NEW YORK (TheStreet) -- Shares of Stillwater Mining Co. (SWC) are down -6.52% to $16.77 on heavy trading volume a day after CEO Mick McMullen said that while the company looks to develop new palladium and platinum mines, it won't speed up plans, a result of escalating prices for the precious metals.
The company mines the only known significant deposit of the metals in the U.S., and says that while it intends to boost mining operations in the U.S. and Canada in the longer term, it will first increase processing of recycled palladium and platinum by deploying unused capacity, allowing it to cash in on higher prices, according to the Wall Street Journal.
TheStreet Ratings team rates STILLWATER MINING CO as a Hold with a ratings score of C. TheStreet Ratings Team has this to say about their recommendation:
"We rate STILLWATER MINING CO (SWC) a HOLD. The primary factors that have impacted our rating are mixed some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strengths can be seen in multiple areas, such as its solid stock price performance, largely solid financial position with reasonable debt levels by most measures and growth in earnings per share. However, as a counter to these strengths, we also find weaknesses including disappointing return on equity, poor profit margins and weak operating cash flow."