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If you’re looking to invest in the mining sector, you can look at the ASX 200 stocks listed below.
Recently, analysts considered buying these mining shares Belle Potter. Here’s what the broker says:
Chalice Mining Ltd (ASX: CHN)
According to Bell Potter, this mineral exploration company could be a mining stake.
It is a fan of the company because of its Julimar PGE-Ni-Cu-Au project in Western Australia, home to the highly promising Gonneville deposit. This deposit was confirmed last year as a world-class discovery.
The broker also notes that recent drilling indicates that the resource may be even larger than expected. It commented:
CHN reported that verification drilling from the recently completed 2D seismic survey successfully intersected the interpreted extension of the Gonville field. […] In our view, the drilling accomplishes two goals: i.) it confirms the material extension of the Honville intrusion to the north, where it remains open; and ii.) confirms seismic exploration as a very effective exploration tool, especially when combined with EM techniques.
Bell Potter has a Speculative Buy rating and a $11.73 price target on the company’s stock.
Nickel Industries Ltd (ASX: NIC)
Another ASX mining stock that Bell Potter is bullish on Nickel Industries.
The broker notes that it is becoming a globally significant and low-cost producer of nickel pig iron, a key ingredient in stainless steel production.
And with its stock now trading at a 52-week low, the broker sees great value here for investors. He recently commented:
While profitability is proving to be more volatile than anticipated, core operations continue to demonstrate their profitability. NIC assets are the lowest cost long-term projects and are currently valued at margins at the bottom of the cycle. We expect NIC to continue to make money during this period and have significant credit for margin expansion as it recovers. Therefore, we believe that NIC has excellent value at these levels.
Bell Potter has a buy rating and a $1.83 price target on the stock.