Why Primero Mining, Williams-Sonoma, and Callon Petroleum Jumped Today

The broader stock market plunged on fears that the situation in Ukraine could deteriorate toward an extended military conflict, but these stocks bucked the trend and finished strongly higher. Find out more about what made these stocks soar.

Mar 13, 2014 at 8:00PM
Longview

The stock market plunged today, with the Dow closing down more than 230 points, and major market averages falling 1% to 1.5%. Despite solid economic data on U.S. retail sales, investors responded to a worsening situation between Russia and Ukraine, with the prospects of more extensive military activity raising fears that the initially hoped-for quick resolution to the dispute might not come. Yet, even amid the turmoil in the broader market, Primero Mining (NYSE:PPP), Williams-Sonoma (NYSE:WSM), and Callon Petroleum (NYSE:CPE) all posted strong gains, with company-specific good news outweighing the impact of the overall market's decline.

Primero Mining jumped 11% after the precious-metals miner said that it had met its annual threshold of silver production under its silver-streaming contract with Silver Wheaton (NYSE:SLW), thereby allowing Primero to sell half of the silver produced at its San Dimas mine at the full spot price. In its contract with Primero, Silver Wheaton obtained the rights to all of the first 3.5 million ounces of annual production, paying just $4.04 per ounce plus an inflation adjustment. With San Dimas having gone above the threshold, Primero only has to sell 50% of its excess production, and investors applauded the smaller obligation given how early in the contract year Primero achieved the threshold.

Williams-Sonoma gained almost 10% following the home-furnishings retailer's fourth-quarter earnings report last night. Same-store sales were up across all of the company's divisions, with particularly strong comps of 18.3% for its West Elm furniture division, and 14.6% for Pottery Barn. Overall, 10.4% growth in comps led to better-than-expected results for both revenue and earnings, and even though Williams-Sonoma also issued guidance for the current quarter and the full fiscal year that was, in some cases, below analyst consensus, the company has a history of being conservative in its predictions. The retailer also raised its dividend, and as long as consumers keep spending, Williams-Sonoma is in a good position to capitalize from strong home sales and the accompanying projects to furnish those homes.

Callon Petroleum rose more than 9% as the Mississippi-based oil and gas exploration company reported its latest results. Revenue declined 8%, but a substantial part of that decline came from the sale of offshore fields that reduced overall production levels. Even though adjusted net income came in at break-even levels, most investors had expected Callon to lose money, and the company has done a good job of keeping production levels up overall. With the company having done so well even in a somewhat difficult pricing environment for the industry, Callon could have more room to run in the future. 

Can you find great growth stocks?
They said it couldn't be done. But David Gardner has proved them wrong, time, and time, and time again, with stock returns like 926%, 2,239%, and 4,371%. In fact, just recently, one of his favorite stocks became a 100-bagger. And he's ready to do it again. You can uncover his scientific approach to crushing the market and his carefully chosen six picks for ultimate growth instantly, because he's making this premium report free for you today. Click here now for access.

Dan Caplinger owns shares of Silver Wheaton. (USA). The Motley Fool recommends Williams-Sonoma. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

1 Key Step to Get Rich

Our mission at The Motley Fool is to help the world invest better. Whether that’s helping people overcome their fear of stocks all the way to offering clear and successful guidance on complicated-sounding options trades, we can help.

Feb 1, 2016 at 4:54PM

To be perfectly clear, this is not a get-rich action that my Foolish colleagues and I came up with. But we wouldn't argue with the approach.

A 2015 Business Insider article titled, "11 websites to bookmark if you want to get rich" rated The Motley Fool as the #1 place online to get smarter about investing.

"The Motley Fool aims to build a strong investment community, which it does by providing a variety of resources: the website, books, a newspaper column, a radio [show], and [newsletters]," wrote (the clearly insightful and talented) money reporter Kathleen Elkins. "This site has something for every type of investor, from basic lessons for beginners to investing commentary on mutual funds, stock sectors, and value for the more advanced."

Our mission at The Motley Fool is to help the world invest better, so it's nice to receive that kind of recognition. It lets us know we're doing our job.

Whether that's helping the entirely uninitiated overcome their fear of stocks all the way to offering clear and successful guidance on complicated-sounding options trades, we want to provide our readers with a boost to the next step on their journey to financial independence.

Articles and beyond

As Business Insider wrote, there are a number of resources available from the Fool for investors of all levels and styles.

In addition to the dozens of free articles we publish every day on our website, I want to highlight two must-see spots in your tour of fool.com.

For the beginning investor

Investing can seem like a Big Deal to those who have yet to buy their first stock. Many investment professionals try to infuse the conversation with jargon in order to deter individual investors from tackling it on their own (and to justify their often sky-high fees).

But the individual investor can beat the market. The real secret to investing is that it doesn't take tons of money, endless hours, or super-secret formulas that only experts possess.

That's why we created a best-selling guide that walks investors-to-be through everything they need to know to get started. And because we're so dedicated to our mission, we've made that available for free.

If you're just starting out (or want to help out someone who is), go to www.fool.com/beginners, drop in your email address, and you'll be able to instantly access the quick-read guide ... for free.

For the listener

Whether it's on the stationary exercise bike or during my daily commute, I spend a lot of time going nowhere. But I've found a way to make that time benefit me.

The Motley Fool offers five podcasts that I refer to as "binge-worthy financial information."

Motley Fool Money features a team of our analysts discussing the week's top business and investing stories, interviews, and an inside look at the stocks on our radar. It's also featured on several dozen radio stations across the country.

The hosts of Motley Fool Answers challenge the conventional wisdom on life's biggest financial issues to reveal what you really need to know to make smart money moves.

David Gardner, co-founder of The Motley Fool, is among the most respected and trusted sources on investing. And he's the host of Rule Breaker Investing, in which he shares his insights into today's most innovative and disruptive companies ... and how to profit from them.

Market Foolery is our daily look at stocks in the news, as well as the top business and investing stories.

And Industry Focus offers a deeper dive into a specific industry and the stories making headlines. Healthcare, technology, energy, consumer goods, and other industries take turns in the spotlight.

They're all informative, entertaining, and eminently listenable ... and I don't say that simply because the hosts all sit within a Nerf-gun shot of my desk. Rule Breaker Investing and Answers contain timeless advice, so you might want to go back to the beginning with those. The other three take their cues from the market, so you'll want to listen to the most recent first. All are available at www.fool.com/podcasts.

But wait, there's more

The book and the podcasts – both free ... both awesome – also come with an ongoing benefit. If you download the book, or if you enter your email address in the magical box at the podcasts page, you'll get ongoing market coverage sent straight to your inbox.

Investor Insights is valuable and enjoyable coverage of everything from macroeconomic events to investing strategies to our analyst's travels around the world to find the next big thing. Also free.

Get the book. Listen to a podcast. Sign up for Investor Insights. I'm not saying that any of those things will make you rich ... but Business Insider seems to think so.


Compare Brokers