3 Mining Stocks With Massive Upside Potential to Buy for January 2024

Published on: January 18, 2024
Author: Caroline Kong

The importance of investing in mining stocks, especially gold stocks, lies in the fact that when some unexpected event may cause the price of most stocks to fall, gold stocks, due to their unique safe-haven attributes, can stand still and be the key to stabilizing the returns of a portfolio. If you agree with this view, here are three gold mining stocks that have performed well in 2023 and are expected to continue to deliver growth in 2024.

Kinross Gold (KGC)

Kinross Gold (NYSE:KGC) is a company that owns and operates mineral projects in Africa, South America, and North America, with 100% ownership of three gold mines in the U.S. and processing ore at multiple mines in South America. Kinross also operates a large open pit mine in Mauritania and a mining project in Ontario, Canada.

The company’s shares are up 26% over the past year, partly due to its third quarter report that showed the company’s gross revenues were up 29% from a year ago, net income was up 68%, and gold production was up 11%. Kinross Gold is set to report fourth-quarter and full-year 2023 results on 14 February. This gold mining stock is in a great position right now, as the company’s mine in Mauritania just hit a record high in production, and several other mines it operates are seeing positive results, with gold production and earnings expected to continue to grow over the next few quarters.

Alamos Gold (AGI)

Alamos Gold (NYSE:AGI) is a company that explores and acquires mineral projects in the Americas, operating two underground gold mines in southeastern Canada and an open pit gold mine in northern Mexico. Alamos also has several projects under development in Canada, Turkey and the United States. The company’s third-quarter results show that total revenues were up 20 per cent year-on-year and free cash flow increased to $37 million from $1 million a year ago; gold production was up about 10 per cent.

It’s worth pointing out that Alamos Gold recently announced it will acquire Orford Mining in an all-stock deal that will give it access to several of Orford’s gold properties in Canada. This gold mining stock has the advantage of a significantly improved financial position and a new acquisition that provides room to expand the business.

Eldorado Gold (EGO)

Eldorado Gold (NYSE:EGO) is a gold mining company that operates multiple mines in North America, Europe, and Asia, as well as an underground gold mine in Quebec, Canada, an underground gold mine in Greece that produces gold, silver, zinc, and lead, and two gold mines in Turkey.

The company’s share price has risen 42 per cent over the past year, thanks to strong production results and an improved financial position. Eldorado Gold’s total revenues increased by 13 per cent and net losses decreased by 85 per cent, according to its third-quarter report.

Full year 2023 production results released on 15 January showed a 7% increase in total gold production compared to full year 2022 results. Eldorado Gold has seen strong momentum year to date, with gold and other precious metals production and revenues increasing.

If you’re interested in investing in mining stocks, you might want to keep an eye on this company: Silver Storm Mining Ltd. (TSXV:SVRS). Silver Storm Mining Ltd. holds advanced-stage silver projects located in Durango, Mexico. Golden Tag recently completed the acquisition of 100% of the La Parrilla Silver Mine Complex, a prolific operation which is comprised of a 2,000 tpd mill as well as five underground mines and an open pit that collectively produced 34.3 million silver-equivalent ounces between 2005 and 2019. The Company also holds a 100% interest in the San Diego Project, which is among the largest undeveloped silver assets in Mexico.

Disclaimer: Investing involves risk, and individuals should conduct thorough research and seek professional advice before making financial decisions. NAI is being compensated for this content. Materials contained in this content are for information purposes only and is not intended to constitute an offering of securities in any jurisdiction. Nothing on this content should be construed as an offer, solicitation or recommendation to buy or sell products or securities.

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