Canadian gold mining giant Goldcorp Inc. ( GG ) late Tuesday lowered its full-year production forecast, sending its shares sliding in aftermarket trading.
The Vancouver-based company said it now expects 2012 gold production of 2.35 million to 2.45 million ounces, down from a prior outlook of 2.6 million ounces. Goldcorp cited lower first-half 2012 output at its Red Lake mine in Ontario, as well as expected lower production at its Penasquito mine in Mexico for the second half of 2012 for the lowered outlook.
CEO Chuck Jeannes commented, “We are disappointed with reducing production guidance due to operational issues at our two most important mines.”
Goldcorp shares fell $2.18, or -5.9%, in premarket trading Wednesday.
The Bottom Line
Shares of Goldcorp ( GG ) have a 1.47% dividend yield, based on last night’s closing stock price of $36.75. The stock has technical support in the $32-$33 price area. If the shares can firm up, we see overhead resistance around the $40 price level.