Start the conversation
Comment on This Story
Or to contact Money Morning Customer Service, click here.
Of our 2015 stock picks, gold investments have jumped ahead to be among our top performers right now.
Goldcorp Inc. (NYSE: GG) stock in 2015 has gained 22.5% as of yesterday's close (Thursday) to $22.69. That's a 33% gain since it bottomed out last month. Goldcorp is a precious metal mining company involved in operation, exploration, development, and acquisition. It has properties in Canada, the United States, Mexico, and Central and South America.
Since Goldcorp is so heavily tied to gold prices, which have struggled through most of 2014, Goldcorp stock predictably took a beating last year.
"The past couple of years have seen considerable pressure on most gold equities, thanks in large part to a declining, then consolidating, gold price," Money Morning Resource Specialist Peter Krauth said. "That became a major challenge to gold miners as they've tried to grow production despite falling gold grades."
But GG's long-term potential remained. In November it was one of Money Morning's "unloved" stocks to buy, as a share-price dip gave investors an attractive entry point.
Gold Forecast 2015: After finishing down for 2014, gold has rounded out its third straight year of weakness. That makes 2015 all the more crucial. Precious metals investors want to know if the yellow metal is done consolidating – here's our outlook…
And gold prices have been surging since the start of the year. The spot price of gold at yesterday's close was $1,262.60 an ounce. That's a 7% gain for 2015.
"Goldcorp is a company that I like a lot. It's well run, innovative, and forward thinking. And there's lots of upside for investors," Krauth said.
The surge in gold prices has been a boon to all types of gold investments. Typically, when gold prices rise, gold mining stocks realize larger gains than that of the actual metal itself.
Gold miners like Goldcorp are getting the biggest lift. The Market Vectors Gold Miners ETF (NYSE Arca: GDX) is up about 17% for 2015. This exchange-traded fund doesn't track gold, but rather, the New York Stock Exchange's Arca Gold Miners Index (GDM).
Of Money Morning's top stock picks of 2015 – a collection of more than 100 recommendations – six of the top 10 biggest movers are precious metal investments. Check out our top stock picks in the chart below:
If these companies appeal then primary silver miners are worth a look too. There are obvious big players but for the more adventurous those fully funded small projects just about to enter first production must be worth a look. The one that excites me the most (AGQ) is based in Zacatecas and is listed on both the London AIM and TSX. It has around a 20 million market cap. It should be a great year for precious metals however you play it.
Came across many opportunities for up and rising gold stocks I'm curious I keep finding connections between new world gold corp ticker nwgc aND agcz from what is being said they are a big player in ecuador currently this coming from iHub though is any of it true supposedly they just signed a contract with a Chinese company to ship 4,000 ounces + of gold a month up to 57 million revenue a year its only a penny stock and more updates to come if this is all true they should be trading nasdaq here soon would appreciate any info… Read more »