Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, gold and copper miner Northgate Minerals
With that in mind, let's take a closer look at Northgate's business and see what CAPS investors are saying about the stock right now.
|Headquarters (Founded)||Toronto, Canada (1919)|
|Market Cap||$954.7 million|
|Industry||Oil and gas drilling|
|Trailing-12-Month Revenue||$482.8 million|
CEO Richard Hall (since July 2011)
CFO Jon Douglas (since June 2001)
|Return on Equity (Average, Past 3 Years)||(7.2%)|
|Cash/Debt||$308.1 million / $153.3 million|
Sources: Capital IQ (a division of Standard & Poor's) and Motley Fool CAPS.
On CAPS, 97% of the 1,709 members who have rated Northgate believe the stock will outperform the S&P 500 going forward. These bulls include All-Stars FAOFool and TSIF, both of whom are ranked in the top 3% of our community.
Just a couple of months ago, FAOFool tapped Northgate as a golden bargain opportunity:
Simple math ... considerable reserves make NXG cheap. This company has proven it knows how to mine gold. Unless gold prices tank completely in the coming years, not expected, NXG will get a proper valuation eventually ... and that means a higher price.
Over the next five years, Northgate is even expected to grow its bottom line at a brisk rate of 37% annually. That's much faster than other gold stocks like Barrick
CAPS All-Star TSIF elaborates on the Northgate bull case:
It's been spiking and dropping with "the news" the last two years, trading in a $2.60 to $3.20 range. Many owners of "miner" stock are fairly loyal, but there are enough speculators in the commodities and enough movement with the gold markets that the pops and drops pick up and drop off a lot of trades over time. I'm hopeful that while it will take time for the opportunity to mature that Northgates' purchase of Primero will help pop Northgate out of its lull. Our resident Gold Miner Expert [Christopher Barker] also does, and I respect his analysis and hope his enthusiasm is contagious!
What do you think about Northgate, or any other stock for that matter? If you want to retire rich, you need to put together the best portfolio you can. Owning exceptional stocks is a surefire way to secure your financial future, and on Motley Fool CAPS, thousands of investors are working every day to find them. CAPS is 100% free, so get started!