Are these the best ASX gold stocks? [2024]
With inflation on the rise, many investors turn to gold stocks as a way to preserve their purchasing power. Let’s take a closer look at the possibilities of the precious metal as an investment and explore popular gold mining companies in Australia.
Explore some of the top Australian gold mining stocks
Company Name | Ticker | Stock Price | Year to Date | Market Capitalisation |
|---|---|---|---|---|
Northern Star Resources Ltd | $15.13 | +10.28% | $16.88b | |
Newmont Corporation | $66.37 | +9.65% | $9.97b | |
Evolution Mining Limited | $4.06 | +1.75% | $7.66b | |
Perseus Mining Limited | $2.47 | +32.80% | $3.27b | |
De Grey Mining Limited | $1.20 | -2.44% | $2.7b | |
Emerald Resources NL | $3.83 | +29.83% | $2.49b | |
Ramelius Resources Limited | $2.10 | +24.26% | $2.3b | |
Bellevue Gold Limited | $2.02 | +21.69% | $2.21b | |
Genesis Minerals Limited | $1.91 | +10.06% | $2.09b | |
Capricorn Minerals Ltd | $4.87 | +4.73% | $1.79b | |
Gold Road Resources Limited | $1.67 | -14.80% | $1.7b | |
Red 5 Limited | $0.47 | +53.23% | $1.62b |
Data as of 20 May 2024. Source: Stake, ASX.
*The list of shares mentioned is ranked by market capitalisation. When deciding what assets to feature, we analyse the financials, recent news and announcements, the state of the industry and the company's projects, and whether or not they are actively traded on Stake.
Discover our list of the top 12 ASX-listed gold stocks to watch
1. Northern Star Resources Ltd ($NST)
Market Capitalisation: $16.88b
Stock price (as of 20/05/2024): $15.13
Stake Platform Bought / Sold (1 Jan 2024 - 31 April 2024): 53% / 47%
Northern Star Resources has a portfolio of gold mining assets in low-risk jurisdictions. The company operates three gold mining production centres. The company has two in Western Australia, at Kalgoorlie and Yandal, the other is in Alaska, U.S.
Northern Star is focused on building an extension at Kalgoorlie, as well as increasing production at Yandal.
2. Newmont Corporation ($NEM)
Market Capitalisation: $9.97b
Stock price (as of 20/05/2024): $66.37
Stake Platform Bought / Sold (1 Jan 2024 - 31 April 2024): 59% / 41%
Newmont is one of the world's largest gold mining companies, with operations spanning multiple continents. After making significant acquisitions in recent years, including that of Australian business Newcrest’s assets, Newmont is currently working towards streamlining all of its mining operations and reducing debt. The company has projects across the spectrum of mining, from exploration sites to large scale mines already in production.
The company has a diverse portfolio of gold and copper assets and is constantly looking for new opportunities to expand and grow its business.
🆚 Compare NST vs NEM→
3. Evolution Mining Limited ($EVN)
Market Capitalisation: $7.66b
Stock price (as of 20/05/2024): $4.06
Stake Platform Bought / Sold (1 Jan 2024 - 31 April 2024): 50% / 50%
Evolution Mining is a leading Australian gold producer. The company has a diverse portfolio of assets, including gold mines in Queensland, New South Wales, and Western Australia, as well as one in Canada.
Evolution is known for its focus on minimising its environmental impact. The company has a strong track record of delivering returns to shareholders. In addition to its gold operations, Evolution also has a small presence in the copper mining industry.
Check out our list of copper mining stocks on the ASX if you're interested in exploring other metals.
4. Perseus Mining Limited ($PRU)
Market Capitalisation: $3.27
Stock price (as of 20/05/2024): $2.47
Stake Platform Bought / Sold (1 Jan 2024 - 31 April 2024): 60% / 40%
Perseus owns three gold mines in Africa, one in Ghana and two in Côte d’Ivoire. The company's Edikan Gold Mine has been in operation since 2012 and in total the Perseus’ asset produced over half a million ounces of gold in FY23. Their latest acquisition is a gold mine in Sudan.
Perseus Mining is focused on discovering and advancing new gold deposits to build a portfolio of assetes in the continent, as well as upholding activities at its existing mines.
5. De Grey Mining Limited ($DEG)
Market Capitalisation: $2.7b
Stock price (as of 20/05/2024): $1.20
Stake Platform Bought / Sold (1 Jan 2024 - 31 April 2024): 60% / 40%
De Grey Mining is a gold exploration and development company that operates primarily in the Pilbara region of Western Australia. The company's flagship project is the Hemi gold deposit, which is located approximately 1,500 kilometres north of Perth.
De Grey Mining is focused on advancing the Hemi deposit through exploration and development activities, with the goal of becoming a significant gold producer in the region.
6. Emerald Resources NL ($EMR)
Market Capitalisation: $2.49b
Stock price (as of 20/05/2024): $3.83
Stake Platform Bought / Sold (1 Jan 2024 - 31 April 2024): 60% / 40%
Emerald Resources is focused on exploring and developing gold projects, headquartered in Perth, Western Australia. They have two assets in Cambodia, with Okvau being in operation since 2021 and the team working on advancing Memot towards production. Emerald is completing studies at its North Laverton Project in Western Australia and hopes to further develop the site.
Emerald’s share price has recently experienced positive growth, but continuing this trend will depend on moving its projects forward and avoiding delays.
7. Ramelius Resources Limited ($RMS)
Market Capitalisation: $2.3b
Stock price (as of 20/05/2024): $2.10
Stake Platform Bought / Sold (1 Jan 2024 - 31 April 2024): 61% / 39%
Ramelius Resources Limited is an ASX-listed gold stock that operates several gold mines in Western Australia. The company's operations include the processing hubs at Mt Magnet, Edna May. They also use ore obtained from its additional gold mines, these are the Penny, Marda and Symes projects among others.
Ramelius took over several companies in 2023, including Breaker Resources and Musgrave Minerals. The company is focused on expanding its operations through exploration and development activities.
8. Bellevue Gold Limited ($BGL)
Market Capitalisation: $2.21b
Stock price (as of 20/05/2024): $2.02
Stake Platform Bought / Sold (1 Jan 2024 - 31 April 2024): 58% / 42%
Bellevue Gold is one of Australia's newest gold producers, bringing their project of the same name to production in late 2023. The gold mine is located in the Eastern Goldfields region of Western Australia.
Bellevue Gold is focusing on further developing this project and increasing its production output to commercial levels in 2024.
9. Genesis Minerals Limited ($GMD)
Market Capitalisation: $2.09b
Stock price (as of 20/05/2024): $1.91
Stake Platform Bought / Sold (1 Jan 2024 - 31 April 2024): 51% / 49%
Genesis Minerals is an Australian gold mining company focused on the exploration and development of gold deposits in the Leonora District of Western Australia. The company also owns mining leases in the nearby Laverton District.
Genesis Minerals plans to progress with several projects in the region and expand production at its Gwalia mine.
10. Capricorn Metals Ltd ($CMM)
Market Capitalisation: $1.79
Stock price (as of 20/05/2024): $4.87
Stake Platform Bought / Sold (1 Jan 2024 - 31 April 2024): 55% / 45%
Capricorn Metals operates the Karlawinda Gold Project in the Pilbara region of Western Australia. The company has another asset in the development stage named the Mt Gibson Gold Project in the mid-west of the same state.
Capricorn Metals is focused on continuing production at Karlawinda and intends to use the project as a template for advancing activities at Mt Gibson.
11. Gold Road Resources Limited ($GOR)
Market Capitalisation: $1.7b
Stock price (as of 20/05/2024): $1.67
Stake Platform Bought / Sold (1 Jan 2024 - 31 April 2024): 63% / 37%
Gold Road Resources Limited is an ASX gold mining company based in Perth, Western Australia. Gold Road has a diverse portfolio of assets in Western Australia, including the Gruyere Gold Project, which is a large-scale open pit mine.
According to Gold Road's March 2024 quarterly report, the attributable operating cash flow from Gruyere for the quarter was $57.9 million ($69.6 million in the previous quarter).
12. Red 5 Limited ($RED)
Market Capitalisation: $1.62b
Stock price (as of 20/05/2024): $0.47
Stake Platform Bought / Sold (1 Jan 2024 - 31 April 2024): 47% / 53%
Red 5 Limited is an Australian gold mining company focused on the exploration and development of gold deposits in the Western Australian Goldfields region.
The company's flagship project is the Darlot Gold Mine, which is located approximately 170 kilometres east of Kalgoorlie. $RED is one of many small cap gold stocks listed on the Australian Securities Exchange.
How to invest in gold stocks in Australia?
The main way of investing in gold is through gold shares listed on the ASX, using an online investment platform.
1. Open a stock investing account
To invest in gold shares and ETFs, you'll need to sign up to an investing platform with access to the ASX and Cboe Australia. Lucky for you Stake has access to both stock exchanges.
2. Fund your account
Complete an application with your personal and financial details. Fund your account with a bank transfer, debit card or even Apple/Google Pay.
3. Search for gold shares or ETFs
Find the asset by searching for the name or ticker symbol. Do your own research to ensure it is the right investment product for your own circumstances.
4. Choose an order type and buy the asset
Buy on any trading day with a market, limit or stop order. Look into dollar cost averaging to spread out your risk, which smooths out buying at consistent intervals.
5. Monitor your investment
Optimise your portfolio by tracking how the security performs with an eye on the long term. You may be eligible for dividends and shareholder voting rights that affect your shares.
Get started with Stake
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Benefits of investing in gold shares
Here are nine benefits that investing in gold shares can have for investors.
Diversification | Gold shares offer an additional layer of diversification to an investment portfolio. Sometimes they move in the opposite direction of traditional assets like stocks and bonds, providing a potential hedge during economic downturns. |
Low volatility | Compared to some other metals, gold shares tend to have lower volatility. This can provide a stabilising effect on a portfolio, reducing the potential risk of significant losses. |
Hedge against inflation | Gold has historically been considered a hedge against inflation. As the value of currency decreases due to inflation, the price of gold tends to rise, preserving purchasing power. |
Liquidity | Investing in gold shares provides a level of liquidity that physical gold does not. Buying and selling shares in gold mining companies can be done quickly and easily through stock investing platforms like Stake. |
Dividends | Some gold mining stocks may offer dividends to their shareholders. This can provide a source of income in addition to potential capital appreciation. |
Global economic stability | Gold's value is not tied to any particular country or currency. This makes it a valuable asset during times of geopolitical instability or when there are concerns about the stability of global financial systems. |
Store of value | Gold has maintained its value over long periods of time, making it a reliable store of wealth. This is a quality that has been recognised for centuries. |
Potential for capital appreciation | If the price of gold rises, the value of gold shares can also increase. This can lead to capital appreciation for investors. |
Accessibility | Investing in gold shares is accessible to a wide range of investors. It can be done through investing platforms, making it more convenient than buying physical gold. |
💡Related: What are the best assets to hedge against inflation?→
Risks of investing in gold stocks
With any financial asset, there are potential benefits and risks. Here are some of those risks to think about if you plan to invest in gold stocks.
- Market sentiment: Investor sentiment towards gold can shift quickly, this can impact demand and therefore the price of gold can be affected.
- Volatility: Gold prices can be quite volatile, leading to fluctuations in the value of gold stocks.
- Exploration and development risks: For gold mining companies that are in the exploration and development phase, there's a risk that their projects may not yield the expected results, impacting their stock price.
- Financial risks: Companies with high debt levels may be more vulnerable to fluctuations in gold prices and interest rates.
- Operational risks: Mining operations face risks like accidents, labour disputes, and regulatory changes, which can affect production and profitability.
It's crucial to research individual companies thoroughly and consider your own risk tolerance before making any investment decisions.
What gold ETFs can I invest in?
Here is a list of gold ETFs that are available on the Australian Securities Exchange (ASX):
- BetaShares Gold Bullion ETF ($QAU)
- iShares Gold Trust ETF ($IAU)
- VanEck Gold Miners ETF ($GDX)
- BetaShares Global Gold Miners ETF ($MNRS)
Find out which are the best gold ETFs to monitor and add to your watchlist.
Gold stocks FAQs
There is no simple answer to this question, as the timing for investing in gold and gold mining companies depends on a variety of factors, including market conditions, investor risk tolerance, and individual investment goals.
Some people believe that gold can be a good investment in times of economic uncertainty, as the metal is considered a safe haven asset that can potentially hold its value during market downturns.
Others invest in gold as a way to diversify their portfolio, as the gold price can often move independently of other asset classes.
Gold shares, on the other hand, can be more volatile than the metal itself, as their performance is influenced by a number of factors, including the price of gold, production costs, and the economic and political conditions in the countries where they operate. As with any investment, it is essential to carefully consider the risks and potential rewards before making a decision.
More resources:
✅ Looking for Cobalt mining companies in Australia?→
✅ Silver stocks on ASX: Top 5 silver shares to watch→
✅ Are these the best ASX mining stocks to watch?→
This does not constitute financial product advice nor a recommendation to invest in the securities listed. Past performance is not a reliable indicator of future performance. When you invest, your capital is at risk. You should consider your own investment objectives, financial situation, particular needs. The value of your investments can go down as well as up and you may receive back less than your original investment. As always, do your own research and consider seeking appropriate financial advice before investing.
Any advice provided by Stake is of general nature only and does not take into account your specific circumstances. Trading and volume data from the Stake investing platform for reference purposes only, the investment choices of others may not be appropriate for your needs and is not a reliable indicator of performance.
Megan is a markets analyst at Stake, with 7 years of experience in the world of investing and a Master’s degree in Business and Economics from The University of Sydney Business School. Megan has extensive knowledge of the UK markets, working as an analyst at ARCH Emerging Markets - a UK investment advisory platform focused on private equity. Previously she also worked as an analyst at Australian robo advisor Stockspot, where she researched ASX listed equities and helped construct the company's portfolios.
