Close menu




March 26th, 2021 | 06:35 CET

Barrick Gold, Triumph Gold, Yamana Gold: This is how investors get their foot in the door with gold

  • Gold
Photo credits: pixabay.com

Anyone who believes in rising prices for gold must be strong at the moment. For months, companies in the sector have not been getting off the ground. But for experienced investors, this is nothing new - especially in the gold market. Chart technology and gut feeling often reach their limits with precious metals. The market is unpredictable. But the general conditions are good; the major central banks continue to see no inflation and open the floodgates. Investors with patience could be rewarded.

time to read: 3 minutes | Author: Nico Popp
ISIN: CA0679011084 , CA8968121043 , CA98462Y1007

Table of contents:


    Jared Scharf, CEO, Desert Gold Ventures Inc.
    "[...] Our SMSZ project is the largest contiguous land package of any exploration company in the region at 400km2 and overlays a 38km portion of the prolific Senegal Mali Shear Zone. [...]" Jared Scharf, CEO, Desert Gold Ventures Inc.

    Full interview

     

    Barrick Gold: No potential in the short term

    Patience is needed by shareholders of Barrick Gold, among others. The major producer has generated solid returns in the past year but could not emancipate itself from the gold price. As a result, the price gains of the first half of 2020 have gradually melted away. There is even a loss of almost 6% for the year. Barrick was recently traded as a potential buyer of other gold companies. If a purchase succeeds in the current phase, this could be the Company's liberating blow - in the long term.

    In the short term, skepticism is likely to prevail among many investors. Only when the gold price picks up again will a large company like Barrick be in demand again. Should a takeover materialize and the acquired assets complement Barrick's portfolio, it will further expand its position as a market leader. As soon as gold again dominates the headlines, Barrick will become interesting again. Until then, however, the stock is only an issue when there is weakness.

    Triumph Gold: Solid small-cap stock with leverage guarantee

    While at Barrick Gold every correction of the gold price is immediately extrapolated to the next quarterly figures, investors of Triumph Gold can be more relaxed. The Company operates in Canada's Yukon and continues to develop a gold project there. Another project is located in the US state of Arizona. The market values the deposits in the ground at Triumph at a significant discount - that's how it is with gold projects where it is not yet clear whether or not production will ever occur.

    Nevertheless, the shares of Triumph Gold could be an attractive alternative for all those who expect rising prices for gold. The reason: The share is currently at the bottom and hardly gets any attention from shareholders. It also looks as if all remaining shareholders are keeping their feet still at the current level from a chart perspective. Triumph Gold recently put together a full-time team for the upcoming exploration work and expanded its property in the Yukon.

    There, it operates near Newmont, which also has a 12.8% stake in Triumph. The stock is like a warrant on the price of gold. It is ideal for anyone who wants to put their foot in the door with gold with little capital investment.

    Yamana: Advantage thanks to commodity mix?

    Yamana Gold offers a different approach. The Company mines copper in addition to gold and silver and should thus be robustly positioned - after all, silver and especially copper are very much in demand in the field of electromobility.

    However, despite good company figures, the share is not gaining momentum. Over three months, the share price has lost almost 20%. The share price trend shows that Yamana cannot profit from its broad raw material mix. Moreover, since Yamana is already a producer, the big growth phase is over. Producers are often viewed differently by the market and have to deliver quarter after quarter. The many potential uncertainties in the mining sector quickly weigh on the share prices of smaller producers in particular.

    Good arguments for small caps

    Those who want to bet on gold with stocks can take two approaches: Small-cap producers usually outperform the gold price in the event of rising gold prices. In return, dividends and a comparatively calm price trend beckon. However, the current market situation also offers opportunities for small stocks: Many promising companies are trading near their long-term price lows. If you have patience, you can get your foot in the door with a small capital investment and be in immediately when the precious metal bull market returns. With a market capitalization of around EUR 16 million, Triumph Gold is highly speculative but offers the chance of dynamic development as gold prices rise.


    Conflict of interest

    Pursuant to §85 of the German Securities Trading Act (WpHG), we point out that Apaton Finance GmbH as well as partners, authors or employees of Apaton Finance GmbH (hereinafter referred to as "Relevant Persons") may in the future hold shares or other financial instruments of the mentioned companies or will bet on rising or falling on rising or falling prices and therefore a conflict of interest may arise in the future. conflict of interest may arise in the future. The Relevant Persons reserve the shares or other financial instruments of the company at any time (hereinafter referred to as the company at any time (hereinafter referred to as a "Transaction"). "Transaction"). Transactions may under certain circumstances influence the respective price of the shares or other financial instruments of the of the Company.

    Furthermore, Apaton Finance GmbH reserves the right to enter into future relationships with the company or with third parties in relation to reports on the company. with regard to reports on the company, which are published within the scope of the Apaton Finance GmbH as well as in the social media, on partner sites or in e-mails, on partner sites or in e-mails. The above references to existing conflicts of interest apply apply to all types and forms of publication used by Apaton Finance GmbH uses for publications on companies.

    Risk notice

    Apaton Finance GmbH offers editors, agencies and companies the opportunity to publish commentaries, interviews, summaries, news and etc. on news.financial. These contents serve information for readers and does not constitute a call to action or recommendations, neither explicitly nor implicitly. implicitly, they are to be understood as an assurance of possible price be understood. The contents do not replace individual professional investment advice and do not constitute an offer to sell the share(s) offer to sell the share(s) or other financial instrument(s) in question, nor is it an nor an invitation to buy or sell such.

    The content is expressly not a financial analysis, but rather financial analysis, but rather journalistic or advertising texts. Readers or users who make investment decisions or carry out transactions on the basis decisions or transactions on the basis of the information provided here act completely at their own risk. There is no contractual relationship between between Apaton Finance GmbH and its readers or the users of its offers. users of its offers, as our information only refers to the company and not to the company, but not to the investment decision of the reader or user. or user.

    The acquisition of financial instruments entails high risks that can lead to the total loss of the capital invested. The information published by Apaton Finance GmbH and its authors are based on careful research on careful research, nevertheless no liability for financial losses financial losses or a content guarantee for topicality, correctness, adequacy and completeness of the contents offered here. contents offered here. Please also note our Terms of use.


    Der Autor

    Nico Popp

    At home in Southern Germany, the passionate stock exchange expert has been accompanying the capital markets for about twenty years. With a soft spot for smaller companies, he is constantly on the lookout for exciting investment stories.

    About the author



    Related comments:

    Commented by Stefan Feulner on June 30th, 2022 | 11:03 CEST

    Tocvan Ventures and BYD with outstanding news - TeamViewer plunges into a bottomless pit

    • Gold
    • Silver
    • Technology
    • Battery

    The current correction has hit interest-sensitive growth stocks particularly hard. The US technology exchange NASDAQ, for example, has lost around 34% of its value since the beginning of the year and its high of 16,670 points. Investors did not even stop at shares in future technologies such as electromobility. But in contrast to top dog Tesla - Musk's shares have halved in value within six months - Chinese competitor BYD is rushing from one high to the next. There is also strong news from a promising gold and silver exploration company. A gold price that experts expect to be positive in the long term could help the company to outperform.

    Read

    Commented by Stefan Feulner on June 30th, 2022 | 10:09 CEST

    Rheinmetall on the verge of a breakout, and MAS Gold and K+S with rebound opportunity

    • Defense
    • Gold
    • fertilizer

    Due to the uncertain geopolitical situation regarding the Ukraine conflict and concerns about inflation getting out of hand, the most important stock market indices are again turning downward. Germany's leading index, the DAX, is once again struggling with the psychologically important 13,000-point mark. With the exception of defense stocks, there is downward pressure across the board. Fertilizer manufacturers, which initially benefited particularly from the sanctions against Russia, are also correcting sharply and offering interesting entry opportunities for long-term investors. The precious metals markets are also running into attractive buying zones.

    Read

    Commented by Carsten Mainitz on June 29th, 2022 | 10:06 CEST

    BASF, Globex Mining, Barrick Gold - Stock pickers, beware!

    • Gold
    • Commodities
    • chemicals

    Price increases, inflation, rising interest rates and geopolitical risks - As an investor, one can get nervous. Despite all the challenges and uncertainties, depressed stock price levels offer an inviting risk-reward ratio. The big picture continues to favour commodity investments. Potential is not only to be found in the top dogs. Looking at the second tier is often more rewarding than one might think.

    Read