Goldcorp comprises 12.12% of the GDX with a market value of $873.16 million and a total of 20.42 million shares.
Company Profile: Goldcorp is engaged in the acquisition, exploration, development and operation of precious metal properties throughout North and South America. Goldcorp produced 609,500 ounces in the second quarter of 2010, up from 582,400 a year earlier. The company recently outbid Eldorado Gold for Andean Resources by offering $3.4 billion for the company, a 35% premium to the share price.
Income Statement: Goldcorp missed on earnings in the second quarter reporting an adjusted profit of 27 cents a share, slightly below expectations. The company delivered record-high cash flow of $382.6 million. Total cash costs were $448 per ounce in the latest quarter vs. $402 per ounce in the same period in 2009.
Balance Sheet: Goldcorp has $732.6 million in long-term debt, according the company's second-quarter report and $497.2 million in cash and cash equivalents.
Analyst Ratings: Goldcorp has 13 buy ratings on its stock, which amounts to 65% of total ratings, with an average price target of $52.99. The company trades at a forward P/E ratio of 24.6, which is at a slight premium to the S&P. The stock is up 8.69% year-to-date.
Newmont Mining is 11.34% of the GDX with a market value of $853.60 million and a total of 13.57 million shares.
Company Profile: Newmont Mining is one of the largest gold mining companies in the world with a $41.15 billion market cap. It has assets in the U.S., Australia, Peru, Indonesia, Ghana, Canada, New Zealand and Mexico. As of the fourth quarter of 2009, the company had 91.8 million ounces of proven and probable gold reserves. The company recently announced a 50% increase to its quarterly dividend to 15 cents a share.
Income Statement: For the second quarter, Newmont reported adjusted income of 77 cents a share, which was below expectations. Sales also missed the mark amounting to $2.15 billion versus the $2.22 billion expected. Cash costs grew to $492 an ounce as operating costs at its Australian Boddington mine grew due to lower gold grades than the company had anticipated. Newmont is still expecting to produce 5.3 million to 5.5 million ounces of gold this year, just at higher costs.