Tuesday, June 30, 2009
Dave Mock :: Townhall.com Columnist
A Big Upgrade for Kinross Gold
by Dave Mock
Vote on It:
Average Vote:
[+] Text [-]
 
 

Every day, the sun rises on Wall Street, and a plethora of professional analysts wake to issue new opinions on stocks. Here at the Fool, we use our "This Just In" column to examine some of these picks-- and the track records of the company behind them -- so individuals can make better investing decisions.

In addition to following professional banks, anyone can use Motley Fool CAPS to monitor the collective opinions of more than 135,000 members, many of whom demonstrate better investing insight than the published analysts do.

In CAPS, gold miner Kinross Gold (NYSE: KGC) saw the four- and five-star rank it has held for much of 2008 evaporate in early 2009, leaving the company stuck at a three-star rating for months -- until recently, that is. Lately, enough highly performing CAPS members have felt bullish enough on Kinross to give it a little four-star time once again. A total of 1,323 members have given their opinion on Kinross Gold, with many of them offering analysis and commentary explaining the recent optimism.

Achieving almost 527,000 ounces of gold equivalent production, the Canadian gold producer pulled off nearly twice the production as peer Yamana Gold (NYSE: AUY) in the first quarter. Thanks largely to mines added through acquisition, revenue jumped by 61% to $532.7 million, while Kinross lowered costs per ounce to $419 from $472. The expansion of its Paracatu mine in Brazil -- Kinross acquired the remaining share of the mine from Rio Tinto (NYSE: RTP) in 2004 -- is expected to hit full design capacity by the end of this quarter. And with other mines -- including Kupol and Buckhorn -- opening last year, Kinross’ annual output is expected to increase significantly this year.

The company also looks forward to a new round of openings at Cerro Casale, which it owns with Barrick Gold (NYSE: ABX); Lobo-Marte, which it picked up from Teck Resources (NYSE: TCK) and Anglo American (NYSE: AAUK); and Fruta del Norte. In addition to all of the bullish CAPS members, Kinross has caught the eye of John Paulson, who holds a sizeable position in Kinross, as well as gold in general, with a massive stake in the SPDR Gold Trust (NYSE: GLD).                                                         

To see what the very best CAPS analysts are saying now about Kinross Gold -- as well as other winning stocks they are picking -- head on over to CAPS and have a look.

More Foolishness:

The Top 10 Reasons to Hold Gold, Bar None!
The Precious Glory of an Instant 10-Bagger
Paulson's Pet Gold Miner Gets a Foolish Thumbs-Sideways
Share:
Vote on It:
Average Vote:
 
About The Author

Dave Mock is a Motley Fool contributor.

Be the first to read Dave Mock's column. Sign up today and receive Townhall.com delivered each morning to your inbox.

Sign Up to Post Your CommentsSign Up to Post Your Comments
If you are already registered, click here to login. Otherwise, please take a few seconds to register with Townhall.com. Once you sign up, you’ll be able to post your comments immediately, use the action center, get podcasts, and more!
Note: Fields marked with a red asterisk (*) are required.
Salutation:
First Name:
*
Last Name:
*
Email:
*
Nickname:
*
Note: Nick name will be shown when you post comments.
Address 1:
*
Address 2:
City:
*
State:
*
Zip:
*
Phone:
      
The very best in financial advice from Dave Ramsey, Larry Kudlow, Motely Fool and many more plus Dilbert!