Update Thompson Creek Metals (TC)

On November 5 Thompson Creek Metals (TC) reported third quarter earnings of 14 cents a share, 3 cents a share above the Wall Street consensus, and revenue of $114 million, well above analyst projections of $90 million. The upside came from lower costs at just $5.67 per pound of molybdenum and from higher sales volumes, up 17% from the second quarter although still down 12% from the third quarter of 2008. Molybdenum prices remained depressed at $12.75 a pound, down a huge 61% from the third quarter of 2008.

The best news, though, wasn’t in the numbers for the third quarter but in the company’s guidance for 2009 and 2010.

Update Thompson Creek Metals Raising target price again

Once again time to ask, Time to sell Thompson Creek Metals (TC)? I still don’t think so. It’s absolutely true that the commodities rally of has taken shares of this molybdenum miner way above my old Jubak Picks target price of $7 a share by December 2009. And it’s almost likely that the current rally is due for a correction at the least, which would probably see Thompson Creek and all other commodity stocks give back at 33% of the gain since the March 9 bottom. But I think this stock has more room to run in 2009 and it’s worth holding the shares through any correction.