many gold miners are trading still at single digit EV/FCF multiples, so with gold/silver soaring that ratio will be depressed and look for next Q3 reporting by miners how their FCF explodes and increase dividends and share buybacks which will be a big bonanza coming when LO investors jump on bandwagon at the beg of 2026 when they look for rebalacning of their portfolios and when they screen their Blmb's terminals for cheap EV/FCF stocks, we are just at the starting point for gold miners to go 5x-20x, usually royalty companies move first, then majors, then junior gold producers and when frenzy gets hot retailers jump on most risky ones which is (drum beat): EXPLORERS and when these skyrocket its time to sell (maybe in next 2-3y) for investors who are invested now and cash in on their 5x-20x baggers...
Relative to the price of gold, gold miners, as measured by $BGMI, performed the best in the 2nd half of the 1960s. Part of the reason is that public in the US was not allowed to own gold, and the public were using gold miners as a proxy for physical gold. The price of oil was also very stable in 1960s. However, as the cost of the energy increase sharply in 1970s, gold miners, relative to gold, performed very poorly. From 01/01/1970 to 01/01/1980, one would do much better by holding physical gold than owning a basket of BGMI stocks (assuming one could own gold before Nixon's removal of the link between USD and gold). Take a look at the 2nd and the 4th charts linked here: https://www.longtermtrends.net/mining-stocks-vs-gold-and-silver/
many gold miners are trading still at single digit EV/FCF multiples, so with gold/silver soaring that ratio will be depressed and look for next Q3 reporting by miners how their FCF explodes and increase dividends and share buybacks which will be a big bonanza coming when LO investors jump on bandwagon at the beg of 2026 when they look for rebalacning of their portfolios and when they screen their Blmb's terminals for cheap EV/FCF stocks, we are just at the starting point for gold miners to go 5x-20x, usually royalty companies move first, then majors, then junior gold producers and when frenzy gets hot retailers jump on most risky ones which is (drum beat): EXPLORERS and when these skyrocket its time to sell (maybe in next 2-3y) for investors who are invested now and cash in on their 5x-20x baggers...
Relative to the price of gold, gold miners, as measured by $BGMI, performed the best in the 2nd half of the 1960s. Part of the reason is that public in the US was not allowed to own gold, and the public were using gold miners as a proxy for physical gold. The price of oil was also very stable in 1960s. However, as the cost of the energy increase sharply in 1970s, gold miners, relative to gold, performed very poorly. From 01/01/1970 to 01/01/1980, one would do much better by holding physical gold than owning a basket of BGMI stocks (assuming one could own gold before Nixon's removal of the link between USD and gold). Take a look at the 2nd and the 4th charts linked here: https://www.longtermtrends.net/mining-stocks-vs-gold-and-silver/