Coeur Mining’s stock price suffered a severe decline on Friday, plummeting nearly 17 percent to close at $20.44. This dramatic sell-off occurred on the very day the company received final regulatory approval for its acquisition of New Gold Inc., as a historic crash in gold and silver prices overwhelmed all positive corporate developments.
Precious Metals Panic Eclipses Merger News
The broader precious metals sector experienced a historic sell-off on January 30, 2026. Silver prices crashed by over 20 percent to approximately $85.25 per ounce, while gold fell more than 8 percent. Market analysts attributed the panic to a strengthening US dollar and the nomination of Kevin Warsh as the new Federal Reserve Chair, a move interpreted by investors as signaling a shift toward tighter monetary policy.
As a primary silver and gold producer, Coeur Mining was caught directly in the downdraft. Trading volume surged to nearly 47 million shares, significantly above its average of 35 million. With this drop, the equity now trades roughly 17 percent below its 52-week high of $27.77.
Strategic Acquisition Proceeds Despite Turmoil
Despite the severe market turbulence, Coeur Mining achieved a critical strategic milestone. The Supreme Court of British Columbia issued its final approval for the New Gold Inc. takeover on Friday, following shareholder approvals from both companies earlier in the week.
Should investors sell immediately? Or is it worth buying Coeur Mining?
Key transaction details include:
- Shareholders of New Gold will receive 0.4959 Coeur shares for each share they hold
- Upon completion, existing Coeur shareholders will own 62 percent of the combined entity, with former New Gold shareholders holding 38 percent
- The deal is scheduled to be finalized in the first half of 2026
- The combined company aims to be a leading North American precious metals producer with diversified mining operations in Mexico and Nevada
Volatile Short-Term Outlook Contrasts Long-Term Strength
Friday’s sharp correction does not entirely negate Coeur Mining’s impressive longer-term performance. The stock remains up approximately 221 percent over the past twelve months, underscoring the sector’s prior strength.
The coming weeks are likely to be pivotal. Finalizing the New Gold acquisition is expected to provide Coeur Mining with a significant growth catalyst. However, the share price remains tightly correlated to the spot prices of silver and gold, which are currently exhibiting extreme volatility. Until stability returns to the precious metals markets, Coeur Mining’s stock is expected to experience continued wide swings.
Ad
Coeur Mining Stock: Buy or Sell?! New Coeur Mining Analysis from February 1 delivers the answer:
The latest Coeur Mining figures speak for themselves: Urgent action needed for Coeur Mining investors. Is it worth buying or should you sell? Find out what to do now in the current free analysis from February 1.
Coeur Mining: Buy or sell? Read more here...
