Why Allied Nevada Gold Corp.'s Shares Popped Today

Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.

What: Shares of Allied Nevada Gold Corp. (NYSEMKT: ANV  ) jumped as much as 13% today after releasing preliminary production figures.

So what: Preliminary numbers show that fourth-quarter gold production was up 45% from a year ago, to 60,460 ounces, and silver production was up 64%, to 352,922 ounces. Initial guidance for 2014 was set at 230,000 to 250,000 ounces of gold, and 1.7 million to 2.0 million ounces of silver. 

Now what: If the 2014 numbers are reached, it would be another year of nearly 50% production growth. The big question mark is if gold and silver prices will remain where they are, because results will be leveraged on the price of the underlying commodity. I'm not betting on a further rise in gold, so I won't be buying Allied Nevada today; but for those who are long gold, the increased production is a great sign for future results.

Long-term stocks to buy now
One of the dirty secrets that few finance professionals will openly admit is the fact that dividend stocks, as a group, handily outperform their non-dividend-paying brethren and metals long term. The reasons for this are too numerous to list here, but you can rest assured that it's true. However, knowing this is only half the battle. The other half is identifying which dividend stocks, in particular, are the best. With this in mind, our top analysts put together a free list of nine high-yielding stocks that should be in every income investor's portfolio. To learn the identity of these stocks instantly and for free, all you have to do is click here now.


Read/Post Comments (0) | Recommend This Article (3)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

Be the first one to comment on this article.

DocumentId: 2789813, ~/Articles/ArticleHandler.aspx, 4/16/2014 6:20:43 AM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...


Advertisement