5 George Soros Stocks Trading Under $10 10/11/11
I took a look at stocks under $10 that George Soros has been accumulating, and, while some of these stocks carry the inherent risk of a cheap stock, others should not be looped into that category at all. My analysis is focused on the investments themselves and metrics useful to intermediate-term investors, rather than on George Soros’ historic trades. Here is what I found to be most useful:
Hecla Mining Company (HL): In an economic downturn, gold has always been a safe haven for investors but its use as a practical commodity is really nonexistent and investors have been turning to other metals such as silver as a refuge. Hecla Mining Company is good example of such a bolt hole and the company has just implemented a new dividend policy that makes it even more attractive. Hecla Mining Company will link dividend payments to Hecla’s average quarterly realized silver price in the preceding quarter. The policy will pay 3 cents per share of common stock if Hecla’s average realized silver price for the quarter is $40.00 per ounce and will increase or decrease by 1 cent per share for each $5.00 per ounce increase or decrease in the average silver price in the preceding quarter. Although it has gone mostly unnoticed, silver has actually outperformed gold over the past two years. In 2009 and 2010 SPDR Gold ETF (GLD) returned 23.99% and 29.27% while iShares Silver Trust (SLV) brought in returns of 47.29% and 82.14% respectively. To continue reading, click here.
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