3 No-Brainer Gold Stocks to Buy Right Now

Core Viewpoint - The article highlights the investment potential in gold stocks, particularly Newmont Mining, AngloGold Ashanti, and the VanEck Gold Miners ETF, amidst rising interest in gold due to trade tensions between the U.S. and China. Group 1: Newmont Mining - Newmont Mining is the only gold mining stock in the S&P 500 and the largest by market capitalization on major U.S. exchanges, making it a conservative investment choice [2] - The company has an investment-grade balance sheet, having retired $1.4 billion in debt in 2024, with a net debt-to-EBITDA ratio of 0.3 as of Q1 2025 [3] - Newmont is generating strong free cash flow during high gold prices, allowing it to fund growth projects organically without relying on debt or equity issuance [5] - Newmont is currently trading at a discount to its historical valuation, with a five-year average operating cash flow multiple of 9.7, now at 7.6 times [13] Group 2: AngloGold Ashanti - AngloGold Ashanti offers a 3.5% forward yield, appealing to passive income investors while maintaining financial health [7] - The company has a revised dividend policy targeting a base quarterly dividend of $0.125 per share, returning about 50% of free cash flow to shareholders [8] - In 2024, AngloGold Ashanti reported $942 million in free cash flow, a 764% year-over-year improvement, with projected gold production of 2.9 to 3.225 million ounces for 2025 and 2026 [9] Group 3: VanEck Gold Miners ETF - The VanEck Gold Miners ETF is suitable for risk-averse investors, providing exposure to gold while mitigating the risks associated with individual mining companies through its 63 holdings [10] - As of March, Agnico Eagle Mines and Newmont were the largest positions in the ETF, each with about 11.6% weightings, alongside significant holdings in royalty and streaming companies [11] - The ETF has a 0.51% net expense ratio, with a 12-month yield of 0.82%, helping to offset management costs [12]