Avoiding Crypto's
Volatility? Buy & Hold
These 3 Gold Stocks
Kalkine Media
Gold, as a safe-haven asset, has often been a
refuge for investors as they hedge against
government policies and overall volatility in
the market.
• The S&P/TSX Global Gold Index jumped about 17 per
cent in quarter-to-date (QTD) and by over 13 per cent in
the last 30 days. The S&P/TSX Composite Index, on the
other hand, rose only 4.4 per cent QTD and about 2.2 per
cent in the last one month.
• Adding to the crypto market’s woes, the Chinese
government’s ban on cryptocurrency’s usage as a
payment method also fueled the boost.
• As investors rush to invest in gold, let’s analyze three
TSX-listed stocks that may benefit from this shift.
Newmont Corp
(TSX:NGT)
• One of the largest gold producers in the world,
Newmont Corp saw its stocks outperform most of
its peers to gain about five per cent in the last 30
days.
• Presently trending high among other basic
materials companies on the TSX, Newmont scrips
closed at a price of C$ 88.31 on Tuesday.
Franco-Nevada
Corporation
(TSX:FNV)
• Another key gold stock listed on the TSX, Franco-Nevada
clocked gains of about four per cent in the last 30 days and of
nearly nine per cent in the last six months.
• The Toronto-based company has a market capitalization of
over C$ 34 billion, and a price-to-earnings ratio of 45.1, as
per TMX. The scrip closed at C$ 181.1 on Tuesday.
• In the first quarter of 2021, Franco-Nevada earned a 274 per
cent higher net income on a YoY basis. Its net revenue from
operations grew 28 per cent YoY in the latest quarter, with
over 90 per cent of the sales sourced from North and South
America.
Kirkland Lake Gold
Ltd (TSX: KL)
• Stocks of Kirkland Lake Gold offered returns of about four
per cent in the last 30 days, and that of about 14 per cent
in the last three months.
• The Canada-based gold mining company has a market
capitalization of over C$ 14 billion, and a price-toearnings ratio of 15.4, as per TMX.
• In its 2021 first quarter earnings report, announced earlier
in May, Kirkland Lake’s net income stood at C$ 161,2
million while its revenue was C$ 551.8 million.