The market cap of mining companies saw a monthly median gain of 6.3% in market cap in August. The market value of mining stocks has grown for five months in a row, making the year-over-year median increase 53.4% at the end of the month. Twelve of the top 25 metals-focused companies saw an increase in market cap, while 13 saw a single-digit drop from the end of July.
Industry indexes followed suit as the SNL Metals & Mining Index and the SNL Diversified Mining Index posted 3.4% and 1.4% gains, respectively. The SNL Precious Metals Index, on the other hand, saw a decline of 2.3% during the month. The top 25 companies include 12 precious metals companies, of which eight had a decreased month-over-month market cap.
China-based gold miner Zijin Mining Group Co. Ltd. had the largest market cap increase at 22.2% in its reported currency. The company jumped three spots to 13th from 16th last month. Zijin Mining Group completed an acquisition of Canada-based gold mining company Guyana Goldfields Inc. on Aug. 25.
Freeport-McMoRan Inc. saw a 20.8% increase in market cap, which was the second-highest among the top 25 miners. From the 19th spot in July, the copper producer climbed four spots to 15th at the end of August.
Among the market cap declines, Newcrest Mining Ltd. had the largest with 9.4% through the end of the month. Although the Australian gold producer saw an increased yearly profit, it lowered the gold output guidance for the fiscal year 2021 with an assumption that there will not be any coronavirus-related interruptions.
Franco-Nevada Corp. fell two spots with the second-largest decline in market cap at 8.4% in August.