Another jump for flattened Teck Cominco
Jan 06, 2009 04:30 AM
VANCOUVER–Optimistic investors again drove up the shares of Teck Cominco Ltd. yesterday, to more than double where they sat just six weeks ago.
Analysts said the stock's double-digit jump – for the second straight trading day – was due in part to rising prices for copper, zinc and lead.
There is also said to be increased confidence in 2009 that the company can pay its nearly $10 billion in debt incurred in the recent $14 billion (U.S.) purchase of Fording Canadian Coal Trust.
"The market is speculating that the company's debt position is improving," said Salman Partners analyst Haytham Hodaly.
The major zinc, copper and coal miner's shares closed at $8.20 on the TSX yesterday, up $1.18 or 14 per cent, with a volume of more than 12 million shares.
Teck shares closed up nearly 17 per cent on Friday.
The stock was trading at $3.35 on Nov. 20, close to its lowest level since the late 1980s, which compares with a record $52.90 in late May.
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The Canadian Press
