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Highlights
- Lundin Mining (LUN) produces copper, zinc, gold, and nickel and has operations in several countries.
- First Quantum (FM) is in the mining business with a wide range of operations.
- Agnico (AEM) is a Canadian gold miner with operations in Mexico and Finland.
In April, Canada's inflation rate was 6.8 per cent, the highest in 31 years. The Russia-Ukraine war has pushed up the prices of fuel items and food grains, causing inflation.
As a result of the rising inflation, increasing interest rates, and geopolitical tensions, investors have become anxious, pushing down the equity markets.
Rising prices, on the other hand, may boost mining stocks. As a result, investors may enhance their portfolios in this turbulent market by adding the five metals and mining stocks listed below.
Lundin Mining Corporation (TSX:LUN)
Lundin Mining produces copper, zinc, gold, and nickel and has operations in several countries, including the United States and Brazil.
At the end of the first quarter of this year, the gross profit was US$ 478.8 million, up by US$ 226.3 million from the first quarter of 2021. Higher metal prices and price changes accounted for the increase, as did higher sales volumes.
The current quarter's net earnings were US$ 378.1 million, up US$ 223.9 million from the first quarter of 2021, owing mostly to higher gross profit.
At market close on May 26, the LUN stock closed 0.5% higher at C$ 10.93 per share.
Teck Resources Limited (TSX:TECK.B)
The diversified miner explores and produces copper, zinc, oil sands, and coal. Teck recently announced the beginning of a Zinc Satellite programme aimed at unlocking value from Teck's portfolio in the Americas and Australia, including five significant zinc resources.
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In Q1 2022, adjusted profit reached a quarterly high of C$ 1.6 billion, or $3.02 per share, more than four times greater than the same quarter in 2021.
First Quantum Minerals Ltd. (TSX:FM)
First Quantum is in the mining business with a wide range of operations. The company produces copper in concentrate, copper anode, gold, zinc, silver, and other metals.
Compared to the fourth quarter of the previous year, First Quantum reported increases in gross profit (16%) and adjusted earnings (57%) in Q1 2022.
In Q1 2022, the sales revenues increased to US$ 2,163 million from US$ 1,622 million in Q1 2021. Meanwhile, the FM stock surged 0.5 per cent during the trading session and closed at C$ 34.9 apiece.
First Quantum distributed a semi-annual dividend of C$ 0.005 and has a yield of 0.02 per cent.
Agnico Eagle Mines Limited (TSX:AEM)
Agnico is a Canadian gold miner with operations in Mexico and Finland. It also owns half of the Malartic mine in Canada. Agnico only had one mine, LaRonde, until 2008, when it began acquiring other mines and focused on growing gold production in lower-risk areas.
In the first quarter of 2022, payable gold production was 660,604 ounces. Payable gold production is estimated to be between 3.2 and 3.4 million ounces in 2022.
Agnico declared a dividend of US$ 0.4 per unit to its shareholders as of record on June 1, 2022. The dividend is expected to be paid on June 15, 2022.
The AEM stock closed at C$ 68.53 per share after declining 2.4% on Thursday.
Wheaton Precious Metals Corp. (TSX:WPM)
The WPM stock could be for long-term investors as Wheaton Precious Metals Corporation has more than 20 long-term purchase agreements for cobalt and precious metals.
Wheaton had a solid start in 2022 and generated more than US$ 210 million in operating cash flow and distributed value to existing shareholders through a competitive dividend.
In Q1 2022, the company increased the dividend by seven per cent year-over-year (YoY) and announced a dividend of US$ 0.15 per share.
The WPM stock was priced at C$ 54.1 apiece at market close on May 26.
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Please note, the above content constitutes a very preliminary observation or view based on digital trends and is of limited scope without any in-depth fundamental valuation or technical analysis. Any interest in stocks or sectors should be thoroughly evaluated taking into consideration the associated risks.
