Special Report: One of the very best gold miners to own for the next 12 months

And maybe longer ...

Gold Pour. Photograph by Dan Brown (The Puzzler)

Today’s Special Report is about one of my biggest single positions. It represents one of the largest investments I have ever made. It is a gold miner, a “late stage development play” that is on the verge of becoming a mid-tier producer. Within three years, it is going to have three producing mines.

That means a re-rating of the stock.

It isn’t just me who is buying. Since 2018, the company’s president has accumulated 6.5 million shares in the open market; two million of them in the past 12 months. Remember the golden rule: follow what directors do, not what they say.

There has been a forced seller that was keeping a lid on the price. But that seller is now done. The path of least resistance is up. 

I’m of the mind that gold mining will be one of the places to be over the next 12 months. It has been trading more or less sideways for over a year. Those who were going to sell have sold, the spring has coiled and the sector looks ready to run. 

There is the small matter of the Russian invasion of Ukraine, and the currency wars it is unleashing. Gold will become a weapon in these wars.

But there is still value to be found.

I want readers to have exposure to the sector – good companies in the sector, not the dross (of which there is a great deal) – and be able to build up a quality portfolio.

When gold miners move, they really move. The trick is to have your ticket before the train leaves the station. There are signs the move up is starting, but there is still time. 

I think the sector as a whole is going up, and that this stock is going to go up by a lot more than the sector. Barring a collapse in the gold price, or another mining depression, such as we saw post-2013 (both of which I think are unlikely), I think this stock is an easy triple.

Here’s why.