Please ensure Javascript is enabled for purposes of website accessibility

Why Allied Nevada Gold's Shares Are Shining Today

By Travis Hoium - Apr 9, 2013 at 5:30PM

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

Is this meaningful or just another movement?

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 gold miner Allied Nevada Gold (NYSEMKT: ANV) shot 27% higher today, after the company reported preliminary first-quarter results.

So what: The company said it put 9.6 million tons of ore on leach pads that should generate approximately 106,473 ounces of gold and 1,359,467 ounces of silver in the quarter. Actual sales were 27,256 ounces of gold and 174,766 ounces of silver.  

Now what: The company's Hycroft mine is now beginning to perform as management expected, and there appears to be momentum going forward. Allied has purchased about 58% of the $1.24 billion in capital to expand the mine, and the expansion will start up in 2015. Final results will be released during the week of May 6, and then we'll find out whether the company can beat expectations, something it hasn't done in more than a year.

Interested in more info on Allied Nevada Gold Corp.? Add it to your watchlist by clicking here.

Invest Smarter with The Motley Fool

Join Over 1 Million Premium Members Receiving…

  • New Stock Picks Each Month
  • Detailed Analysis of Companies
  • Model Portfolios
  • Live Streaming During Market Hours
  • And Much More
Get Started Now

Related Articles

Motley Fool Returns

Motley Fool Stock Advisor

Market-beating stocks from our award-winning service.

Stock Advisor Returns
330%
 
S&P 500 Returns
115%

Calculated by average return of all stock recommendations since inception of the Stock Advisor service in February of 2002. Returns as of 05/22/2022.

Discounted offers are only available to new members. Stock Advisor list price is $199 per year.

Premium Investing Services

Invest better with The Motley Fool. Get stock recommendations, portfolio guidance, and more from The Motley Fool's premium services.