In the second half of 2015 - possible rise of gold mining companies

The gold's price since the beginning of the year has dropped by 3% while the USD marked upward movements. The reason behind is the reduced attractiveness of the metal as an alternative investment.

From another perspective, Bloomberg strike a balance that according to an analysis of the index "Philadelphia Stock Exchange Gold and Silver" the shares of companies with major gold mining business declined in the same time period by an average of 16%. The analysis conducted by Bloomberg indicates that the shares of mining companies relative to the gold price marked an absolute minimum for a period of 30 years.

Bloomberg notes as a probable cause "oversold" of shares of the gold mining sector. In this regard, many analysts expect the second half of the year back upward movement in these companies. As an example, Morgan Stanley raised its forecast in July by Canadian Barrick Gold Corporation (NYSE -ABX), finding attractive valuation of the company.

On the other hand, by analysis of "The Street Ratings Team" from yesterday:

The debt-to-equity ratio of 1.27 is relatively high when compared with the industry average, suggesting a need for better debt level management. We feel the stock is still not a good buy right now.

Net operating cash flow has decreased to $316.00 million or 45.98% when compared to the same quarter last year. In addition, when comparing to the industry average, the firm's growth rate is much lower.

The change in net income from the same quarter one year ago has exceeded that of the Metals & Mining industry average, but is less than that of the S&P 500.

The company's current return on equity greatly increased when compared to its ROE from the same quarter one year prior. This is a signal of significant strength within the corporation.

The Inverse correlation to Barrick Gold Corporation (NYSE-ABX) at the moment: Pro Shares Ultra Short Gold Miners (NYSE -GDXS) and Direxion Daily Gold Miners Bear 3X ETF (NYSE-DUST). Beta = 0.18.

ABX - Next Earnings Date: Aug 05, 2015.