This page evolved after I published my book How to Invest in Gold & Silver. When I was working on the 2nd Release I had an idea to create a database of information about gold and silver mining stocks. I analyzed nearly every gold and silver mining stock with a market cap over $30 million that trades in North America. Then I used my knowledge to create a future valuation for each stock. The purpose was to identify undervalued stocks. I gave each stock a rating from 1 to 5 with increments of .5. Each rating has a specific potential future valuation.
Because mining stocks have intense risk and the valuations can change quickly, these are only potential valuations. Thus, you can use this data to find leads, and then do your own analysis to find your own stocks. I will admit that I trust my valuations and invested in nearly every company with a valuation of 3.5 or higher. However, this site is for experienced investors who are willing to validate my conclusions with their own analysis. If I'm right about the future valuations of many of these stocks, then the current valuations are incredibly cheap (as of August 2011).
Investing in mining stocks is a crapshoot. No one can avoid bad stocks. For this reason, I recommend a portfolio of stocks. If you only invest in less than 10 stocks, you increase your risk. My book recommends a balanced portfolio that includes bullion, majors, mid tiers, and juniors. I think an ideal portfolio includes gold mutual funds for majors, ETFs for mid tiers, and 20 to 30 juniors. This web site can help you find leads to build that portfolio of juniors.
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