Matt Badiali’s Front Line Profits Summit is just hours away…
But you won’t have to wait another minute to get a sneak peek into his astonishing new strategy for uncovering natural resource stocks that are positioned to soar 1,000% or more.
This morning, I asked Matt to join me on camera to give us an exclusive preview of what’s to come in his summit on Thursday.
Matt not only agreed, he went above and beyond. He revealed surprising details about the new resource cycle that’s taking hold, and his new method for unlocking tenfold gains as it unfolds. He revealed details you won’t hear about anywhere else.
In addition, I thought I would share Matt’s latest article on why he believes gold miners are a great buy right now:
Buy Gold Miners Right Now
By Matt Badiali, Editor, Real Wealth Strategist
On December 17, 2015, the gold price hit $1,051 per ounce. That was the lowest gold price in five years. More importantly, it was below the “drop dead” price of most gold mining companies.
Gold miners are in the commodity business. They balance the costs of energy, concrete, iron, water and people versus the value of gold. No matter how great the mine is, how rich the ore or how easy it is to mine, there is a bottom line. A minimum cost per ounce of gold to keep the company solvent.
It’s called the “all-in sustaining cost.” That’s how much money it costs the company to keep the lights on per ounce of gold produced. And in 2015, it was universally more than $1,050.
When the price of gold hit that point, the gold mining industry knew it was at a turning point.
That forced a radical restructuring of the big miners. Today, after that “drop dead” date, the big gold miners will make us a ton of money as the gold price goes up.
A Golden Opportunity in Gold Mining Stocks
The good management teams knew changes were coming. The big miners spent most of the prior couple of years writing off bad investments. Big gold mines that were billions of dollars over budget. Exploration projects that didn’t work out.
And tens of billions of dollars in bad investments all went away with the swipe of an accountant’s pen.
However, what the big miners couldn’t hide was their lack of earnings. The chart below shows the price of gold versus the quarterly earnings of the three big gold mining companies: Newmont Mining Corp. (NYSE: NEM), Barrick Gold Corp. (NYSE: ABX) and Goldcorp Inc. (NYSE: GG).
You can see exactly when the price got too low for them. Small changes in the price of gold make huge impacts on the gold miners’ profits.
However, fast-forward to today. You see, these miners aren’t messing around anymore. They pared down to the bare bones.
The remaining assets are profitable. That means they’re sensitive to the rising gold price.
I made a short video about it that you can see here:
In summary, as the gold price goes up, the profitability of these gold mining stocks will go up much more.
If you don’t own gold mining stocks yet, it’s time to go long.
Editor, Real Wealth Strategist
Editor’s Note: Today is your last chance to sign up for Matt’s Front Line Profits Summit. During this exclusive webinar, he’ll reveal the exact strategy he used to make more than 44 times his money in just two years! In fact, Matt is so confident in his new strategy, he’s guaranteeing that anyone who attends this event will find out how to turn every $10,000 they invest into $100,000 during the next 12 months. Sign-ups close tonight, January 24, at midnight EST, so make sure you reserve your spot before the deadline! To sign up, simply click here now.