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Goldcorp Inc.

Goldcorp is now the world's lowest-cost, million-ounce gold producer. The acquisition of Wheaton River Minerals Ltd. has increased gold production, gold reserves and resources and given the company one of the fastest growth curves in the industry. It has strengthened Goldcorp's already solid balance sheet and lowered production costs per ounce even further. Goldcorp is in excellent financial condition. It has no debt, a large treasury, strong cash flow and earnings and pays a dividend 12 times per year. Goldcorp is completely unhedged.

Expert Comments:

"Probably the most successful gold company at the moment is Goldcorp Inc. It has done a good job of acquiring deposits and putting them successfully into production." read more >

Phil Russo, Raymond James (5/1/15)
"We believe a change in dynamic for Goldcorp Inc. (such as a mergers and acquisitions event or the like) may provide the impetus to reset the dividend and allocate surplus cash flows to the balance sheet, which does still remain in a relatively healthy position. . .at current levels, the risk/reward proposition in owning the company stock should remain appealing to investors given the recent selloff, supporting our Outperform rating."

"Our favorite in the large-cap gold space is Goldcorp Inc. because it is one of the lowest-cost producers, has years of significant growth ahead, has a solid balance sheet, and trades at a reasonable valuation below its NAV. We think we're getting a margin of safety, not just from the price to our appraised value but within the underlying aspects of the business, the fundamentals. . the reserves should lift nicely this year and projects not in the official pipeline yet could come to the fore with the potential to add millions of ounces. But the key catalyst is the price of gold itself because Goldcorp needs to make, like all others, a higher operating profit per ounce for the market to get excited. Part of that should come from a decline in the U.S. dollar, however, the U.S. dollar continues to show remarkable strength. To have this kind of move in a currency, especially in the world's reserve currency, in such a short period, is not normal." read more >

Phil Russo, Raymond James (4/13/15)
"Goldcorp Inc. hosted an investor day in Toronto on Thursday, April 9. We are maintaining our Strong Buy rating. . .we believe the stock's relative underperformance year-to-date can in part be attributed to the market's aversion for ramp-up risk at its key growth projects in 2015—Cerro Negro and Éléonore. We continue to view the quarter-over-quarter profile for these mines as attainable, with Q1/15 production results an encouraging start to the year, and anticipate the stock to unhinge from current levels as this risk outlook diminishes. . .we believe investors will be rewarded. . .as the company's asset base generates increasing cash flow throughout the year."

Josh Wolfson, Dundee Capital Markets (4/10/15)
"On April 9, Goldcorp Inc. hosted an investor day. . .the company's current 5-year production outlook outlines peak production in 2017 of 3.55 Moz. . .management reiterated a commitment to its dividend. . .management reiterated its objective to generate free cash flow after dividends in 2015 (at $1,200/oz)."

Michael Gray, Macquarie Capital Markets (4/7/15)
"We reiterate our Outperform recommendation and price target of $34.00 for Goldcorp Inc. We would be buyers of the company's stock ahead of its Investor Day later this week as there could be needle-moving updates on the Penasquito expansion projects as well as clarity on the prospects of HG Young. Goldcorp is our top pick among the senior producers."

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