5 Top Weekly TSX Stocks: Nevsun Up After Rejecting Takeover Deal

The S&P/TSX Composite Index (INDEXTSI:OSPTX) opened strong last Friday (May 11), peaking at 16,028.08 at 10:30 a.m. EST and then falling to 15,978.36 in the afternoon.

The strong start was attributed to higher gold prices, which helped lift materials stocks after the news that the Canadian economy lost jobs in April. The jobs data announcement also affirmed that the Bank of Canada will likely not raise interest rates.

Last week’s top-performing TSX stocks include two industrial metals companies and three precious metals miners, which reflects some of the uncertainty in the oil and gas sector following the news that the US will pull out of the Iran deal.

The five TSX-listed mining stocks that saw the biggest share price gains last week are as follows:

• Nevsun Resources (TSX:NSU)
• NextSource Materials (TSX:NEXT)
• Largo Resources (TSX:LGO)
• Primero Mining (TSX:P)
• Sierra Metals (TSX:SMT)

Here’s a look at those companies and the factors that moved their share prices last week.

Nevsun Resources

Nevsun Resources is an international mining company with a high-grade, open-pit copper-zinc project called Bisha in Eritrea. It also holds a copper-gold project dubbed Timok in Serbia. Nevsun’s share price made the largest gain last week, rising 21.15 percent to close at C$4.63.

Last week, Nevsun’s board rejected an unsolicited C$1.5-billion acquisition proposal from Lundin Mining (TSX:LUN) and Euro Sun Mining (TSX:ESM). The company believes the bid undervalues key assets.

NextSource Materials

Canadian mine development company NextSource Materials is currently engaged in moving its feasibility-stage Molo graphite project in Madagascar toward production. The company did not release any news last week, but its share price rose 14.29 percent to close at C$0.12.

Largo Resources

Toronto-based Largo Resources is a strategic minerals company focused on the production of vanadium flake, high-purity vanadium flake and high-purity vanadium powder at the Maracás Menchen mine in Brazil’s Bahia state. Largo’s share price was up 12.64 percent to end last week at C$1.96.

The company’s upward momentum came after the release of its Q1 financials last week. Largo reported a total revenue increase of 210 percent year-over-year, to C$91 million.

Primero Mining

Headquartered in Canada, Primero Mining is a gold miner that owns the San Dimas gold-silver mine in Mexico. Primero’s share price was up 10.7 percent last week, closing out the period at C$0.31.

First Majestic Silver (TSX:FR,NYSE:AG) completed its acquisition of Primero last week. First Majestic is a silver-mining company with seven operational mines in its portfolio, not including the new acquisition of the San Dimas mine.

Sierra Metals

Sierra Metals is a precious and base metals producer with assets in Latin America. The company focuses on exploration and mining related to copper, lead and zinc concentrates. Sierra’s diverse portfolio helped its share price grow last week — it moved up 4.31 percent to close at C$3.63.

Sierra released its Q1 financials last week, highlighting strong growth. The company reported a year-over-year revenue increase of US$8 million, to US$46.6 million, giving investors the security to invest.

Data for 5 Top TSX Stocks articles is retrieved each Friday at 10:30 a.m. PST using The Globe and Mail’s market data filter. Only companies with a market capitalization greater than $50 million prior to the week’s gains are included. Companies within the mining and precious metals sectors are considered.

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Securities Disclosure: I, Georgia Williams, hold no direct investment interest in any company mentioned in this article.

Editorial Disclosure: NextSource Materials is a client of the Investing News Network. This article is not paid-for content.