Resources. Stocks had a great run over the last few months so she expects some consolidation in this space. Expect some Cdn oil/gas stocks are going to be soft. Looking for a sideways action for the next few months.
Commodities. Expecting commodity space to do well in the 2nd half and she is fairly bullish on the global economy with a 2%-ish type of growth. This is a time for good buying opportunities.
Potash Corp. (POT-T) has been cutting back production and she expects potash to underperform other commodities. This one is a quality name for a long-term buyer.
Main reason the stock is remaining at its current level is that vanadium prices have not moved up with the rest of the commodities. Good story. Company is in the constructive phase so is fairly quiet. If you own, the patient.
Good lithium project in Québec. There aren’t a lot of names in this space. A move to $1 a share in the next 12 months is a reasonable expectation. Good level to pick this up.
Fantastic stock with a great portfolio of assets. Moving towards oil right now but still has very large gas position in terms of production. Not expecting earnings momentum and could possibly disappoint the street when they report, which could be more downside. If you own, consider taking some profits and buying back if it drops further.
Rio Tinto (RIO-N) has recently acquired 51% so as a. takeout play, the premium will probably not be as high as previously expected and she expects the stock to stay sideways. There are better places to put your money.
Mexican gold player. Recently acquired Northgate Minerals. Looking to optimize both their Mexican and Canadian assets, which could double their production. Good company. Stock is very cheap right now and should move up very nicely.
Fairly good name. A lot of value in the stock. Company just started production last year. Budget this year is based on $1650 gold price and their expansion requires $160 million in CapX and their operation is going to bring in about $80 million. Expects the market is concerned that there is not enough cash to bring on the development that they want. Would buy this if the stock went a lot lower.
(A Top Pick April 20/11. Down 50%.) Still likes. Stock was halted when their PA did not meet the 43101 requirements and they have to refile. Issue has to do with the rare earth component so it doesn't really impact the story. Recently signed a deal with the worlds largest aluminum producer.