $28.64 as compared to the previous trading day's close of $27.86. Other companies within the Metals & Mining industry that increased today were: Crosshair Energy ( CXZ), up 28.4%, Cardero Resources Corporation ( CDY), up 21.1%, Kimber Resources ( KBX), up 15.0% and China Gengsheng Minerals ( CHGS), up 12.8%.
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Goldcorp Inc. engages in the acquisition, development, exploration, and operation of precious metal properties in Canada, the United States, Mexico, and Central and South America. It primarily explores for gold ores, as well as for silver, copper, lead, and zinc ores. Goldcorp has a market cap of $22.6 billion and is part of the basic materials sector. The company has a P/E ratio of 14.3, below the S&P 500 P/E ratio of 17.7. Shares are down 24.1% year to date as of the close of trading on Friday.

TheStreet Ratings rates Goldcorp as a hold. The company's strengths can be seen in multiple areas, such as its increase in net income, largely solid financial position with reasonable debt levels by most measures and good cash flow from operations. However, as a counter to these strengths, we also find weaknesses including a generally disappointing performance in the stock itself and disappointing return on equity.

On the negative front, Harry Winston Diamond ( HWD), down 11.0%, China Shen Zhou Mining & Resources ( SHZ), down 10.0%, Timberline Resources Corporation ( TLR), down 9.3% and Alderon Iron Ore ( AXX), down 7.5% , were all laggards within the metals & mining industry with Peabody Energy Corporation ( BTU) being today's metals & mining industry laggard.

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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