10 Best Gold Mining Companies to Invest in

1.B2Gold Corp. (NYSE:BTG)

Current Price: $3.00

Upside Potential: 34%

B2Gold Corp. (NYSE:BTG) is a Canadian company specializing in the exploration and development of gold resources. With operations spanning multiple countries, including Colombia, Mali, Namibia, the Philippines, Uzbekistan, Finland, and Canada, the company engages in exploration, development, and production activities. In Q1 2024, the company achieved an adjusted EPS of $0.06, surpassing analysts’ expectations, with gold production of 225,716 ounces aligning with guidance. The company’s strong liquidity position was evidenced by $629 million in working capital and $568 million in cash and cash equivalents, boosted by $507 million in operating cash flows. A dividend of $0.04 was declared.

In June 2024, the company formed Versamet Royalties with Sandbox Royalties, expected to generate $30 million in revenue by 2026, up from the current $10 million. Gold production is forecasted to increase to between 860,000 and 940,000 ounces in 2024, compared to 590,243 ounces in 2023. Analysts project EPS to rise to $0.26 per share in 2024 from $0.01 in 2023, and revenue to grow to $2.52 billion in 2025 from $1.96 billion in 2024.

The stock rose 20% in the last month, with 11 analysts rating it as a buy and setting a target price of $4.37, indicating a 40.5% potential upside. However, the stock saw a 15.7% decline over the past year, partly due to a Q4 2023 net loss with an EPS of negative $0.09 per share, attributed to decreased gold production and sales volumes from 352,769 ounces and 339,355 ounces in Q4 2022 to 256,921 ounces and 270,611 ounces in Q4 2023.

While we acknowledge the potential of BTG as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns, and doing so within a shorter timeframe. If you are looking for an AI stock that is more promising than BTG but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

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