5 Gold Mining Stocks With Major Upside

NEW YORK (Stockpickr) -- Thanks to a strong upward move in recent months, gold prices are back up around $1,700 an ounce, not far from the $1,900 peak seen in the summer of 2011. For anyone who has owned gold since it traded for just $1,100 an ounce at the start of 2011, these have been happy times indeed.

The same can’t be said for companies that mine gold. These miners have traded down from their highs on concerns that rising costs will crimp profits. Yet concerns about mining profits increasingly appear overblown.

Though production costs had been rising in recent quarters, they now appear to be leveling off. And at current levels, their expenses still ensure ample profits, assuming gold prices hang in there around $1,700.

Here are five gold mining stocks that look like solid bargains, with considerable upside even if gold prices themselves fail to rally further.

Barrick Gold

Any gold mining portfolio needs exposure to Barrick Gold (ABX), which is the world’s largest gold producer, with 26 mines spread across the globe. Despite its massive heft, investors soured on the company’s lack of discipline when it came time to measure investments in each mine for its potential return.  (more)