Top 10 Gold Stocks For 2014

Whenever I'm faced with a major change in my opinion regarding the market's long-term direction, I think of the English punk band the Clash. 

In particular, the 1980s hit "Should I Stay or Should I Go" comes to mind. With apologies to the song's writers: 

"Should I buy or should I sell? If I buy, there will be trouble / If I sell, it will be double." 

 

Thinking of these altered lyrics might be a nod to being obsessed with music during my adolescence. It might also be a signal that it's time to make a change. I like to think of them as the latter.

Over the past week, I thought of those lyrics when looking at the price of gold. Regular StreetAuthority readers will remember my April 29 article on the precious metal. I had forecast that gold would drop below $1,200 an ounce before bouncing higher. This is exactly what has occurred with gold futures dropping to $1,179 prior to bouncing into the $1,250 range seven sessions later. 

Top 10 Internet Stocks To Invest In Right Now: Australian Dollar(AU)

AngloGold Ashanti Limited primarily engages in the exploration and production of gold. It also produces silver, uranium oxide, and sulfuric acid. The company conducts gold-mining operations in South Africa; continental Africa, including Ghana, Guinea, Mali, Namibia, and Tanzania; Australia; and the Americas, which include Argentina, Brazil, and the United States. It also has mining or exploration operations in the Democratic Republic of the Congo, Guinea, and Colombia. As of December 31, 2010, the company had proved and probable gold reserves of 71.2 million ounces. The company has a strategic alliance with Thani Dubai Mining Limited to explore, develop, and operate mines across the Middle East and parts of North Africa. AngloGold Ashanti Limited, formerly known as Vaal Reefs Exploration and Mining Company Limited, was founded in 1944 and is headquartered in Johannesburg, South Africa.

Advisors' Opinion:

• [By Jim Powell]

  In addition to holding Goldcorp and Barrick Gold, the fund tracks the performance of Newmont Mining (NEM), Newcrest Mining (NCMGY), AngloGold Ashanti (AU), and several other industry leaders.

Top 10 Gold Stocks For 2014: Golden Star Resources Ltd(GSS)

Golden Star Resources Ltd., a gold mining and exploration company, through its subsidiaries, engages in the acquisition, exploration, development, and production of gold properties. It owns and operates the Bogoso/Prestea gold mining and processing operation that covers approximately 40 kilometers of strike along the southwest-trending Ashanti gold district in western Ghana; and the Wassa open-pit gold mine located to the east of Bogoso/Prestea in southwest Ghana. The company also has an 81% interest in the Prestea underground gold mine located in Ghana. In addition, it holds interests in various gold exploration projects in Ghana, Sierra Leone, Burkina Faso, Niger, and Cote d?Ivoire, as well as holds and manages exploration properties in Brazil in South America. The company was founded in 1984 and is based in Littleton, Colorado.

Advisors' Opinion:

• [By Patricio Kehoe] some future and gave several reasons for my bearish stance towards the stock. A small market, high geopolitical risk in some of the countries the firm operates, along with overexpansion in times of fluctuating gold prices gave tune to the massive shedding of shares by investment gurus. Five months have past since I last considered Golden Star�� potential, and everything indicates the situation has not changed.

  Guru Activity Shows a Clear Tendency

  Steven Cohen (Trades, Portfolio), Chuck Royce (Trades, Portfolio) and Arnold Schneider (Trades, Portfolio), had already sold their entire holdings in the company by October 2013, indicating they had little faith in the gold miner�� recovery. By the end of the year, Jim Simons' (Trades, Portfolio) Renaissance Technologies took a similar decision, reducing its stake in the firm by 32%. This tendency towards the sale of Golden Star stock was duly noted by investors and analysts alike, and concurs with the company�� poor performance.

  A Look at the Numbers

  In an industry plagued by fluctuating metal prices, operating with lofty margins can be quite helpful. Yet Golden Star cannot afford such luxuries. With an operating margin of 0.1% and a net margin of -56.8% the firm is in a tight spot, especially when compared to the industry average. Unlike its industry peers��median, which are of 2.26% and -0.09%, respectively, the Toronto-based gold miner is struggling to generate decent cash flow levels. Further metrics depict a even worse situation for shareholders: return on equity is currently at -370% and revenue growth is estimated to reach a poor 2.5%. Purchasing overpriced assets, relative to current gold prices, is surely one of the reasons for such grim figures, as financial losses have taken their toll on Golden Star.

  The announcement of its 2013 full year, and fourth quarter earnings only helped to add to shareholders��concerns. A 15% decline in revenue was expected by those

Top 10 Gold Stocks For 2014: Goldcorp Incorporated(GG)

Goldcorp Inc. engages in the acquisition, exploration, development, and operation of precious metal properties in Canada, the United States, Mexico, and Central and South America. It produces and sells gold, silver, copper, lead, and zinc. The company was founded in 1954 and is headquartered in Vancouver, Canada.

Advisors' Opinion:

• [By Ben Levisohn]

  Gold miners are getting a boost today from solid earnings from the likes of Barrick Gold (ABX), Goldcorp (GG) and Agnico Eagle Mines (AEM). The exception: Kinross Gold (KGC), which missed earnings forecasts and cut its reserves.

• [By Doug Ehrman]

  With the price of gold cooling off over the last week, the roller-coaster ride for both the SPDR Gold Trust (NYSEMKT: GLD  ) and for big miners like Goldcorp (NYSE: GG  ) , Barrick Gold (NYSE: ABX  ) , and Newmont Mining (NYSE: NEM  ) is in full effect, and the rush back to gold seems over. A drop in demand would normally signal the end of a trend, but Dennis Gartman of "The Gartman Letter" urges us to think about gold in a new light 芒�� as a currency.

• [By Sean Williams]

  One lustrous investment
  If you hadn't guessed by now, I'm a big fan of gold and gold miners. There are multiple factors at the moment that I feel could usher in another rally in gold prices. These include weak global economies, which make gold an attractive safe-haven investment; low domestic interest rates, which make gold attractive relative to low-yielding CDs and bonds; copious U.S. money printing, which could lead to inflation; and a contrarian mentality to buy when others are fearful. That's why I think investors would be foolish to pass up on cost-efficiency mining expert Goldcorp (NYSE: GG  ) at its current levels.

• [By Itinerant]

  Recently pressure has mounted to update this cost reporting standard in order to improve transparent accounting for all costs associated with production. Or as Chuck Jeannes, CEO of Goldcorp (GG), puts it:

Top 10 Gold Stocks For 2014: CME Group Inc.(CME)

CME Group Inc. operates the CME, CBOT, NYMEX, and COMEX regulatory exchanges worldwide. The company provides a range of products available across various asset classes, including futures and options on interest rates, equity indexes, energy, agricultural commodities, metals, foreign exchange, weather, and real estate. It offers various products that provide a means of hedging, speculation, and asset allocation relating to the risks associated with interest rate sensitive instruments, equity ownership, changes in the value of foreign currency, credit risk, and changes in the prices of commodities. CME Group owns and operates clearing house, CME Clearing, which provides clearing and settlement services for exchange-traded contracts and counter derivatives transactions; and also engages in real estate operations. Its primary trade execution facilities consist of its CME Globex electronic trading platform and open outcry trading floors, as well as privately negotiated transact ions that are cleared and settled through its clearing house. In addition, the company offers market data services comprising live quotes, delayed quotes, market reports, and historical data services, as well as involves in index services business. CME Group?s customer base includes professional traders, financial institutions, institutional and individual investors, corporations, manufacturers, producers, and governments. It has strategic partnerships with BM&FBOVESPA S.A., Bursa Malaysia Derivatives, Singapore Exchange Limited, Green Exchange, Dubai Mercantile Exchange, Johannesburg Stock Exchange, and Bolsa Mexicana de Valores, S.A.B. de C.V., as well as joint venture agreement with Dow Jones & Company. The company was formerly known as Chicago Mercantile Exchange Holdings Inc. and changed its name to CME Group Inc. in July 2007. CME Group was founded in 1898 and is headquartered in Chicago, Illinois.

Advisors' Opinion:

• [By Sean Williams]

  Leading the charge higher is CME Group (NASDAQ: CME  ) , which advanced 3.3% after exploring a possible sale of its New York Mercantile Exchange building. CME has considered leasing back a portion of the building to run its energy trading operations out of, or it may just move those operations to another building in Manhattan altogether. This announcement also comes on the heels of news that Treasury futures volume hit an all-time record yesterday. With CME looking for ways to maximize shareholder value in an otherwise tepid trading environment, I'd call today's move encouraging.

• [By Anora Mahmudova]

  CME Group Inc. (CME) �shares rose slightly after the exchange operator posted fourth-quarter earnings that were below expectations.

Top 10 Gold Stocks For 2014: NEW GOLD INC.(NGD)

New Gold Inc. engages in the acquisition, exploration, extraction, processing, and reclamation of mineral properties. The company primarily explore for gold, silver, and copper deposits. Its operating properties include the Mesquite gold mine in the United States; the Cerro San Pedro gold-silver mine in Mexico; and the Peak gold-copper mine in Australia. The company also has development projects, including the New Afton gold, silver, and copper project in Canada; and a 30% interest in the El Morro copper-gold project in Chile. The company was formerly known as DRC Resources Corporation and changed its name to New Gold Inc. in June 2005. New Gold Inc. was founded in 1980 and is headquartered in Vancouver, Canada.

Advisors' Opinion:

• [By MONEYMORNING]

  New Gold Inc. (NSYEMKT: NGD) completed its takeover of Rainy River Resources back in October. New Gold got 4 million ounces in a good jurisdiction (Ontario) and paid less than book value.

Top 10 Gold Stocks For 2014: Iamgold Corporation(IAG)

IAMGOLD Corporation, together with its subsidiaries, engages in the exploration, development, and production of mineral resource properties worldwide. It primarily explores for gold, silver, zinc, copper, niobium, diamonds, and other metals. The company holds interests in eight operating gold mines, a niobium producer, a diamond royalty, and exploration and development projects located in Africa and the Americas. Its advanced exploration and development projects include the Westwood project in Canada; and the Quimsacocha project, which consists of 3 mining concessions covering an aggregate area of approximately 8,030 hectares in Ecuador. The company was formerly known as IAMGOLD International African Mining Gold Corporation and changed its name to IAMGOLD Corporation in June 1997. IAMGOLD Corporation was founded in 1990 and is based in Toronto, Canada.

Advisors' Opinion:

• [By Eric Volkman]

  IAMGOLD (NYSE: IAG  ) might specialize in a precious metal, but it's continuing to pay its dividend in hard currency. The company has declared its latest semi-annual distribution at $0.125 per share of its common stock.

• [By Patricio Kehoe]

  In addition to overexpansion at the wrong time, Golden Star�� position has weakened due to its comparably less efficient operations. Unlike industry peers, such as IamGold Corp. (IAG) or Gold Fields Ltd. (GFI), the majority of the Toronto-based miner�� assets contain refractory ore, which is far more expensive to extract than non refractory ore. And, in an attempt to switch production to the lower cost gold ore, and thus increase margins, Golden Star has depleted its mines��non refractory ore. With low reserves and mounting cash costs, the firm inevitably turned to new acquisitions.

• [By Matt DiLallo]

  IAMGOLD (NYSE: IAG  )
  Canadian gold miner IAMGOLD pays a semiannual dividend of $0.125 per share, which equates to a current yield of about 4.45%. As the company's name would imply, its revenues are generated by its gold-mining operations. Currently, the company has six gold mines across three continents as well as several potential projects in the works. The company's current priorities given the slumping gold market include cash preservation, cost reduction, and disciplined capital allocation. While the dividend looks safe for now, given the company's stated policy of not jeopardizing is strong balance sheet, it could be reduced if gold prices fall further. �

Top 10 Gold Stocks For 2014: First Majestic Silver Corp.(AG)

First Majestic Silver Corp. engages in the production, development, exploration, and acquisition of mineral properties with a focus on silver in Mexico. The company owns interests in La Encantada Silver Mine comprising 4,076 hectares of mining rights and 1,343 hectares of surface land located in Coahuila; La Parrilla Silver Mine consisting of mining concessions covering an area of 69,867 hectares; and San Martin Silver Mine comprising approximately 7,841 hectares of mineral rights and approximately 1,300 hectares of surface land rights located in Jalisco. It also holds interests in Del Toro Silver Mine consisting of 393 contiguous hectares of mining claims and an additional 129 hectares of surface rights located in Zacatecas; Real de Catorce Silver Project comprising 22 mining concessions covering 6,327 hectares located in San Luis Potosi state; and Jalisco Group of Properties consisting of mining claims totalling 5,240 hectares located in Jalisco. The company was founded in 1979 and is headquartered in Vancouver, Canada.

Advisors' Opinion:

• [By Monica Gerson]

  First Majestic Silver (NYSE: AG) is estimated to post its Q1 earnings at $0.10 per share on revenue of $63.35 million.

  Dr. Reddy's Laboratories (NYSE: RDY) is expected to report its Q4 earnings at $0.52 per share.

• [By Doug Ehrman]

  While many precious-metals companies have been in a slump of late, there is one that belongs perpetually in your portfolio: Silver Wheaton (NYSE: SLW  ) . The company is not like other miners -- including Pan American Silver (NASDAQ: PAAS  ) and First Majestic (NYSE: AG  ) -- in that it has a unique business plan that insulates it against many of the vagaries of the mining business. Moreover, because silver will always have a significant industrial demand component, even with the heightened volatility you see in the silver market, maintaining exposure to silver is appropriate.

• [By Doug Ehrman]

  It is no secret that precious metals companies have been taking a pounding for some time now. The SPDR Gold Trust (NYSEMKT: GLD  ) and iShares Silver Trust (NYSEMKT: SLV  ) , the gold and silver ETFs, have been hard hit and operating companies like First Majestic (NYSE: AG  ) and Barrick Gold (NYSE: ABX  ) have been hit even harder. Through all of these struggles, and in some cases because of them, one precious metals company continues to look attractive for the long term: Silver Wheaton (NYSE: SLW  ) .