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Mining Stocks Still Have Room To Rise as Gold Hits Record High, Jefferies Says
Key Takeaways
As gold prices keep hitting record highs, Jefferies analysts said shares of companies that mine the precious metal could still have room to rise.
The price of gold briefly crossed $3,500 per ounce Tuesday, setting a record for the second day in a row. At $3,387 per ounce in recent trading, the precious metal has risen nearly 30% so far in 2025. Gold is “the only true safe haven left,” Jefferies analysts told clients Tuesday, amid worries about a U.S. trade war with China and President Donald Trump’s recent comments attacking Federal Reserve Chair Jerome Powell.
However, gold mining stocks haven’t all caught up to the rally, Jefferies said. The current prices of mining stocks would suggest a gold price of about $2,500 per ounce, the analysts said, well below the current level. The analysts pointed to Barrick Gold ( GOLD ) as a possible “catch-up” candidate, and raised their price targets for several other miners including Agnico Eagle ( AEM ) and Alamos Gold ( AGI ).
Bank of America Also Boosts Stock Targets for Gold Miners
Meanwhile, Bank of America Securities lifted its targets for Barrick, Agnico, and Alamos, along with Newmont ( NEM ), whose shares have jumped nearly 50% this year.
Newmont is due to report first-quarter
earnings
Wednesday, with Agnico expected a day later. Alamos and Barrick are set to follow on April 30 and May 7, respectively.
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