Gold miners’ leveraged performance

Gold miners are usually a leveraged play on gold prices. Even in 2018, as gold prices (GLD) fell 1.9%, the VanEck Vectors Gold Miners ETF (GDX) amplified that loss by falling 9.3%.

The price action in leveraged gold ETFs, such as the Direxion Daily Junior Gold Miners Bull 3X ETF (JNUG) and the Direxion Daily Gold Miners Bull 3X ETF (NUGT), has been more dramatic. JNUG and NUGT have seen losses of 48% and 45%, respectively.

Which Five Gold Stocks Are Analysts Loving So Far in 2019?

Company-specific factors

In addition to gold’s price movements, gold miners are also affected by company-specific factors. In 2018 particularly, several company-specific issues affected miners’ performances.

Barrick Gold (GOLD) has been affected by issues at its mines. It announced its merger with Randgold Resources in September, leading to a surge in its stock price. Kinross Gold (KGC) and Eldorado Gold (EGO) came under stress due to mining code changes and government interference in the geographies in which they operate.

Series overview

In this series, we’ll see which top five gold miners Wall Street analysts like based on their “buy” recommendations and see what their stock price catalysts could be going forward.

The chart above shows the top five gold mining companies based on analysts’ recommendations. In the next article, we’ll look at analysts’ ratings for Wheaton Precious Metals (WPM), the most loved precious metals mining company.

Latest articles

15 Jul

Will Amazon Prime Day 2019 Break 2018's Record?

WRITTEN BY Jitendra Parashar

This year, Amazon extended its Prime Day to 48 hours instead of the 36-hour sale in July 2018, making the 2019 event the longest Prime Day ever.

In a series of tweets on Monday, Trump today weighed in on China’s GDP growth, which came in at a 27-year low.

15 Jul

OrganiGram's Third-Quarter Earnings

WRITTEN BY Adam Jones

On Monday morning, OrganiGram's third-quarter earnings came in as a bit of a let-down. Here's why.

Trump is reportedly planning to increase the content of US-made steel in federal projects, which would be a lifeline for US steel companies.

Huawei is preparing for “extensive layoffs” in the US, which could put the US-China trade deal on the rocks.

With Q2's Netflix earnings just around the corner, here's what you can expect from the online streaming giant and the broader streaming space.