Gold Resource Shares Dropped: What You Need to Know
Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.
What: Shares of metals explorer and producer Gold Resource (ASE: GORO) lost some of their shine today, falling as much as 10.3% on above-average trading volume.
So what: After rising relentlessly throughout August, gold prices fell by more than $100 per ounce today. What's worse, Gold Resource actually digs up a lot more silver than gold, and you may have noticed silver prices plunging even steeper than gold today.
Now what: Crashing silver prices notwithstanding, Gold Resource is taking a much harder beating than silver peers Silver Wheaton (NYS: SLW) , Silver Standard Resources (NAS: SSRI) , and Pan American Silver (NAS: PAAS) . That's because Gold Resource's management team looks anything but sterling -- a fact that has imparted a one-star CAPS rating on this stock amid a sea of more respectable competitors.
Interested in more info on Gold Resource? Add it to your watchlist.
At the time this article was published Fool contributor Anders Bylund holds no position in any of the companies discussed here. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool is investors writing for investors.
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