Top Mining Stocks for Q3 2022

POYYF, METC, and AMR are top for value, growth, and momentum, respectively

Many investors historically have turned to safe haven assets such as precious metals in times of economic and political turmoil. One way to gain exposure is by owning companies in the metals and mining industry, which are involved in the exploration, extraction, and sale of metals and other minerals. These materials are used in a wide range of applications in jewelry making, industry, technology, aviation, aerospace, and more. Some of the industry’s biggest companies globally include Franco-Nevada Corp. and Wheaton Precious Metals Corp.

Mining companies have significantly outperformed the broader market in the last year. The benchmark SPDR S&P Metals & Mining ETF (XME), an exchange-traded fund, has provided one-year trailing total returns of 17.3% compared with -3.5% for the Russell 1000 Index. Prices of many commodities, including metals, have soared following Russia's invasion of Ukraine in February. This has led to be gains in selected mining stocks.

Here are the top three mining stocks with the best value, the fastest earnings growth, and the most momentum. All figures throughout are as of June 8, 2022.

Best Value Mining Stocks

These are the mining stocks with the lowest 12-month trailing price-to-earnings (P/E) ratio. Because profits can be returned to shareholders in the form of dividends and buybacks, a low P/E ratio shows that you’re paying less for each dollar of profit generated.

Best Value Mining Stocks
  Price ($) Market Capitalization (Market Cap) ($B) 12-Month Trailing P/E Ratio
Polymetal International PLC (POYYF) 3.03 1.4 1.6
GCM Mining Corp. (GCM.TO) CA$4.11 CA$0.4 3.3
Metals X Ltd. (MLXEF) 0.35 0.3 3.6

Source: YCharts

  • Polymetal International PLC: Polymetal International PLC is a Cyprus-based precious metals mining company. It focuses on extraction, processing, and reclamation of gold, silver, and copper sites in Russia and Kazakhstan.
  • GCM Mining Corp.: GCM Mining is a Canada-based gold and silver mining company. The company's operations are focused in Colombia and elsewhere in Latin America. GCM Mining also trades over the counter in the U.S. under the ticker TPRFF. On May 16, the company declared a monthly dividend of CA$0.015 ($0.012) per common share. The dividend is payable on June 15 to shareholders of record as of May 31, 2022.
  • Metals X Ltd.: Metals X is an Australia-based company engaged in the exploration and development of metals mining sites and the operation of tin mines. The company's operations are focused on sites in Australia, including the Wingellina Nickel-Cobalt Project.

Fastest Growing Mining Stocks

These are the top mining stocks as ranked by a growth model that scores companies based on a 50/50 weighting of their most recent quarterly year-over-year (YOY) percentage revenue growth and most recent quarterly YOY earnings-per-share (EPS) growth. Both sales and earnings are critical factors in the success of a company. Therefore, ranking companies by only one growth metric makes a ranking susceptible to the accounting anomalies of that quarter (such as changes in tax law or restructuring costs) that may make one figure or the other unrepresentative of the business in general. Companies with quarterly EPS or revenue growth of more than 2,500% were excluded as outliers.

Fastest Growing Mining Stocks
  Price ($) Market Cap ($B) EPS Growth (%) Revenue Growth (%)
Ramaco Resources Inc. (METC) 17.69 0.8 820.0 256.4
MP Materials Corp. (MP) 39.26 7.0 400.0 177.2
OceanaGold Corp. (OGC.TO) CA$2.98 CA$2.1 450.3 92.0

Source: YCharts

  • Ramaco Resources Inc.: Ramaco Resources operates and develops metallurgical coal properties. The company has mineral properties and operations in West Virginia, Virginia, and Pennsylvania, including deep mines and surface mines.
  • MP Materials Corp.: MP Materials is a rare earth materials mining and processing company. It owns and operates the only active, scaled mining and processing site for rare earth materials in the U.S. On May 5, the company announced earnings for Q1 2022. Net income surged more than fivefold as revenues nearly tripled year-over-year (YOY). MP Materials attributed the performance to increases in both the realized price and metric tons of rare earth oxide sold, as well as to higher demand.
  • OceanaGold Corp.: OceanaGold is an Australia-based multinational gold production company. it explores, develops, and operates mineral mining projects in the Philippines, New Zealand, and the U.S. OceanaGold also trades over-the-counter in the U.S. under the ticker OCANF. OceanaGold reported Q1 2022 earnings on April 28. Net profit grew nearly fivefold as revenues surged to a quarterly record YOY. Record gold production at the company's Haile operation in the U.S. helped to fuel gains.

Mining Stocks with the Most Momentum

These are the mining stocks that had the highest total return over the last 12 months.

Mining Stocks with the Most Momentum
  Price ($) Market Cap ($B) 12-Month Trailing Total Return (%)
Alpha Metallurgical Resources Inc. (AMR) 174.01 3.3 757.2
Lake Resources NL (LLKKF) 1.04 1.4 412.1
Asante Gold Corp. (ASE.CX) CA$1.65 CA$.04 340.0
Russell 1000 Index N/A N/A -3.5
SPDR S&P Metals & Mining ETF (XME) N/A N/A 17.3

Source: YCharts

  • Alpha Metallurgical Resources Inc.: Alpha Metallurgical Resources is a mining company that supplies metallurgical products to the steel industry. The company extracts, processes, and markets coal for sale to steel and coke producers, electric utilities, and industrial clients. It operates in Virginia and West Virginia. On June 3, the company paid the remaining $99.4 million principal of its term loan. That payment eliminated Alpha Metallurgical's long-term debt after paying over $550 million toward that goal in the last year.
  • Lake Resources NL: Lake Resources is an Australia-based lithium producer of high-purity lithium. The product is favored by electric vehicle makers (EV) for the production car batteries. It has its four lithium brine projects in Argentina.
  • Asante Gold Corp.: Asante Gold is a Canada-based gold exploration and development company. Its portfolio of includes multiple sites in Ghana. Asante Gold shares trade in the U.S. under the ticker ASGOF. On June 2 Asante Gold reported that it had completed the processing of refurbishing, commissioning, and re-start of operations of the process plant at the Bibiani Gold Mine. The mine, which was down for maintenance since last September, expected to deliver gold beginning in the third quarter of 2022.

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  1. YCharts. “Financial Data.”

  2. World Bank. "Commodity prices surge due to the war in Ukraine."

  3. GCM Mining Corp. "GCM Mining Declares June 15, 2022 Monthly Dividend."

  4. MP Materials Corp. "MP Materials Reports First Quarter 2022 Results."

  5. OceanaGold Corp. "OCEANAGOLD REPORTS FIRST QUARTER 2022 FINANCIAL RESULTS," Pages 2-3.

  6. Alpha Metallurgical Resources Inc. "Alpha Eliminates Remaining Term Loan Balance."

  7. Asante Gold Corp. "ASANTE GOLD ANNOUNCES BIBIANI GOLD MINE START OF PROCESS PLANT OPERATIONS."

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