According to the report, metal price predictions of the metal forecasters since the commencement of the year 2005 have considerably varied from where the prices have settled actually. This has resulted in the undervaluation of metals and mining equities.

Elliott said, “We expect further strategic acquisitions to occur in the sector while investment analysts underprice commodities relative to the industry’s own pricing. Our research has shown that this has provided an advantage to companies that made acquisitions, with 96 percent more total shareholder return than peers that grew organically.” He further said that the strong levels of mineral and metal prices are increasing the drive for expansion via acquisition. In mining industry, the speed of consolidation is not showing any symbol of slowing.