Why Coeur Mining Stock Rallied Roughly 10% in Early Trading Today
Shares of gold and silver miner Coeur Mining (NYSE: CDE) rose just about 10% on May 3. However, by roughly 2 p.m. EDT the stock had given back some of its gains and was sitting with an advance of about 8%. There wasn't any material news out of the company today, which likely means that the driver of the gain was a bit more basic.
Coeur is, as its name implies, a miner, which means that its top and bottom lines are driven by the products it brings up from the ground. In the first quarter, roughly 68% of the company's top line was tied to gold, with the remainder driven by silver. It's common for precious metals miners to produce more than one metal, as gold and silver (and other metals, like copper) are often found in the same location. However, Coeur's exposure to silver (roughly 32% of sales) is fairly material for a precious metals miner, and that likely played a big part in today's gain.
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Source Fool.com
