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:

"Over the last couple of months, we have been buying a lot of companies. The seniors include Goldcorp Inc. It has shown a strong growth profile. Over the last year, it has brought three new mines on-stream: Éléonore in Quebec, Cochenour in Ontario and Cerro Negro in Argentina. It has a good jurisdictional-risk profile, operating as it does mainly in Canada and the Americas. And it has the lowest net debt to market cap of any major mining company at 24%. The sector average is about 47%. Goldcorp is a disciplined company. Remember that after its hostile offer for Osisko Mining, Osisko found white knights in Agnico Eagle Mines and Yamana Gold Goldcorp then raised its offer, but after Agnico and Yamana raised theirs in turn, Goldcorp walked away. That's unusual. Most companies let ego get in the way in battles of this sort. Having increased its line of credit and sold off its shares in Tahoe Resources, Goldcorp is now poised to make a major acquisition." read more >

Phil Russo, Rayleigh Capital (6/15/15)
"We continue to be of the view that Goldcorp Inc.'s movements to enhance its liquidity profile are to support its immediate capital commitments (capex and dividend) and improve its financial flexibility. . .the company presents a compelling deep value play for those investors who can hold for successive quarters in anticipation of incrementally positive news flow ahead. We note that 2015 production guidance was reaffirmed."

Andrew Kaip, BMO Capital Markets (6/15/15)
"In our view, Goldcorp Inc. offers the newest portfolio of low-cost mines among the North American senior gold producers, which will drive $0.8B (5.5% yield) in 2016 estimated free cash flow at the current gold price. An Outperform rating and target price of $22.00 for shares of the company is supported by long-term company fundamentals that will provide investor exposure to reasonable valuations predicated on a portfolio with the capacity to rebuild Goldcorp's balance sheet over the next couple of years."

"Goldcorp Inc. is a high-quality gold miner. It has a very manageable debt position and low costs and has been taking advantage of the current downturn in the market." read more >

"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."

More Expert Comments

Experts Commenting on This Company

Randall Abramson, Fund Manager – Trapeze Asset Management
Ralph Aldis, Portfolio Manager, Gold and Natural Resources – U.S. Global Investors
Sam Crittenden, Research Analyst – RBC Capital Markets
Adrian Day, Founder – Adrian Day Asset Management
Michael Gray, Analyst – Macquarie Capital Markets
Richard Gray, Analyst – Cormark Securities
Jeb Handwerger, Author Gold Stock Trades
David Haughton – BMO Capital Markets
Louis James, Analyst – Casey Research
Andrew Kaip, Analyst – BMO Capital Markets
John Kaiser, Editor and Publisher – Kaiser Research Online
Alec Kodatsky – CIBC World Markets
Tony Lesiak – Canaccord Genuity
Kevin MacKenzie, Analyst – Salman Partners
Chris Mancini, Research Analyst – Gabelli Gold Fund
David Morgan, Publisher – Silver Investor
Keith Phillips, Managing Director – Cowen & Co.
Phil Russo, Research Associate – Raymond James
David H. Smith, Analyst – Silver-Investor.com
Chris Thompson, Mining Analyst – Raymond James
Josh Wolfson, VP, Senior Analyst Gold & Precious Metals – Dundee Capital Markets

The information provided above is from analysts, newsletters and other contributors. Please contact the company and visit its website before making an investment decision.
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