SAND - Best Mining Stocks For Your Watch List In January 2021?
Top Mining Stocks To Buy Or Sell
The market for mining stocks seems to be evolving every week or every month at this point. It started off completely normal at the top of 2020 before the pandemic struck. But the fall of the economy and cost of the dollar resulted in metal prices skyrocketing. Gold and silver for example, reached new highs in the market that had never been seen before. But where do things stand now that we have finally reached 2021? Well, the government stimulus bill for $900 billion was passed which helped mining stocks lift up in price. This is because of government stimulus hurting the economy and price of the dollar.
Now that the first week of 2021 has passed we can see how mining stocks have performed. For most of the week, it was good until a push back on January 7 th that continued through the 8 th . Gold prices fell back under the $1900 it reached after the new year. Things are not looking good for the government issuing more stimulus in the future which has hurt the price of metal assets. Regardless, there are many great stocks to watch in the market even in situations like this. So which stocks are the best to watch in 2021? Well, let’s take a look at four that show higher performance in 2021 so far.
Top Mining Stocks To Buy [Or Sell]
- Sandstorm Gold Ltd. ( NYSE: SAND )
- Almaden Minerals Ltd. ( NYSE: AAU )
- Great Panther Mining Limited ( NYSE: GPL )
- Gold Resource Corporation ( NYSE: GORO )
Sandstorm Gold Ltd.
First up on this list of gold stocks is Sandstorm Gold Ltd. Sandstorm Gold is a gold royalty company that acquires gold and other purchase agreements from different types of mining corporations. The companies in question actively have advanced stage development projects or operating mines. Sandstorm pays up front for companies to acquire gold streams or royalties and has rights to purchase a percentage of the production for the life of the mine. Let’s see how Sandstorm has performed in 2021 so far and what its future may look like in regards to SAND stock.
SAND stock price was at $7.21 a share on average on December 31 st . Then SAND stock rose to as high as $7.69 a share on average once the new year arrived. But now SAND stock price has fallen to $7 a share on average after pull back on precious metal prices. This does not mean it is a bad time to invest in SAND stock though. Many investors will buy the dip on certain stocks. But keep in mind a stock’s news and volume when deciding what the best choice may be in regards to investing. Sandstorm did show a lot of potential in 2020, but only time will tell what will come from it in 2021.
Almaden Minerals Ltd.
The next mining stock to watch is Almaden Minerals Ltd. Almaden Minerals is an exploration stage company that acquires, explores, and develops different mineral properties in Canada and Mexico. The company will search for gold, silver, and copper deposits in these locations. It currently owns 7,200 hectares, 100% interest, of the Ixtaca (Tuligtic) project in Mexico. So how is Almaden Minerals performing in 2021 now?
AAU stock actually experienced a large drop on December 21 st from $0.76 a share to $0.50 a share on average. Since then its movement has stayed around this point. In the last 5 days, AAU stock price is up despite being down on the day of January 8 th . Regardless of the drop off, AAU stock has stayed above its low point last year in March. This company will need to report some positive advancements or financials in order to recover. Its last update came 18 days ago when the company did not receive permit approval for the Ixtaca project which is what lowered its stock price so much.
Great Panther Mining Limited
Now let’s talk about Great Panther Mining Limited. Great Panther Mining explores for silver, gold, lead, copper, and zinc ores at all of its mineral deposits. Its mines include all of the Tucano gold mine in Brazil, many properties in Mexico, amid others. Great Panther recently had to suspend its operations at its Topia mine located in Mexico due to pandemic regulations. So how is the company performing now that we have finally reached 2021?
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GPL stock price was at $0.85 a share when 2020 came to a close. Then GPL stock shot up to $0.96 a share at one point. But due to lowering metal prices, GPL stock is at $0.844 a share as of January 8 th amid lowering metal prices. So now we await to see what could be next for this mining stock. Like the others on this list, it is purely moving based on the price of metals like gold and silver at the moment.
Gold Resource Corporation
Last up on this list is the Gold Resource Corporation. Gold Resource Corporation is a mining company that completes the exploration, development, and production of gold. GORO searches for minerals like silver, copper, lead, and zinc at various deposits in addition to its gold efforts. Gold Resource Corporation’s primary asset focuses on the Aguila project holding 18 mining concessions in land of more than 24,000 hectares in Mexico. What does Gold Resource Corporation’s performance look like in 2021 so far?
GORO stock was at $2.94 a share on December 31 st . When the New Year came, GORO stock price went up as high as $3.35 a share on January 4 th . But now GORO stock has fallen to $2.86 a share. Like the others on this list, Gold Resource Corporation moves based on the price of metals at the moment. There hasn’t been any very recent updates from the company meaning that its pure driver is the price of things like gold and silver.
Should You Buy Mining Stocks Right Now?
Right now mining stocks are in an interesting situation. You’ve got the value of the dollar back on the rise. However, there’s still plenty of stimulus to take into consideration down the line. The previous uncertainty around who the President will be in the U.S. has now passed. So it looks like the next concern would be the lasting global pandemic. Whether or not that will remain the case is yet to be seen. However, as we saw last year, the sentiment can spark a rally in precious metals and mining stocks. In that case, it will be important to have a watch list put together.