Gold and silver mining stocks are in focus right now, as the threat of inflation looms. A weaker U.S. dollar is driving up commodity prices, from corn and crude oil to precious metals like gold and silver, and the result is strong demand for mining stocks in 2011.
Most popular are major gold mining stocks like GoldCorp (NYSE: GG) and AngloGold Ashanti (NYSE: AU), exchange traded funds (ETFs) like the Market Vectors Gold Miners ETF (NYSE: GDX) and the Global X Silver Miners ETF (NYSE: SIL), and hard asset gold and silver funds like the iShares Silver Trust (NYSE: SLV) and the flagship SPDR Gold Trust (NYSE: GLD).
But what if you’re looking for an under-the-radar precious metals investment that could offer a lot more reward for a bit more risk? Well then check out these bargain gold and silver mining penny stocks:
Claude Resources (CGR)
Acquirer, explorer and developer of precious metal properties, Claude Resources Inc. (AMEX: CGR) has experienced tremendous growth of 108% in the past 12 months, and 49% in just the past six months. Additionally, CGR posted a quarterly revenue growth of 23% in its last income statement.
Great Basin Gold (GBC)
Next on the list is Great Basin Gold Ltd. (AMEX: GBG), which is up 51% in the past 12 months, compared to a gain of 13% for the broader market. Concerning earnings, analysts are projecting a 4-cent increase compared to the EPS GBG posted this quarter last year.
Midway Gold (MDW)
Exploration-stage company Midway Gold Crop. (AMEX: MDW) has watched its stock soar 178% in the past six months, and a whopping 110% of that was in the past three months alone. Currently, MDW is trading near the top of its 52-week range of 38 cents to $2.39.
Kimber Resources (KBX)
Since mid-July, Kimber Resources Inc. (AMEX: KBX) has gained 152% compared. Year-to-date, this penny stock is up 15%. KBX is trading near its 52-week high of $1.85.
Minco Gold (MGH)
Exploration-stage company Minco Gold Corp. (AMEX: MGH) is in the business of acquiring gold properties in China. In the past year, this penny stock is up 110%, 74% of that being in the past six months. MGH has a 52-week range of 77 cents to $2.91.
Cardero Resource (CDY)
In the past six months, mineral exploration company Cardero Resource Corp. (AMEX: CDY) has watched its stock price jump 56%. This penny stock rounds out the list with a 52-week range of $1 to $2.37.
As of this writing, Louis Navellier did not own a position in any of the stocks named here.