The S&P/TSX Composite Index (INDEXTSI:OSPTX) declined last week, finishing the period at 19,778.04.
Market watchers were focused on Canada’s southern neighbor as the US Federal Reserve met once again. The central bank opted to leave rates flat, but officials indicated they see one more hike in 2023 before two cuts next year.
Against that backdrop, some resource juniors listed on the TSX saw their share prices go up last week. Here’s a look at the five biggest gainers and the factors that moved their share prices during the period.
1. Arizona Metals (TSX:AMC)
Weekly gain: 21.54 percent; market cap: C$366.69 million; current share price: C$3.16
As its name suggests, Arizona Metals is focused on Arizona. The company owns the Kay Mine project in Yavapai County, as well as the Sugarloaf Peak property in La Paz County. The former is a steeply dipping volcanogenic massive sulfide deposit, while the latter is a heap-leach, open-pit target; both assets have been worked on historically.
There was no fresh news from Arizona Metals last week, but its share price rose over 20 percent to close at C$3.16.
2. Skeena Resources (TSX:SKE)
Weekly gain: 7.87 percent; market cap: C$603.93 million; current share price: C$6.85
Explorer and developer Skeena Resources is working to revitalize the past-producing Eskay Creek and Snip properties, both located in BC’s Golden Triangle area. The company completed a feasibility study for Eskay Creek in the third quarter of 2022, and plans to release a definitive feasibility study in the fourth quarter of this year. Skeena’s latest announcement came on September 5, when it released an updated resource estimate for Snip.
Despite the lack of news, the company’s share price rose 7.87 percent last week to finish at C$6.85.
3. Valeura Energy (TSX:VLE)
Weekly gain: 7.72 percent; market cap: C$283.75 million; current share price: C$2.79
With a focus on Thailand and Turkey, Valeura Energy is pursuing the exploration, development and production of petroleum and natural gas. Its strategy is to grow through M&A activity in Southeast Asia.
Last Monday (September 18), the company announced results from two appraisal wells drilled at the Thailand-based Wassana oil field, saying they confirmed net oil pay of 72 feet and 75 feet; the wells also confirmed the presence of deeper oil than was previously proven. Valeura is now in the process of remapping Wassana.
‘As a result of a thorough review of the asset, we are now facing several opportunities to increase the scale of the Wassana field, and see the potential for further reserves development, increased production, and an extension of the field’s economic life well into the 2030,’ said Sean Guest, the company’s president and CEO.
Valeura’s share price rose 7.72 percent on the news, closing the period at C$2.79.
4. Lundin Gold (TSX:LUG)
Weekly gain: 5.86 percent; market cap: C$3.86 billion; current share price: C$16.25
Lundin Gold is known for its Fruta del Norte gold mine in Southeast Ecuador, which it says is among the highest-grade operating gold mines in the world. The asset has been in production since 2019, and according to the company has probable reserves of 4.92 million ounces at an average grade of 8.7 grams per metric ton gold.
Lundin Gold didn’t share any fresh news this past week, but still rose 5.86 percent to end at C$16.25.
5. Liberty Gold (TSX:LGD)
Weekly gain: 5.66 percent; market cap: C$89.38 million; current share price: C$0.28
Liberty Gold has honed its efforts on the Great Basin region of the US, where it is advancing the Black Pine and Goldstrike projects. The former is located in Idaho, while the latter is in Utah, but both are oxide gold assets. The company describes oxide gold as ‘highly valued but increasingly rare,’ and says it is looking to advance large and profitable properties.
Last Monday, Liberty Gold announced the completion of a previously announced royalty deal, saying that it acquired an existing 0.5 percent net smelter royalty from a private company on certain claims at Black Pine; it then granted an affiliate of Wheaton Precious Metals (TSX:WPM,NYSE:WPM) a new 0.5 percent net smelter royalty on Black Pine. Aside from that, Liberty Gold closed a non-brokered private placement for proceeds of US$5.7 million.
The news sent the company’s share price up 5.66 percent to hit C$0.28.
FAQs for TSX stocks
How big is the TSX?
The TSX is Canada’s biggest stock exchange, and as of September 8, 2023, it had 1,789 listed stocks for a total market value of more than C$3.79 trillion. The TSX is often ranked as one of the 10 largest stock exchanges in the world.
Why do companies list on the TSX?
Listing on one of the world’s largest stock exchanges provides companies with greater market exposure, the ability to raise capital and an opportunity to build a strong financial reputation. In its technical guide to listing, the TSX states the exchange “offers companies a dynamic market to raise capital, enhanced liquidity, specialized indices, visibility and analyst coverage.’
What sectors are included in the S&P/TSX Composite Index?
The S&P/TSX Composite Index tracks more than 230 constituents across a wide range of sectors, of which the top five by weight are: financials (30 percent), energy (18 percent), industrials (13.5 percent), materials (11.9 percent) and information technology (8 percent).
What was the highest point for the TSX?
The TSX hit a record high of 22,213.07 points in April 2022. While the exchange was at 20,074.65 points as of September 8, 2023, there are high expectations that the TSX could move past the 22,000 level by the end of 2023 to set new record highs.
Data for 5 Top Weekly TSX Performers articles is retrieved each Friday after market close using TradingView’s stock screener. Only companies with market capitalizations greater than C$50 million prior to the week’s gains are included. Companies within the non-energy minerals and energy minerals are considered.
Article by Charlotte McLeod; FAQs by Melissa Pistilli.
Securities Disclosure: I, Charlotte McLeod, hold no direct investment interest in any company mentioned in this article.
Securities Disclosure: I, Melissa Pistilli, hold no direct investment interest in any company mentioned in this article.