Top Mining Stocks To Watch In December 2021
Once again we start a week in the red thanks to more concerns stemming from new virus cases. Everything from travel stocks to consumer staples are feeling the pressure. With another wave of uncertainty, potential lockdowns, and the holiday travel season in full swing, tensions are high in the stock market today.
What about safe haven stocks? Metals and mining stocks aren’t immune to the virus downturn either. Gold futures pulled back at the start of Monday’s session along with silver. But one metal bucking this bear trend is copper. Since the early hours of the premarket session, Copper futures managed to bounce higher.
While this has helped with some bullish sentiment in the market, it is bringing only a bit of cautious optimism. With that has come a bit of bullishness in a few mining stocks. In the sea of red, 3 of them have become standouts and weathered the storm so far.
Mining Stocks To Watch
B2Gold Corp. (NYSE: BTG)
Shares of BTG stock mounted an early attempt at a rally on Monday. The mining stock has been in the spotlight ever since last week following a flight to safe-haven stocks. B2Gold’s record date for its fourth-quarter dividend was last Friday, which seems to have brought some strong but brief bullishness into the market.
The company’s most recent focus has been on advancing its mining operations, company-wide. In its most recent earnings release, B2Gold highlighted its directive to increase production as it guided higher to 1.015-1.055 million ounces for the year while also maintaining cost guidance in the face of new virus cases.
B2Gold also explained, “For full-year 2021, the Company’s total consolidated cash operating costs are expected to be within the Company’s guidance range of between $500 and $540 per ounce and total consolidated AISC are expected to be at the upper-end of the Company’s guidance range of between $870 and $910 per ounce.”
In light of added concerns from the new omicron variant, it will be interesting to see if there will be another rush to safe-haven stocks as we saw early last week.
Fortuna Silver Mines Inc. (NYSE: FSM)
Another one of the mining stocks to watch right now is Fortuna Silver. The company has been on the radar over the last few sessions thanks to new updates on its exploration programs. Earlier in December, Fortuna reported new details on its Latin America and West Africa operations including “encouraging results” based on new gold, copper, silver, lead, and zinc indications below the surface of its properties.
Paul Weedon, Senior Vice President of Exploration, explained, “With 12 drill rigs turning across the portfolio, the steady pace of exploration across all our major properties continues to deliver very encouraging results.”
This wee, FSM stock surged higher after the company announced receipt of a 12 year extension of its environmental impact authorization at its San Jose Min in Mexico. Originally, the company appealed a decision after being denied the EIA extension application. Ultimately, operations were deemed as being conducted in accordance with all environmental obligations under the new EIA.
Agnico Eagle Mines Ltd (NYSE: AEM)
Things have been quiet on the news front for Agnico Eagle in December. However, that hasn’t put a stop to shares of AEM stock climbing recently. Since last Wednesday, the mining company’s shares have bounced from lows of $47.53 to highs this week of over $50 so far.
One of the main points of focus for the market has been on the company’s pending merger. Last month shareholders approved a merger between Agnico and Kirkland Lake Gold (NYSE: KL). With both sides approving the tie-up, AEM and KL stock have both seen a bit more optimism heading into the end of the year.
Sean Boyd, Agnico Eagle’s Chief Executive Officer also said in a late-November release that “Our near-term focus will be on completing the integration plan for the two companies while we await the final regulatory approvals. We look forward to providing additional information on the combined businesses once the transaction has been finalized, which is expected to occur in the first quarter of 2022.”
In light of this, it’s important to note the timing of this merger. Subject to customary closing conditions, the deal is expected to become effecting next quarter.
Are Mining Stocks On Your List Right Now?
Whether you’re just getting started with mining stocks are putting together your first watch list, it’s important to understand what drives certain sector stocks. When it comes to mining, overreaching economic trends have a tendency to drive directional momentum. So it’s important to be aware of everything from virus concerns to the latest inflation figures. They all have an impact and play a substantial role for precious metals stocks. In particular, during uncertain times, precious metals have been a go-to for safer havens.
As we’ve seen recently, there’s more volatility than consistency right now. Based on that reason, looking beyond broader trends and focusing on individual stocks can help cut through some of the noise. While most mining stocks are down today, these are just a few going against that trend and weathering the turbulence right now. The biggest question now is will they be on your watch list before 2022?
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