11 Best Gold Stocks for Inflation

1. Newmont Corporation (NYSE:NEM)

Number of Hedge Fund Holders: 61

Dividend Yield: 2.23%

Newmont Corporation (NYSE:NEM) is one of the two largest gold mining companies in the world, as you can see here. It owns large reserves and diversified assets that make it one of the key players in the global market. The company’s operations span the globe, including North America, South America, Australia, and Africa.

During the third quarter ended September 30, 2024, Newmont Corporation (NYSE:NEM) reportedly produced 1.7 million ounces of gold and 430,000 gold-equivalent ounces from copper, silver, lead, and zinc. With these impressive production figures, the company generated $1.6 billion in operating cash flow and $760 million in free cash flow, signaling robust financial health.

Similarly, the company’s adjusted EBITDA reached $2 billion, while its adjusted net income stood at $0.81 per diluted share. To further improve its financial health, Newmont Corporation (NYSE:NEM) retired $233 million in debt and ended Q3 with $7.1 billion in total liquidity. The company was able to perform well overall due to favorable prices of gold (up by $171 per ounce over the previous quarter) and increased production at the Cerro Negro mine. As a result, the company declared a dividend of $0.25 per share while returning a total of $786 million to shareholders through share repurchases and dividend payments.

In line with its past performance, the company expects an even more promising future, with projected gold production reaching 1.8 million ounces in Q4 2024 and realized gold prices at $2,500 per ounce. However, all-in sustaining costs are expected to be $1,475 per ounce due to rising labor inflation and capital spending, especially in Cadia. To counter these issues, Newmont aims to grow its margin instead of volume, aided by low-cost production expected from Tanami and Ahafo North. The company also has plans to earn up to $1.5 billion from selling non-core assets. This will further boost the company’s financial flexibility, making it an excellent choice for the best gold stocks for inflation.

Overall Newmont Corporation (NYSE:NEM) ranks first on our list of the best gold stocks for inflation. While we acknowledge the potential of NEM, our conviction lies in the belief that certain 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 NEM but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

READ NEXT: 20 Best AI Stocks To Buy Now and Complete List of 59 AI Companies Under $2 Billion in Market Cap.

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