7 Banged-Up Commodity Stocks to Sell

by Louis Navellier | December 6, 2011 10:36 am

Investors are stocking up on commodity stocks amid high inflation, with the prospect of higher prices leading to higher profits. But not all commodity stocks are created equal. A lot of industrial commodities such as iron, aluminum and steel are seeing weak demand — despite inflation pushing up prices.

I watch more than 5,000 publicly traded companies with my Portfolio Grader[1] tool, ranking companies by a number of fundamental and quantitative measures. And this week, I’ve got seven commodity stocks to sell.

Here they are, in alphabetical order. Each one of these stocks gets a “D” or “F” according to my research, meaning it is a “sell” or “strong sell.”

Alcoa Inc. (NYSE:AA[2]) produces and manages aluminum, fabricated aluminum and alumina. AA finds a spot on this list after posting a loss of 35% year-to-date.

ArcelorMittal (NYSE:MT[3]) is a global steel producer that shipped approximately 85 million tons of steel in 2010. Despite such huge production, MT stock has dipped almost 50% year-to-date.

Freeport-McMoRan Copper & Gold (NYSE:FCX[4]) is involved with copper, gold and molybdenum mining. Year-to-date, FCX stock has lost 33%, compared to gains by the broader markets.

Ivanhoe Mines Ltd. (NYSE:IVN[5]) is based in British Columbia and is an international mineral explorer and developer. Since the start of 2011, IVN stock has posted an uninspiring loss of 7%.

Kinross Gold Corp. (NYSE:KGC[6]) explores, acquires, develops and operates gold properties in the U.S. Since Jan. 1, KGC stock has lost 29% and has left shareholders questioning their initial purchase.

POSCO (NYSE:PKX[7]) is based in South Korea and is a producer of integrated steel. PKX is down 19% since the start of 2011.

Vale (NYSE:VALE[8]) is a metal and mining company headquartered in Brazil. VALE stock is down 30% year-to-date, compared to a gain of almost 5% for the Dow Jones.

Get more analysis of these picks and other publicly traded stocks with Louis Navellier’s Portfolio Grader[9] tool, a 100% free stock-rating tool that measures both quantitative buying pressure and eight fundamental factors.

Endnotes:
  1. Portfolio Grader: http://navelliergrowth.investorplace.com/portfolio-grader/
  2. AA: http://studio-5.financialcontent.com/investplace/quote?Symbol=AA
  3. MT: http://studio-5.financialcontent.com/investplace/quote?Symbol=MT
  4. FCX: http://studio-5.financialcontent.com/investplace/quote?Symbol=FCX
  5. IVN: http://studio-5.financialcontent.com/investplace/quote?Symbol=IVN
  6. KGC: http://studio-5.financialcontent.com/investplace/quote?Symbol=KGC
  7. PKX: http://studio-5.financialcontent.com/investplace/quote?Symbol=PKX
  8. VALE: http://studio-5.financialcontent.com/investplace/quote?Symbol=VALE
  9. Portfolio Grader: http://navelliergrowth.investorplace.com/portfolio-grader/

Source URL: http://investorplace.com/2011/12/commodity-stocks-to-sell-aa-mt-fcx-ivn-kgc-pkx-vale/
Short URL: http://invstplc.com/1ft37rx