5 Best Canadian Gold Stocks to Buy Right Now

3. Alamos Gold Inc. (NYSE:AGI)

Number of Hedge Fund Holders: 19

Alamos Gold Inc. (NYSE:AGI) is a Canadian multinational mining company focusing primarily on gold.

Alamos Gold Inc. (NYSE:AGI) reported solid Q2 results despite the headwinds faced by the sector. However, the most significant growth prospect of the company is its investment to transform the Island Gold mine into one of the lowest-cost gold mines in the world. The mine produced 37,300 ounces of gold in the June quarter at all-in-sustaining costs of $848 per ounce. The site is expected to generate $260 million of mine-site free cash flow at an average $1,850 per ounce gold price. By 2026, the mine-site free cash flow from the Island mine alone can reach around $500 million.

As of September 23, Alamos Gold Inc. (NYSE:AGI) has a dividend yield of 1.36% with an annualized dividend payout of $0.10. The company has a payout ratio of 21.14%, slightly below the sector average of 23%.

On July 21, National Bank analyst Mark Parkin maintained an Outperform rating on Alamos Gold Inc. (NYSE:AGI)’s shares and lowered the price target to C$12.5 from C$13.