gold mining stocks: 8 Best Gold Stocks Of 2023

The company’s dividend yield is currently around 3.0%, but the dividend amount fluctuates each year. The company has been steadily raising sales since 2015 with only a few minor hiccups. EPS has been positive the last four years, rising overall, but lower in 2022 vs 2021. AngloGold pays a 2.4% dividend yield, but the dividend amount can vary drastically from year to year.

These are the stocks that had the highest total return over the past 12 months. That strength was reflected in some of the precious metal sector’s stocks. In 2021, it produced more than 1 million gold-equivalent ounces. Gold equivalent production for the year was 88% of the company’s total production, and silver was 12%. The company forecasted gold production of 3.2 million to 3.4 million ounces in 2022.

A gold IRA is a retirement investment vehicle used by individuals who hold gold bullion, coins, or other approved precious metals. Victoria Gold also tradesover-the-counter in the U.S. under the tickerVITFF. On Feb. 22, the company reported fourth-quarter earnings and full-year results; net income fell by 77%, along with declining revenue. The decrease in sales was due to a lower average price for gold and fewer ounces sold in 2022. Although the U.S. dollar and gold often have an inverse relationship, both can move in the same direction.

Top Gold Stocks for Q2 2023

We have included P/E ratios relative to the five-year trend as a secondary screening criterion. This provides some perspective on how each stock’s valuation looks now relative to recent history. All companies generate at least half of their annual revenue from gold. The lowest P/E over the last five years is 20, but P/E can easily climb well above 50 in this stock.

Once you have decided on these factors, you can purchase the stock. The price of gold tends to be inversely correlated to the U.S. dollar, so a strong dollar could hurt your investment. Shares must be listed on U.S. stock exchanges, have prices of at least $5 and trade at least 200,000 shares daily. Like FNV—the other gold streamer on the list—Royal Gold’s share price has risen steadily over time. It has the lowest expected annual forward earnings estimate on the list, but it has generally been a steady performer for more than a decade. Since mid-2020, SSR’s share price has been ranging between $33 and $17, and the stock is currently near the bottom of that range.

The gold ETF enables investors to easily own a diverse, high-quality group of large-scale gold companies. The ETF also has a reasonable expense ratio of 0.51%, making it a relatively cost-effective way to invest in many gold stocks. Franco-Nevada is a Canada-based streaming and royalty company. It has a diversified portfolio, with agreements tied to gold, silver, the platinum group metals , iron ore, and oil and gas. In the third quarter of 2022, 55% of its revenue came from gold.

Your financial situation is unique and the products and services we review may not be right for your circumstances. We do not offer financial advice, advisory or brokerage services, nor do we recommend or advise individuals or to buy or sell particular stocks or securities. Performance information may have changed since the time of publication. From your brokerage account, choose the stock you want to buy, the price at which you want to purchase it and how many shares of the stock you wish to own.

There are many benefits to buying gold stocks instead of the physical metal to reap the perks of investing in gold. Gold companies can potentially generate higher total returns than an investment in physical gold. That’s because the companies can expand their production and reduce costs. These factors can help gold mining companies to increase their profits, enabling their stock prices to outperform the price of gold. A gold ETF offers broad exposure to the sector by owning either shares of gold mining companies or physical gold. Because of the wide availability of gold ETFs, you don’t have to be a stock-picking guru to participate in the gold industry’s upside.

Kinross Gold Corporation (NYSE:KGC)

The basic materials sector is an industry category of businesses engaged in the discovery, development, and processing of raw materials. Investopedia requires writers to use primary sources to support their work. These include white papers, government data, original reporting, and interviews with industry experts. We also reference original research from other reputable publishers where appropriate.

RGLD pays a 1.3% dividend and the dividend has increased every year since 2016. Sales had been seeing steady gains since 2018, but 2022 sales slipped lower year over year. Unlike many other gold companies, FNV rarely trades at a cheap P/E.

AngloGold Ashanti Limited (AU)

This helps show the companies have a strong enough financial position to pay a dividend. Analysts expect greater than 1% yearly EPS growth over the next five years. Torex has not increased its shares outstanding in the last few years.

Like most gold miners, earnings can be erratic, fluctuating between positive and negative, although the company has posted three straight years of positive EPS. Dundee Precious Metals is a Canadian mining company based in Toronto. The stock trades on the Toronto Stock Exchange, and shares also trade OTC in the U.S. under symbol DPMLF.

Popular Stocks

Investing in Metal Stocks A closer look at this subgroup of the basic materials sector and some of the best metals stocks to invest in. The right to purchase the future production of a specific metal at a certain mine for a fixed price, e.g., a mining stream. Gold mining is the practice of extracting gold ore from the earth and processing it into gold bullion. Gold streaming is the provision of upfront financing to gold miners in exchange for the option to buy finished gold bullion at a discount in the future.

Every investment has advantages and disadvantages—gold stocks are no different. It’s recommended that investors interested in purchasing gold stocks do their own due diligence and consult with a financial advisor before making a decision. The goal of purchasing any stock is to buy low and sell high.

Royal Gold, Inc. (RGLD)

Their profits rise when gold prices are high and decline when gold is cheap. Gold Fields Limited is based in South Africa, and the company maintains gold mining operations in South Africa, Ghana, Australia and Peru. DPM has the second-highest EPS growth estimate on the list, after Torex. Sales had been increasing steadily every year since 2016, but dipped slightly in 2022.