Goldcorp took a bit of a hit today.
Goldcorp Inc (2) (C-G) - In the News
Casey's van Eeden says Goldcorp performs as expected
Goldcorp Inc (2) G
Shares issued 183,400,000 Oct 28 2003 close $ 20.47
Wednesday October 29 2003 In the News
Paul van Eeden, writing the Oct. 3 issue of Douglas Casey's International Speculator, says gold will top $1,000 an ounce in the next few years, but investors still need to be careful about which companies they invest in. Three of the most expensive companies are Goldcorp, Glamis and Newmont, but these are the companies that have performed the best as the price of gold gains momentum. Mr. Casey recommended Goldcorp in December, 2002, at $9.90. It was $18.46 at the time of his latest report. Mr. Casey has also recommended Newmont and Glamis. Mr. van Eeden says that when the general market realizes how generous the gold sector has been to investors, the rush into gold and gold-related equities is going to be like pushing Hoover Dam through a garden hose. These stocks may not have the leverage that smaller, more speculative companies have, but they represent much less operational risk and the market risk is similar across the board. Therefore, it makes sense to own them in a diversified gold-stock portfolio. Mr. van Eeden notes that neither Barrick Gold nor Placer Dome have done well recently, in spite of the rapid upsurge of gold. He blames their poor performance on their gold-hedge positions.
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