KGC - 3 Top Gold Stocks To Watch In May 2021
For a while, it seemed like gold stocks were rather stagnant. Gold prices could not reach over $1,800 for a few months. That was until May arrived. Now the price of the yellow metal has finally passed this price point, sitting at around $1,830. Last week, the metal reached a multi-week high. This is very good progress for gold because bulls have been waiting for this moment.
As the world reopens, the demand for gold could potentially go up. This could be as a result of more retail purchases of the metal as COVID restrictions loosen. Investors are interested to see if the price of gold can pass its record high last year that was more than $2,000 per ounce. If it keeps moving at its current pace, the possibility exists.
In the last year there has been many gold stocks that have reached new record highs. Attention shifted to gold because the economy was performing awfully. The economy is still in a bad spot in 2021. If you are new to investing in this sector there are a few steps you can take to get more familiar.
Checking gold prices daily will help with investing, as you will know where the market is at. Looking at charts to try and recognize trends can help when looking for gold stocks to buy this year. News related to gold, such as shortages, can be very useful as well. Sector-related things are not the only thing that affects gold prices though. World news often has an effect on the direction in which gold stocks are moving as well. The largest recent example of this is of course the pandemic, reopening, and vaccines. With this all in mind, let’s look at three gold stocks showing stronger momentum this week.
Top Gold Stocks To Watch
- Barrick Gold Corporation ( NYSE: GOLD )
- Kinross Gold Corporation ( NYSE: KGC )
- Gold Fields Limited ( NYSE: GFI )
Barrick Gold Corporation (NYSE: GOLD)
Barrick Gold has grown to be one of the largest gold producers in the entire world. It explores and develops various mines, and produces gold. The company operates out of the United States, Canada, Argentina, and the Dominican Republic among others. Barrick also holds interest in copper mines located out in Chile. Copper is another metal that has been performing well. Its gold and copper ventures have proven to be very successful for the company. So what things have been impacting GOLD stock price?
On May 5 th , Barrick Gold released its first quarter results of 2021. Currently the company is on track to achieve its production targets. Its copper revenue increased 31% due to rising prices. The company’s net earnings, net cash, free cash flow, and total cash costs increased year over year. Its debt was significantly reduced as well.
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The company has also been working towards reaching higher levels of sustainability in recent times. The President and CEO Mark Bristow said, “As detailed in Barrick’s recently published Sustainability Report for 2020, the company has improved its ESG performance against virtually all metrics. It has increased its 2030 emissions reduction target from 10% to 30%, with the ultimate aim of achieving net zero emissions by 2050.”
Kinross Gold Corporation (NYSE: KGC)
Another gold stock up today is Kinross Gold Corporation. Let’s first talk about what this company does. Kinross is a mining corporation that explores for land, acquires land, and develops gold related assets on its properties. The company runs its operations in the United States, Canada, Russia, Brazil, Chile, Ghana, and Mauritania. It also extracts and processes gold ore to produce and sell it after mining.
Kinross Gold is one day away from releasing its long-awaited first-quarter results for 2021. Quarterly results almost always make an impact on a company’s stock price. This could potentially be the same case for this company. Currently KGC stock momentum is driven by the price of gold itself moving up. Its stock price is higher than it was one month ago. Could these financial results be the thing that pushes KGC over $8 per share? It is possible but not known for sure what could happen after its reports are released. With all of this in mind, will this gold stock make your watch list?
Gold Fields Limited
Gold Fields Limited is a mining company that produces a diverse set of resources and reserves. Gold Field’s assets are in Chile, South Africa, Australia, Ghana, and Peru. The company presently has 9 operating mines with an annual gold equivalent production of 2.2 million ounces. It actively operated large gold and copper deposit mines.
On May 6 th the company announced that is on track to meet its 2021 guidance. This is great news, but its gold production was down quarter over quarter. This has little to no impact on GFI stock price, as it is being boosted by the rising prices of gold and copper at the moment. This gold stock has increased nearly 8% in the 5 days. Now it will be interesting to see what Gold Fields’ next quarterly report looks like after all these increased metal prices occurring at the moment. Keeping this in mind, GFI could be on the list of gold stocks to watch.
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What’s Next For Gold Stocks
There is a lot of bullish sentiment around gold at the moment. The price increase past $1,800 per ounce for the yellow metal was a big push. This is due to the metal being stuck below this price point for months. Now that it has reached higher in the market, the possibilities are endless. Do you think that gold prices could reach a new record high in 2021? The pandemic effects this from happening because it is the largest event in the world right now. Sure, things have calmed down dramatically in the United States. But in other countries like India, cases are surging every single day. It will be interesting to see how the rest of this year pans out for gold stocks.