3 Cash Heavy Industrial Metals & Minerals Stocks That Analysts Rate As Buy

Includes: AUMN, GSM, UEC
by: ZetaKap

Interested in industrial metals & minerals stocks? Do you prefer stocks that analysts rate as 'Buy'? Do you feel better knowing your favorite companies have enough cash to cover their operating expenses for a very long time? For ideas on how to start your own search, we ran a screen.

The Current ratio is a liquidity ratio used to determine a company's financial health. The metric illustrates how easily a firm can pay back its short obligations all at once through current assets. A company that has a current ratio of one or less is generally a liquidity red flag. Now this doesn't mean the company will go bankrupt tomorrow, but it also doesn't bode well for the company, and may indicate that it could have an issue paying back upcoming obligations.

The Quick ratio measures a company's ability to use its cash or assets to extinguish its current liabilities immediately. Quick assets include assets that presumably can be converted to cash at close to their book values. A company with a Quick Ratio of less than 1 cannot currently pay back its current liabilities. The quick ratio is more conservative than the Current Ratio because it excludes inventory from current assets, since some companies have difficulty turning their inventory into cash. If short-term obligations need to be paid off immediately, sometimes the current ratio would overestimate a company's short-term financial strength. In general, the higher the ratio, the greater the company's liquidity (i.e., the better able to meet current obligations using liquid assets).

We first looked for industrial metals & minerals stocks. We then looked for companies that analysts rate as "Buy" (2 < mean recommendation < 3). We next screened for businesses that have strong liquidity (Current Ratio>2)(Quick Ratio>2). We did not screen out any market caps.

Do you think these stocks have higher to rise? Use our list to help with your own analysis.

1) Uranium Energy Corp. (NYSEMKT:UEC)

Sector: Basic Materials
Industry: Industrial Metals & Minerals
Market Cap: $172.41M
Beta: 2.37

Uranium Energy Corp. has a Analysts' Rating of 2.50 and Current Ratio of 4.21 and Quick Ratio of 3.58. The short interest was 16.42% as of 05/21/2012. Uranium Energy Corp. engages in the exploration and development of mineral properties in the United States and Paraguay. The company primarily explores for uranium. As of July 31, 2011, it had mineral properties covering 41,225 acres located in the States of Arizona, Colorado, New Mexico, Texas, and Wyoming; and 247,000 acres located in the area of Coronel Oviedo, Paraguay.

2) Golden Minerals Company (NYSEMKT:AUMN)

Sector: Basic Materials
Industry: Industrial Metals & Minerals
Market Cap: $145.65M
Beta: -

Golden Minerals Company has a Analysts' Rating of 1.70 and Current Ratio of 2.95 and Quick Ratio of 2.55. The short interest was 14.04% as of 05/21/2012. Golden Minerals Company engages in the exploration and development of precious metals and other mineral properties in Mexico and South America. The comapny explores for gold, silver, copper, zinc, and lead ores, as well as base metals. It primarily owns and operates Velardena and Chicago properties located in the State of Durango, Mexico.

3) Globe Specialty Metals, Inc. (NASDAQ:GSM)

Sector: Basic Materials
Industry: Industrial Metals & Minerals
Market Cap: $891.59M
Beta: -

Globe Specialty Metals, Inc. has a Analysts' Rating of 2.10 and Current Ratio of 3.36 and Quick Ratio of 2.30. The short interest was 5.93% as of 05/21/2012. Globe Specialty Metals, Inc., together with its subsidiaries, produces and sells silicon metal and silicon-based alloys in North America, Europe, South America, and Asia. The company primarily offers silicon metal that is used as a raw material for silicone compounds, aluminum, and polysilicon. It also produces silicon-based alloys, such as ferrosilicon; magnesium-ferrosilicon-based alloys known as nodularizers; ferrosilicon-based alloys known as inoculants; calcium silicon alloys; and cored-wire silicon-based alloy products, as well as carbon electrodes, silica fume, and fines.

*Company profiles were sourced from Finviz. Financial data was sourced from Finviz.

Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.

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