Despite the coronavirus pandemic that has caused turmoil in equity markets, Canadian mining stocks have been some of the top-performing stocks. Mining stocks especially those specializing in gold mining have had a good year to date as gold prices continue to soar to the current levels of around $1700. Precious metals such as gold act as a haven during downturns and now investors are seeing opportunities in metal mining stocks.
For Canadian mining stocks that have been making profits this year is going to be bumper for investors and shareholders because of the high metal prices. Here are some of the Canadian mining stocks that have performed well during this COVID-19 pandemic and poised for massive returns going forward.
Iamgold reports assay result of Rouyn Gold Project
One of the miners that have performed well is Iamgold Corp (NYSE:IAG) which is a gold miner that operates three gold mines in Burkina Faso, Suriname, and Canada. The company has been expanding its operations and it is developing the Boto Gold mine in Senegal and Cote Gold in Canada as well as other projects in the Americas and West Africa.
The company has hailed the assay results of the diamond drilling program on the Lac Gamble area and Astoria zone at Rouyn Gold Project in Quebec 4 km south of Rouyn-Noranda. The project offers the company a chance to define its satellite resources to supplement the Westwood operation.
Newmont among Canadian mining stocks performing exceptionally this year
Newmont Corporation (NYSE:NEM) which is the largest gold miner in the world is another name that has performed exceptionally this year. The company saw its revenue hit $9 billion which was mainly due to an increase in shipments following the addition of more mines after its merger with Goldcorp last year. Newmont expects revenue to grow 16% in 2020 to $10.5 billion because of the high gold prices.
In the first quarter, the company reported that its earnings had risen nine-fold with profit jumping more than 640%. The company’s earnings were $837 million or $1.04 per share with YoY revenue rising 43% to around $2.58 billion. In Q1 the company produced around $1.5 million gold ounces.
Barrick considering the acquisition of Freeport
Barrick Gold (NYSE:GOLD) is among the top Canadian mining stocks holding potential for investors currently. The company sits on massive copper and gold reserves coming from its mines from various regions across the world. The company as among the miners that did not shut operations in their mines because of the COVID-19 pandemic.
In the first quarter of 2020, the company produced 1.25 million gold ounces and 115 million pounds of copper. Barrick’s net earnings in the quarter were $0.22 per share with adjusted earnings per share being $0.16. The company has indicated that it will capitalize on the high gold process and low copper prices to pursue the acquisition of Freeport-McMoran Inc. (NYSE:FCX) which owns the largest gold mine in the world in Indonesia.