3 Top Metals and Mining Stocks You Should Consider Buying Now
Metals and mining stocks were thrown off gear after prices of metals crashed from their peaks in 2011 and brought the global commodity markets to a grinding halt. Now mining stocks are showing signs of life. Prices of key base metals such as iron ore, copper, zinc, lead, nickel, and aluminum are on fire, fueling investors' optimism that the worst is behind the mining industry.
The excitement is evident in the stock market: Some of the world's largest metals and mining stocks, including Vale, Glencore, and Freeport McMoRan (NYSE: FCX), have clocked triple-digit percentage gains in a couple of years, while shares of mining giants such as BHP Billiton (NYSE: BHP), Rio Tinto (NYSE: RIO), and Southern Copper have gained double-digit percentages during the period. Precious-metal stocks haven't disappointed, either, with leading gold miner Barrick Gold (NYSE: ABX) and streaming and royalty giant Wheaton Precious Metals (NYSE: WPM) logging 60%-80% returns since the beginning of 2016.
The verdict is clear: Now could be a great time to consider some metals and mining stocks. However, given the recent rally in most mining stocks, it's important that you pick your stocks carefully and go for miners that can make the most of a commodity up cycle. Three stocks look particularly compelling right now -- diversified mining giants BHP Billiton and Rio Tinto, and gold and silver play Wheaton Precious Metals.
Source: Fool.com
