DJ HOT STOCKS TO WATCH IN BARRON'S: Newmont Mining, Capmark Financial
Though gold has been weak since hitting its high of 1,900 in September, it is still up 80% since 2008. Gold-mining stocks haven't fared as well. Gold has historically outperformed gold-mining stocks, but the ratio between the two is at an all-time high. That could be an opportunity for investors, especially if gold prices move back up as many believe they will, given economic and political troubles in Europe and the Federal Reserve's willingness to print ever more money to stoke the sluggish domestic economy. Newmont Mining Corp., May 21, 2012 (Dow Jones Commodities News Select via Comtex) --The following are companies mentioned in Barron's whose stocks are expected to trade actively.
the world's second-largest gold producer, after Barrick Gold Corp. (ABX), and the only gold-mining stock in the S&P 500--is an attractive way to play this trend. Shares could top 70 in a year.
Capmark Financial Group Inc. (CPMK), a former major commercial-real-estate lender, whose failure wiped out investors at the height of the financial crisis, could make at least partial amends over the next two or three years. Capmark shares could go as high as 29 from a recent 22.75 if the company continues to unload its commercial real estate at better-than-expected prices.
-By Dow Jones Newswires; write to hotstocks@dowjones.com
(END) Dow Jones Newswires
05-21-12 0932ET
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