While low share price doesn’t necessarily equate to actual “cheap stocks” when it comes to value, investors can make some serious coin by betting on low-priced stocks. Some very serious coin indeed.
For example, the Royce Low Priced Stock Mutual Fund (RLPHX) has managed to post a 199.3% cumulative total return since its inception in March of 2000. That’s about 150% more than its benchmark index, the small-cap Russell 2000. And RLPHX managed to do so by betting on cheap stocks with low share prices.
For investors willing to delve into the world of cheap stocks based on share price, the rewards can be great. And right now some of the best low-priced jewels can be found in the metals and mining sector.
Many former metals and mining stock high fliers are now selling for below $10 per share as investors have abandoned commodities. Yet the longer term picture is still rosy for these cheap stocks in the metals and mining sector. Here are five of the best cheap stocks in the metals and mining sectors.