Gold has been long considered a safe haven asset that would be a safer investment in uncertain times. In the last three months, gold has risen over 20%. It’s a sign that investors are looking for surer investments and changing their strategy to more defensive assets. Analysts are bullish on gold prices long-term. Volatility usually means higher gold prices and right now, there is momentum.
Gold Investment is always considered to be safe haven.🥇
When the Currency ($) value falls, it drastically affects all parts of the Stock market except the yellow-metal. The price of this yellow-metal skyrocketed after the Financial Crisis of 2008 or any decline in the Currency rates. People find it as a hedge against Inflation.
During such bad financial times, Investors are seen to divest their stocks and invest in Gold. They wave back again into cheaper stocks, once Gold prices no more shoot up, rather reverts to stability.
Here we bring in 12 Gold Stocks which are highly recommended …
Agnico-Eagle Mines (AEM-T)
A Canadian based gold producer with operations in Finland and Mexico. It has moved up along with others. They have safe assets in stable countries.
Billy Kawasaki’s Insights - Billy’s most-liked answers from 5i Research. You could take a full position in AEM today. Gold stocks are likely better than bullion right now. A good hedge against inflation with more upside potential. Unlock Premium - Try 5i Free
Detour Gold (DGC-T)
A Canadian intermediate gold mining company with a flagship mine in Detour Lake, Ontario. They are a low cost producer, with an asset that has a big reserve.
They are in the process of being taken over by KL-T. The chart for DGC-T looks fairly bullish otherwise. He would buy it here unless you thought another buyer would come along.
Alamos Gold Inc (AGI-T)
They are a junior gold producer with cash flow that comes from a mine in Mexico. The stock will benefit form rising gold prices, and moving averages are pointing for it to rise. It may be over bought recently.
(A Top Pick Apr 24/20, Down 9%) There's a tradable rally in gold now, he says citing an analyst, and he sees upside in gold. Overall, you can trade gold for the next 3-6 months. In this space, he prefers Wheaton Precious Metals.
Eldorado Gold (ELD-T)
A Canadian mid-cap gold miner with operations across the world. This stock runs well ahead of the group, so it may be a little overvalued. The gold cycle is picking up so it could go higher still.
Gold companies remain cheap vs. the price of gold itself. There's a lot of room for upside. He's been taking profits to gold names to add new gold stocks to his portfolio (he specializes in precious metals). This is a hold with an $18 target. ELD has had a nice run.
Yamana Gold Inc. (YRI-T)
A Canadian based gold producer. It does carry a lot of debt, but the stock price is improving, and it recently broke through an important resistance level.
We are quite far away for the seasonally period for Gold. If you find gold increasing and the stocks increasing at the same time, the you can see YRI-T do very well. If the market sentiment is weak and gold is performing well, he would look to larger cap companies.
Goldex Resources Corp. (GDX-X)
A U.S. listed gold miner stock that is a play on volatility. The stock’s seasonal strength is from the end of June to October. In a difficult market, it is a good stock to have.
It's range-trader. During flight-to-safety periods (as he expects in the next few years when market become unglued), gold will shine again with a good rally. He's added to his position. GDX is US-listed gold miners. Gold stocks vs. gold price are 35-year lows, and gold stock vs. the S&P 500 are as cheap pre-Recesssion (2005-6).…
Barrick Gold (ABX-T)
The largest gold mining company in the world, headquartered in Toronto. They are currently currying costs out of an acquisition.
One of his favourite safer gold plays. Tremendous focus on profitability. Conservative assumptions, cost cutting make it well positioned. The space has been difficult recently. Still has a positive, fundamental view on gold longer term.
Kinross Gold (K-T)
A gold and silver mining company and one of the largest producers of it. It’s broken out of resistance recently, even though they have been facing some challenges from local government regulation.
Barrick Gold? He prefers Kirkland Lake and Agnico Eagle among the big producers, because they have better leverage and are streamlined. He always puts Barrick and Kinross in the same category. Kinross buys assets at low prices, but he'd rather buy the companies they buy than Kinross itself. (The one positive with Barrick is Warren…
Kirkland Lake Gold (KL-T)
A go-to name in this gold rally. The valuation is a little inflated but the company is in a good position, especially as interest rates decline. One of the best gold companies.
Billy Kawasaki’s Insights - Billy’s most-liked answers from 5i Research. At 12x earnings, it is very cheap. A good risk-reward play. The dividend is growing fast and good growth is expected at 17% EPS growth for this year. 1B in cash and a very strong balance sheet. It has better margins than AEM. Unlock Premium - Try 5i…
New Gold Inc. (NGD-T)
A multinational mining company active in gold, silver and copper mining. Analysts have confidence in management and doesn’t expect it to be taken over soon.
Doesn't think there will be a take-over soon. The CEO used to be the CEO of Richmond Mines. They now have an operator. On their watch list and he has confidence in management.
Premier Gold Mines (PG-T)
The company has good managers and low cost of production. They are well located in a safer part of the world as well. They also have a join venture with Barrick.
It's a sum-of-the-parts story with three moving parts. The knock on it was they always needed to finance, but they financed. He likes their assets, including a joint venture with Barrick, which is worth PG's market cap alone. Their Ontario and Mexico assets are extraneous and will likely be sold. (Analysts’ price target is $3.93)
Centerra Gold Inc (CG-T)
A Canadian company based in Toronto. It has good volume and is one of the fastest growing producers in the world. It also has a good management team.
(A Top Pick Feb 07/20, Up 28%) Still on track for production. They will probably continue to do well. Still good upside for the company. The company trades at a discount due to its geographic location. Well-ranked by model.