It seems like gold and silver prices throughout 2020 have been on a constant rise. But this isn’t the case in every scenario. For example, the election brought prices up and vaccine news from Pfizer brought it back down. Well now on November 16th, Moderna Inc. (MRNA Stock Report) has announced that it too has a potential COVID-19 vaccine that could be 95% effective according to the company. The result of this was a gold sell-off, but a very minuscule one. Gold’s price went from $1,890 to $1,887, not a large change in price.
The reason for the market not changing very much, is this vaccine news does not have any current effect on the market for gold. This vaccine news is still very much in its early days, and there is a process to getting it out there. This includes getting it improved, producing it, and then distributing it. The public perception of the vaccine will be very important as well. For now analysts believe that gold will remain within the $1,850 region as things currently stand.
The gold market was also affected by a November 16th report from the New York Federal Reserve stating its manufacturing survey’s general business conditions index fell to 6.3 from 10.5 in October. This data was worse than expected, but currently, the price of gold is being driven by the vaccine news. Let’s look at some gold stocks to watch that have been good performers in the market.Top Silver Stocks To Watch: Walcott Resources Ltd.
First up on the list of top gold stocks to watch is Walcott Resources Ltd. (OTC:WALRF Stock Report) (CSE:WAL). Walcott Resources operates as a mining company with an interest in multiple properties. It will search for gold and silver deposits on its properties, which has allowed it to maintain itself throughout the pandemic. Its most active project is the Tyr Silver Project out in Australia. This project is estimated to hold 4,710 grams per ton of silver (g/t Ag) and recently announced plans to speed things up. It wants to accelerate its prospective silver targets and its silver exploration program.
In addition to this news, the company also announced that it sees a lot of potential in its recently acquired Century South silver and zinc project also known as the CSSZP. This November 11th announcement stated that the Australian property is very prospective for silver, zinc, copper, and lead, and has multiple mineral deposits within. The entire 277 square km of land has not been fully explored yet, which Walcott Resources plans on doing as well. So now time will tell of what Walcott discovered at this newly acquired property.Top Gold Stocks To Watch: Newmont Corporation
Next let us talk about Newmont Corporation (NEM Stock Report). Newmont Corporation operates as a mining company that will produce and explore resources like gold, silver, copper, zinc, and lead. The Colorado based company holds land in the United States, Canada, Mexico, Peru, among other countries. On December 31st 2019, the company’s total proven and probable gold reserves reached 100.2 million ounces on its 68,000 square kilometers of land.
Well, on October 29th the company released its results financially for the third quarter of the year. This included 1.5 attributable ounces of gold, $1.6 billion of cash from continued operations, and more. Its adjusted EBITDA was a record for the company at $1.7 billion and had free cash flow of $1.3 billion. The company’s quarterly dividend went up 60% to $0.40 a shjare as well. Newmont announced in November that it plans on achieving zero emissions by the year 2050. That is all of the recent news that has come from Newmont Corporation.Top Gold Stocks To Watch: Franco-Nevada Corporation
The next gold stock to watch is Franco-Nevada Corporation (FNV Stock Report). Franco-Nevada Corporation is a royalty and stream company. Its primary resource is gold, but also has a focus on silver and platinum group metals, gas, and energy comprising oil as well. Its two chapters of the company are mining and energy. So let’s see what this gold stock has been up to in recent times.
On November 4th, Franco-Nevada released its third quarter results for 2020. This included new company record for revenue, EBITDA, and net earnings as well. Its revenue rose 19% to $279.8 million, while its net income went up 51% to $153.9 million. Franco-Nevada’s adjusted EBITDA was up 22% to $235.1 million or $1.23 per share as well. This initially sparked a nearly 8% increase in FNV stock price. But since then the price of gold has fallen, and with that FNV stock has as well. Will this be on your list of gold stocks to watch when prices go back up?Top Gold Stocks To Watch: New Gold Inc.
The last company to discuss is New Gold Inc. (NGD Stock Report). This mining stock has performed well throughout 2020. New Gold Inc. is a mining corporation that will explore for gold, copper, and silver deposits. Its locations are primarily in Canada and Mexico. Currently, New Gold operates the New Afton mine, Rainy River mine, and the Cerro San Pedro mine. One of its largest projects is the Blackwater project in Canada in which it has a 100% interest.
November 5th is when this company announced a big update in the form of third quarter results. It produced a total of 155,536 gold equivalent ounces in just the quarter alone, but still fell short of the previous year. Despite this, its revenue grew year over year even though it missed 9 month period gains. The pandemic was not easy on New Gold but it seems like the company is on the way to new positive performance. Its Rainy River Mine has “continued to meet, or exceed, all key operational and cost targets” according to CEO Renaud Adams. While gold prices went down in the last week or so, NGD stock did too. But it will be interesting to see where this stock goes if the price of gold goes back up.