In this article we discuss 5 best junior gold mining stocks to buy now. If you want to read our detailed analysis of the best-performing mining stocks, go directly to 10 Best Junior Gold Mining Stocks To Buy Now.
5. DRDGOLD Limited (NYSE: DRD)
DRDGOLD is a South Africa-based gold mining company involved in the exploration and mining of precious metals from the retreatment of surface tailings. Recently, H.C. Wainwright analyst Heiko Ihle reiterated a Buy rating for the stock with a price target of $19, representing a significant upside to the $9.47 share price as of March 4. In October, the stock rallied after the company said its production jumped 45% on a quarter-over-quarter basis in the third quarter. Adjusted EBITDA in the quarter increased by 110%.
DRDGOLD Limited currently has a $792.3 million market capitalization. It delivered a decent 21.83% return in the past 12 months.
4. Golden Minerals Company (NYSE: AUMN)
Golden Minerals is one of the best junior gold mining stocks to buy now. The Colorado-based company is operating various gold mining and exploration projects in Mexico, Argentina and Nevada. In January, the company started the production of gold and silver at its Rodeo project in Mexico. The company also plans to start production at Velardeña Properties in 2021-2022. In February, the company posted results for its most recent quarter. Revenue in the period came in at $5.6 million, missing the Street’s estimates by $0.14 million.
As of the end of the fourth quarter, 1 hedge fund in Insider Monkey’s database of 887 funds held stakes in Golden Minerals Company. Jim Simons’ Renaissance Technologies is the biggest stakeholder in the company, with 433,215 shares, worth $390,000.
3. Galiano Gold Inc. (NYSE: GAU)
Galiano Gold is a Canada-based precious metals exploration and mining company. H.C. Wainwright reiterated recently reiterated a Buy rating for the stock with a price target of $2.80. One of the major mines owned by the company include the Asanko Gold, which spans over 21,000 hectares on the “highly prospective” and under-explored Asankrangwa Gold Belt, according to the company’s website. The stock is up 21% over the last 12 months.
According to our database, the number of GAU’s long hedge funds positions decreased at the end of the fourth quarter of 2020. There were 5 hedge funds that hold a position in Galiano Gold Inc. compared to 6 funds in the third quarter. The biggest stakeholder of the company is Sun Valley Gold, with 23.7 million shares, worth $26.6 million.
2. Seabridge Gold Inc. (NYSE: SA)
Toronto, Canada-based Seabridge mines gold and other precious metals. The company operates the Kerr Sulphurets Mitchell mine located at about 65km north-west of Stewart in British Columbia. According to estimates, the mine is expected to produce 130,000t of gold, copper, silver and molybdenum ore per day. In December, Canadian mining company Pretivm Resources agreed to sell its Snowfield gold mining property to Seabridge Gold for $100 million in cash.
With a $34.4 million stake in Seabridge Gold Inc., Weiss Asset Management owns 1.6 million shares of the company as of the end of the fourth quarter of 2020. Our database shows that 9 hedge funds held stakes in Seabridge Gold as of the end of the fourth quarter, versus 10 funds in the third quarter.
1. Hecla Mining Company (NYSE: HL)
Idaho-based Hecla Mining tops the list of 10 best junior gold mining stocks to buy now. The company is a major producer of silver, with operations in Greens Creek, Lucky Friday, and San Sebastian. In 2019, the company produced 9.9 million ounces of silver from its Green Creek mines. The stock has gained 111% over the last 12 months.
As of the end of the fourth quarter, there were 10 hedge funds in Insider Monkey’s database that held stakes in Hecla Mining Company, compared to 17 funds in the third quarter. Sprott Asset Management, with 1.87 million shares of HL, is the biggest stakeholder in the company.
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