|Bid||166.91 x 800|
|Ask||166.95 x 1200|
|Day's Range||166.02 - 167.24|
|52 Week Range||131.16 - 167.99|
|PE Ratio (TTM)||N/A|
|YTD Daily Total Return||16.48%|
|Beta (5Y Monthly)||-0.02|
|Expense Ratio (net)||0.40%|
Gold broke beyond the $1,800 per ounce target long eyed by bulls in the precious metal as concerns about a second wave of coronavirus infections colluded with stimulus measures aimed at helping economic recovery from the pandemic. “Speculation is a reason for change in gold prices,” tweeted Rachit Mehndirrata, an independent strategist on gold. U.S. gold futures on Comex settled up $19.30, or 1.1%, at $1,800.50, after hitting an intraday high at $1,803.95.
Gold has always had a special place for investors. It’s one of the world’s oldest forms of money, and while most currencies today no longer circulate precious metals, gold is still used as both a reliable store of value and a ‘safe haven’ investment. And in recent months, with economies reeling from the COVID-19 pandemic and markets generally going haywire, gold has seen a strong rally. The metal is up more than 16% year-to-date, and is now trading for more than $1,700 per ounce."The breakout occurring now that is ending Q2 completes an eight week trading range that has resumed higher [...] These patterns say gold can make a new all-time high with Q3 on our mind," said Bank of America strategist Paul Ciana. The potential is clear in gold; it’s an investment that can both insulate a portfolio during hard time and bring a positive return. Now combine that with penny stocks, and the combination features fantastic upsides.Penny stocks, defined as selling for less than $5 per share, typically feature high growth potential; even a small absolute gain of just a few cents per share can translate to a hefty percentage gain in share value. We’ve looked up three penny stocks in gold mining companies in the TipRanks database, with upsides starting at nearly 60%. Let’s see what makes them as good as gold.Avino Silver & Gold (ASM)Based in Canada, Avino owns and operates two mining operations outside of Durango, Mexico. The Avino mine produces gold, and copper. The San Gonzalo mine, which reached the end of its active lifetime in 2019, is still maintained for exploration purposes. Last year, ASM produced, primarily from the Avino mine, over 6,900 ounces of gold and more than 958,000 ounces of silver.A ramp-up in the Avino helped the company report both production and revenue gains in Q1, despite the coronavirus epidemic. The company showed a strong balance sheet, with $7.1 million in top line revenues, $6.7 million in cash available, and a $1.2 million reduction in term and equipment debt. Given its $0.66 share price, some analysts believe that now is the ideal time to get on board.Roth Capital analyst Joe Reagor likes ASM’s prospects, noting, "“As gold and silver prices rise, ASM should see improved operating cash flow and thus, be able to fund its internal projects and repay its term loan without further dilution [...] Looking at the valuation metric, Reagor believes "ASM remains significantly undervalued by the market."Reagor’s new price target, $1.40, suggests an impressive upside potential of 110% and backs up his Buy rating on the stock. (To watch Reagor’s track record, click here)The Strong Buy analyst consensus on ASM is unanimous, based on three reviews, and they all say: this is a stock to Buy. Adding to the good news, the average price target of $1.30 suggests a robust 95% upside potential for the coming year. (See ASM stock analysis on TipRanks)Galiano Gold (GAU)Next up, Galiano, is the new name of Asanko Gold. The company made the name change effective in early May, along with the new GAU ticker symbol. The company remains based in Vancouver, Canada and continues to operate the Asanko gold mine, located in the West Africa nation of Ghana. The mine is profitable, and in 2019 it exceeded the full-year production guidance and achieved a record output of 251,044 ounces of gold. Full-year guidance for 2020 stands at 225,000 to 245,000 ounces.Strong production performance continued in Q1. The company reported quarterly production of 66,333 ounces and sales of 67,820 ounces. With an all-in sustaining cost of $805 per ounce, and an average realized price of $1,542 per ounce, GAU generated record-high quarterly sales of $104.6 million. EPS, reported at 10 cents, was double the 5-cent estimate. The stock’s share performance has reflected the production and sales performance; GAU shares are up 31% in the four months since markets fell in February.Currently going for $1.22 apiece, some Wall Street pros warn investors not to miss out on an exciting opportunity.Heiko Ihle, 5-star analyst with H. C. Wainwright, notes the success of GAU’s Asanko mine: “We highlight that the Asanko Gold Mine (AGM) has continued to operate during the current turmoil in the wake of the ongoing COVID-19 pandemic… the AGM remains well on its way to exceed management's current FY20 gold production guidance…”In line with that upbeat outlook, Ihle rates this stock a Buy, with a $2.50 price target suggesting a 104% upside potential for the year. (To watch Ihle’s track record, click here)GAU shares have two recent reviews, and both are Buys. The average price target of $1.95 implies a one-year upside potential of 59% from the current share price of $1.22. (See Galiano stock analysis on TipRanks)Paramount Gold Nevada (PZG)Last on our list is Paramount, the Nevada-based gold mining company with two main projects. Sleeper, near the California-Nevada line, is a fully-owned project aimed at exploring and extracting the remaining recoverable reserves of an inactive open-pit mine. Grassy Mountain, near Vale, Oregon, is series of claims spread across 9,300 acres of land. Paramount is the full owner of all mining claims in the Grassy Mountain area.Paramount is currently engaged in the permitting process for its Oregon projects, which will become the state’s first active mines since the 1990s. Currently, the company is not producing any gold output – but the prospects are excellent for future production. This makes the stock a speculative option for investors willing to take the risk on a gold company that has not yet started active mining operations.Canaccord analyst Tom Gallo agrees that Paramount has strong prospects. He writes, “There has been no mining activity in Oregon since the 1990s, and although there is a clear permitting process established, no company has applied for, or received mining permits. The receipt of a full mining permit should be a major catalyst for Paramount and a rerating opportunity.”To this end, Gallo rates PZG shares a Speculative Buy along with a $1.70 price target, which implies nearly 60% upside potential from the current share price of $1.09. (To watch Gallo’s track record, click here)All in all, Paramount’s shares have a Moderate Buy analyst consensus rating, based on 2 recent reviews. Both of those are Buy, and their average price target is $3.35, suggesting an eye-popping upside potential of 207%. (See Paramount stock analysis on TipRanks)To find good ideas for penny gold stocks trading at attractive valuations, visit TipRanks’ Best Stocks to Buy, a newly launched tool that unites all of TipRanks’ equity insights.
IPO Edge, in partnership with Desert Hawk Gold Corporation, owner of a fully-permitted, operating mine in Utah, and The Palm Beach Hedge Fund Association, a Florida trade association for financial professionals, hosted Webinar on Wednesday, June 24 at 4pm EST/1pm PST – The Case for Gold in an Era of Unprecedented Money Printing. CLICK HERE TO WATCH A […]
Ed Moy, former U.S. Mint Director, joins Yahoo Finance's The First Trade with Alexis Christoforus and Brian Sozzi to discuss why gold is trading at its highest level in more than seven years and inching closer to an all time high.
IPO Edge, in partnership with Desert Hawk Gold Corporation, owner of a fully-permitted, operating mine in Utah, and The Palm Beach Hedge Fund Association, a Florida trade association for financial professionals, will host a Webinar on Wednesday, June 24 at 4pm EST/1pm PST – The Case for Gold in an Era of Unprecedented Money Printing. CLICK HERE […]
Technically speaking, the U.S. benchmarks’ bigger-picture backdrop remains bullish, on balance, despite increasingly uneven market price action, writes Michael Ashbaugh.
Gold futures came within $15 of striking market bulls’ target of $1,800, while the spot price of bullion hit near 8-year highs on Tuesday, propelled by a weaker dollar and fresh stimulus money planned by governments across the world to fight a second wave of Covid-19. “Trade tensions, second wave concerns, the 10-year real yields (TIPS) decline deeper into negative territory, and taper tantrum risks will continue to support bullish calls to reach $1,800 in the short-term and eventually record high territory later this year,” said Ed Moya, an analyst at New York’s OANDA. U.S. gold futures for August delivery settled up $15.60, or 0.9%, at $1,782 per ounce on New York’s Comex.
The stock market's recent volatility has brought about a new generation of traders who use low-cost brokers in order to place trades via apps. But with many of the barriers to trading removed, quite a few novice traders have decided to dive in the deep end using complex investment vehicles to make a quick buck. Increasing interest in Direxion Daily Junior Gold Miners Bull 2X ETF (NYSEARCA:JNUG) stock is a perfect example.Source: Shutterstock Data from millennial-favorite trading app Robinhood shows that JNUG was one of the app's most popular ETFs, with more than 43,000 investors adding it to their holdings. The platform also noted that it believes its users could make up a significant portion of the leveraged ETF's holders. Why JNUG is Riddled With RiskLeveraged ETFs are often regarded as sophisticated investment vehicles that should be left to the pros, or at the very least, seasoned day-traders. There are a few reasons for that, one of them being the discipline and understanding investors need in order to use them properly. InvestorPlace - Stock Market News, Stock Advice & Trading TipsAs InvestorPlace's Tezcan Gecgil laid out in detail earlier in May, JNUG isn't a simple bet on gold. It tracks the MVIS Global Junior Gold Miners Index and aims at delivering a 200% or -200% return for that index each day. Importantly, the 'single day' aspect of JNUG's leverage means it's not a stock you can add to your portfolio and hold on to because the losses will add up. * 7 Great Biotech Stocks to Buy and Hold Now Plus, the gold miners JNUG is investing in are some of the riskiest in the business. Add in ongoing gold price volatility and you have a recipe for a nail-biting investment vehicle that isn't worth the headache for 9 out of 10 retail investors. First Time Traders Dive in DeepWhat's troubling is the fact that Robinhood's user base is primarily made up of retail investors. In fact, the firm even claims most of them are trading stocks for the first time ever. It's hard to imagine any scenario in which Robinhood's traders should be picking up JNUG stock -- unless they're day traders.The lockdowns gave people more time to take an interest in their financial health, and many have pursued investing as a result. But the sudden leap into risky investments like JNUG stock and bankrupt rental car company Hertz (NYSE:HTZ) has been unexpected.Anecdotal evidence suggests that some of the interest comes from ex-sports betters who are used to taking on a great deal of risk. This brand of traders is best characterized by Dave Portnoy of Barstool Sports, who has been trading since the March crash and updating followers on his bets via videos uploaded to social media. Leave Gambling Out of ItAs I mentioned before, there's definitely a market for JNUG stock, but not a huge one. And certainly not one for first-time retail traders. The leveraged ETF is better left to more experienced traders who have the time and dedication to use it in addition to other investment vehicles.Robinhood and the plethora of other low-cost trading platforms have been a huge step forward in making investing more accessible to the masses. But the flip side of that coin is that many people are taking on a huge amount of unnecessary risk. While it can be tempting to make big, risky bets in hopes of a large payoff, for the average investor, slow and steady growth is the best strategy. Find Another Way to Buy GoldIf buying gold for protection is your aim, JNUG stock couldn't be further from the goal. Instead, there are a lot of ways to use gold as a defensive play in your portfolio. SPDR Gold Shares (NYSEARCA:GLD) is an ETF that tracks the performance of gold bullion itself. There are others like the Sprott Gold Miners ETF (NYSEARCA: SGDM) that offer exposure to mining companies. For those who are interested in taking on a bit more risk (but perhaps not as much as JNUG stock has to offer), there's the VanEck Vectors Junior Gold Miners ETF (NYSEARCA:GDX). Laura Hoy has a finance degree from Duquesne University and has been writing about financial markets for the past eight years. Her work can be seen in a variety of publications including InvestorPlace, Benzinga, Yahoo Finance and CCN. As of this writing, she did not hold a position in any of the aforementioned securities. More From InvestorPlace * Why Everyone Is Investing in 5G All WRONG * Top Stock Picker Reveals His Next 1,000% Winner * The 1 Stock All Retirees Must Own * Look What America's Richest Family Is Investing in Now The post JNUG Stock is a Terrible Investment For Most Types of Traders appeared first on InvestorPlace.
A gold rally that followed the Federal Reserve's signal of no interest rate hikes through at least 2022 was dissipating Friday.The price of gold was around $1,735 at the time of publication. Gold's Safe Haven Rally: This year's rally in gold has come on the back of a coronavirus-led surge in safe-haven buying and a plunge in interest rate expectations, according to Capital Economics. "We suspect that the uptick in the gold price has come from investors positioning themselves against the risk of inflation, though we don't expect it to pick up much in the short term. As such, we think the gold price will fall back by year-end," Capital Economics commodities economist James O'Rourke said in a research note.The analyst expects gold will come under pressure from fading safe-haven demand, falling to $1,600 per ounce by year-end."We expect U.S. interest rates to remain at their lower bound going forward, so the gold price is unlikely to benefit from a further fall in rate expectations anytime soon. And unless the virus takes a turn for the worse, we think safe-haven demand will wane too as the global economy recovers, ultimately weighing on the gold price," O'Rourke said. Temporary Pullback In Gold? Bryan Slusarchuk, CEO of Fosterville South (FSXLF:OTC), said the underlying fundamentals for gold are extremely strong: quantitative easing infinity, a low-to-negative interest rate environment and unprecedented monetary and fiscal stimuli."Paper currency is being devalued both intentionally and unintentionally and the result will be higher values ascribed to the only currency that can't be printed, the CEO said. Slusarchuk said this "temporary pullback" is a combination of profit -taking and continued strength through Thursday in the U.S. market. "When the larger markets level out or correct, and the underlying factors supporting gold strength become more broadly known, gold will take the next leg up in what is a once in a generation gold bull market en route," he said. Price Action: The SPDR Gold Trust (NYSE: GLD) was up 0.49% at $163.19 at last check, while the VanEck Vectors Gold Miners ETF (NYSE: GDX) was up 0.43% at $32.97. Related Links:Barrick Gold Reports Q2 Earnings BeatMining Sector Hit By Coronavirus Lockdowns, Silver Production WallopedLatest Ratings for GLD DateFirmActionFromTo Apr 2013Oracle Investment ResearchInitiates Coverage onStrong Buy Apr 2013Oracle Investment ResearchInitiates Coverage onStrong Buy View More Analyst Ratings for GLD View the Latest Analyst RatingsSee more from Benzinga * Strategist Expects Gold, Silver To Gain As Pandemic Panic Subsides * Mining Sector Hit By Coronavirus Lockdowns, Silver Production Walloped * Gold Analyst Says Rally Is Short-Term, Prices Will Recede To ,600 By Year's End(C) 2020 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Gold ETFs operating as trusts are straightforward. The trust holds gold and issues shares. Learn how ETFs are more efficient than buying physical gold.
U.S. dollar may slip lower on the widening budget deficit, steady reopening process, limited pickup in Covid infection rates and massive global policy stimulus.
Exchange-traded funds with exposure to gold were on track for their best week in a month as equities pulled back Tuesday after a big run-up. The SPDR Gold Trust and the iShares Gold Trust were both up 1% in the early afternoon Tuesday, and up 2% for the week so far, putting them on pace for their best weekly gain since May 15. Those moves came as stocks mostly took a breather: the Dow Jones Industrial Average was 0.7% lower and the S&P 500 fell 0.5%, though the tech-heavy Nasdaq Composite pushed higher, reflecting investors' belief that technology stocks are safer bets in the post-coronavirus economy. Both gold ETFs are up nearly 13% in the year to date, having outperformed during the market downturn in March and April, and keeping investor interest since then.
The upbeat job data indicates that the economy is recovering faster than expected from the coronavirus lockdown and the worst is over for the nation's economy.
While the S&P; 500 has recovered nearly 35% from the bottom reached on March 23, a sector-by-sector look reveals big differences in how the recovery is playing out Continue reading...
IPO Edge, in partnership with Off the Chain Capital, LLC, a digital currency & blockchain asset investment manager and The Palm Beach Hedge Fund Association, a Florida trade association for financial professionals, hosted a Webinar and audience Q&A on Tuesday, May 26 at 4pm EST – Turbulent Times: Why Add Bitcoin to Your Portfolio Now. To watch […]