In last week’s Saturday email, we highlighted three key industries — lab testing, home exercise equipment and plant-based meat — that are benefiting from the pandemic.
Another sector that’s red-hot right now is precious metals. Think gold and silver.
Some of the best companies in this field are up more than 50% since the stock market bottomed in March. Others have gone up almost 100% in that same time.
And our Smart Profits team has been giving you the best ways to profit.
On November 7, Brian Christopher wrote an article about the four mining stocks you need to own.
Those companies did great before the crash, posting an average gain of 37% in just four months.
And after the crash, they’ve done even better, with an average gain of 59% in a little more than a month.
Well done to everyone who joined in on these trades!
In today’s edition of Smart Profits Daily, Brian now shares his updates on this booming sector, and explains why the four stocks he recommended in November are still a buy…
Here’s What’s Happening in Gold and Silver Right Now
In the November article, I noted you should look to sell by the end of February. In the past three years, junior mining shares peaked at that point.
We saw that again this year. Selling on February 24 would have netted you an average gain of 37% on these four stocks. The S&P 500 Index was up only 5% over this period.
Then, if you bought back in when they bottomed on March 20, you could have made another 63% on this basket. That’s more than double the S&P 500’s 27% return.
So, as you can see, it’s important to have some exposure to precious metals today.
The government doesn’t know how to fix the coronavirus problem. It shouldn’t … it’s a health issue, not a market issue. But that hasn’t diminished its desire to throw stimulus at the financial system.
That’s good for precious metals. Zero percent interest rates reduce the attractiveness of currencies. That pushes people to look for alternatives such as gold and silver.
The miners that produce these metals remain solid ideas to consider as long as the government is printing money.
These four names have run-up recently, but they’re still attractive given the monetary landscape.
— Brian Christopher
Here Are Your 4 Precious Metal Picks
Now, here are Brian’s four picks for you. They’ve all moved significantly higher since March 20:
Trade No. 1: Northern Star Resources Ltd. (OTC: NESRF).
NESRF is one of the largest gold miners in Australia. It has three major operations in the western part of the country.
NESRF Is up 19% Since March 20
Trade No. 2: Evolution Mining Ltd. (OTC: CAHPF).
CAHPF is another fast-growing Australian miner. The company expects to produce around 725,000 ounces of gold this year.
CAPFH Is up 50% Since March 20
Trade No. 3: Pan American Silver Corp. (Nasdaq: PAAS).
PAAS is a Canadian miner that focuses on operations in Latin America. It has projects in Mexico, Peru, Bolivia and Argentina. PAAS calls itself “the world’s premier silver mining company.”
PAAS Is up 82% Since March 20
Trade No. 4: Kinross Gold Corp. (NYSE: KGC).
KGC is also based in Canada. It has a global focus, with gold mines spread across the U.S., Russia, Brazil and Africa. In 2019, the company produced more than 2.5 million ounces of gold.
KGC Is up 86% Since March 20
Our experts at Smart Profits Daily are on the lookout for more great opportunities in this sector. We’ll update you if there are any critical developments you need to know about.
In fact, my colleague Jeff Yastine just let readers of Total Wealth Insider in on two great tech stocks benefiting from the pandemic.
Like precious metals, the tech sector is set to skyrocket — and with Jeff’s two latest stock plays, you could see the chance to double your money.
To watch Jeff’s special new video presentation, click here.
Regards,
P.S. The Sunday Poll of the Week is about owning physical gold and gold mining stocks. We’d love to learn more about your personal trading habits! So please check your email Sunday morning and answer our quick, one-question survey.
