Coeur Mining: A Most Predictable Drama

One really must sympathise with investors in Coeur Mining (CDE 7.87%). The stock appears to be engaged in a rather tiresome oscillation – up one day, down the next. Though, frankly, it’s hardly rocket science. One observes the price of precious metals, and, voilà, the share price follows suit. A most predictable drama, wouldn’t you agree?

Coeur, as it were, digs up gold (and silver, zinc, and lead, though the gold is the rather more glamorous pursuit). When gold deigns to rise, so too does Coeur’s stock. When gold decides to have a little lie-down, Coeur follows. Today, gold is having a decidedly off day, and Coeur is obligingly mirroring its mood – down 8% as of this morning. One almost feels sorry for the analysts trying to explain it.

A Spot of Precious Metal Volatility

Gold, having reached a peak of $5,419.80 per ounce on January 28th, has been rather enjoying a little tumble. TradingEconomics.com reports a dip towards $4,500 in early February. It briefly rallied, then retreated, then rallied again, then… well, you get the picture. It’s currently languishing at $4,855. Honestly, the market is behaving like a rather spoiled child.

Coeur’s silver holdings aren’t exactly offering a buffer against this volatility. Like gold, silver peaked on January 28th at $116.58 per ounce, before deciding to take a rather precipitous drop to $66. It bounced back above $80 – a number which seems to hold some peculiar significance for silver – but hasn’t managed to maintain the altitude. It’s currently at $72.69, looking rather forlorn. One suspects the silver market has a touch of the dramatics about it.

A Buying Opportunity, Perhaps?

What does the future hold for Coeur? We shall have a clue next week. They’ve announced they’ll be presenting at the BMO Global Metals, Mining & Critical Minerals conference in Florida on February 24th. One anticipates a carefully curated presentation, naturally.

Precisely what they will say remains to be seen, but with Coeur stock trading at less than 12 times forward earnings, investors are likely to seize upon any remotely positive news as an excuse to buy. A perfectly reasonable, if slightly desperate, strategy, wouldn’t you say?

If pressed, I’d venture a modest wager on a rise. It’s hardly a bold prediction, but then again, boldness is so dreadfully vulgar. One simply observes the patterns, and the rest, as they say, is merely speculation. Though, naturally, one hopes for a little excitement. A stagnant market is simply dreadful.

2026-02-17 18:33

A Spot of Precious Metal Volatility

A Buying Opportunity, Perhaps?

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