Gold Miners Trail Far Behind Gold's Record High Rally: Time to Buy?

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Gold Miners Trail Far Behind Gold's Record High Rally: Time to Buy?
Newmont Goldcorp CorpGold FuturesBarrick Gold Corp
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Stocks Analysis by Investing.com (David Wagner) covering: Oracle Corporation, Newmont Goldcorp Corp, Gold Futures, Barrick Gold Corp. Read Investing.com (David Wagner)'s latest article on Investing.com

Should you consider investing in gold mining stocks now, and if so, which ones are the best?is racking up record highs, gold mining stocks are struggling to take advantage. At its record high of $2323 an ounce on Thursday, the yellow metal was up +11.58% YTD, while the VanEck Gold Miners ETF (NYSE:There could be several factors behind this: competition from Gold-indexed ETFs and crypto-currencies, or the AI frenzy that has redirected many funds from this sector.

Gold miner stocks act as leveraged bets on the price of gold. These companies boost their production by building new mines, exploring new deposits and areas, and expanding their current operations. As they do this, their revenues and earnings increase.Against this backdrop, we took a look at the biggest gold miner stocks listed in the US, to determine which might be the best investment opportunity.

First of all, we note that Fair Value, which synthesizes several recognized financial models, assigns a negative potential to Agnico Eagle and Newmont, and a rather weak bullish potential to Barrick Gold. As for the financial health scores, Agnico Eagle Mines' is the highest of the 3, rated"very good", while Newmont's is"fair" and Barrick Gold's"good".None of these three stocks ticks all the boxes of a perfect stock market bet, but that doesn't mean they won't turn out to be good bets if gold continues to rise, as many analysts expect it to, and this is reflected in their targets for mining stocks, which are well above model valuations.

Warren Buffett is renowned for his focus on safety and long-term performance, and artificial intelligence is used to refine the Omaha-based Oracle (NYSE:since the start of its backtest in January 2013, representing an annualized performance of almost 16%.

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