Colorado stocks showed some life during a slumping first quarter. The story is that still-uncertain investors turned to havens. They bought gold. They bought fuel. They bought burritos.
Placing among the top 10 stock performers were three companies with a “G” in their ticker symbol: US Gold, Vista Gold and Golden Star. All saw their stock values soar more than 45 percent during the past three months.
“The first quarter was marked by a good deal of uncertainty, a carryover from 2008,” said John Claxton, financial consultant with RBC Wealth Management. “Gold is a safe investment. It’s a good vehicle for perceived disaster hedge. And that’s really what we’re all thinking about: Is it possible we could back into that dark hole of depression?”
Glimmers of hope exist for an economic rebound, analysts say, and Colorado’s stock showing — about half the state’s stocks made gains — tracks with that trend.
A mix of companies specializing in consumer needs from energy to food saw strong gains. Markwest Energy and DCP Midstream stocks jumped more than 45 percent; Rocky Mountain Chocolate rose 20 percent; and Chipotle Mexican Grill, 4 percent.
And as with audiences, investors turned their attention to entertainment for solace amid the downturn. Century Casinos bounded to sixth overall, gaining 52 percent in value, while Liberty Media and National Cine Media surpassed 30 percent.
Among mutual funds claiming top performance perches were Janus Overseas, Janus GITech and Icon: Healthcare bond funds.
Brad Sorensen, director of sector research for Charles Schwab in Englewood, said more money flooding into the market shows investors are showing favor for the government’s economic-stimulus efforts.
“In the past couple weeks, we have seen some of the more cyclical sectors do better,” Sorensen said. “People have become more confident in the new administration.”
Clumped at the bottom of Colorado’s poorest stock performers — losing more than 50 percent of their value — are a smattering of pharmaceutical and energy-related firms.
The worst: Delta Petroleum, down 75 percent.
“Generically, you can bring energy into the safe-haven mix,” Claxton said. “It really depends on the individual company and exposure to products and how diversified they are.”
Meanwhile, Fred Earnest, president of Vista Gold, said his company’s stock rise is not necessarily the result of a hedge-against-turbulence state of mind.
“We’ve recovered from the volatility in last year’s markets,” Earnest said. “And there are those who invest in gold as part of their portfolio. Those people are increasing.”
Vista Gold, based in Denver, has gold mines in Mexico, Australia and Indonesia.
Miles Moffeit: 303-954-1415 or mmoffeit@denverpost.com
