Sierra Metals Inc, Silvercorp Metals Inc Leading Silver Charge
Sierra Metals Inc, Silvercorp Metals Inc and Silver Wheaton Corp. are just a few of the companies topping Monday’s load in the shiny metals sector. These companies climb up to 17%, while the price of silver closes at $ 16.
Sierra Metals Inc is the silver leader today
Looking at the cumulative returns of many stocks since the start of the year, non-cash investors would be shouting “oh! ”
Many US and Canadian silver stocks have skyrocketed since the start of 2016. After advancing lukewarm numbers in recent years, many gold and silver insects are finally starting to gain money again. money. But is it too late to join this year’s Silver Rally? Not really.
One of the companies leading Monday’s charge in North America is Sierra Metals. The mining company once traded up to $ 2.50 per share and provided a dividend of two cents per share. It then collapsed down to 84 cents and eliminated its dividend payments. It has been a depressing 2015 for Sierra Metals.
How is 2016 looking so far? Year-to-date, its stock has climbed 66% to $ 1.70 per share. On Monday, stocks climbed more than 17% and are expected to rise even more in the coming months. Some investors are betting that it will slightly exceed its all-time high of just under $ 2.50.
But it’s not just Sierra Metals that is making a lot of gains.
Silvercorp Metals Inc jumped about nine percent on Monday, hitting nearly $ 2.50 a share. Since the start of the year, stocks have soared 262%. A handful of analysts say it’s still relatively cheap to own – its 52-week low was 60 cents.
Ditto for Silver Wheaton Corp. Its shares climbed 5% to $ 17.29. Since the start of the year, it has increased by 39%.
The list is lengthened increasingly. Silver Standard Resources Inc. (EST: SSO) jumped nine percent to just under $ 9. Pan American Silver Corp. (NASDAQ: PAAS) is approaching a 52-week high after rising five percent on Monday to $ 12.56. Fortuna Silver Mines Inc. (NYSE: FSM) hit its highest level in 52 weeks after jumping 9% to $ 4.68.
As you can see, the sector has been providing its patient investors with superb performance so far. Many are now wondering which silver business can outperform others. Where do you place your bets?
Can Sierra Metals Inc, Silvercorp Metals Inc surpass their rivals?
Of all the stocks, investors can focus on Sierra Metals and Silvercorp Metals. The reason why only a few months ago these companies were considered penny stocks. Today, they are among the top performers on the New York Stock Exchange and the Toronto Stock Exchange.
The question now becomes, when it comes to stock value, can these companies outperform some of its rivals? It is true that their market capitalization is much lower than that of Silver Wheaton or Pan American Silver. However, there is enough momentum for these stocks to potentially reach $ 4 or $ 5 per share.
At the moment, it really depends on the price of the metal. It has been a long time since silver hit $ 20 an ounce. Imagine if Peter Schiff, President and CEO of Euro Pacific Capital, was right and the money was right skyrocket to $ 100 an ounce? There would be huge salaries for the money companies.
A range of contrarian investors, such as Jim Rogers or Marc Faber, have predicts that money could eventually skyrocket once inflation sets in. It is therefore possible that the junior silver mining companies of today will have the chance to profit from the high prices in the near future.
You might be wondering about silver’s big brother, gold. Well, all gold stocks are up too. Not as high as their cousins, but these gold companies are registering jumps of up to seven percent.
As of this writing, gold is trading at $ 1,256 an ounce.