Are We Heading into a Golden Age?
ASX gold companies have tripled in value, now outranking household names as investors rush to the ultimate hedge.
Excluding Newcrest Mining, which was taken over by Newmont Corporation in late 2023, the market capitalisation of these companies has increased significantly. Newmont Corporation's market capitalisation has grown from $70bn to $165bn.
- Nine gold companies are now listed on the ASX with a market capitalisation of over $5bn, up from two at the end of 2023.
- These companies have surpassed household names like Penfolds owner Treasury Wines, Bank of Queensland, and Ansell in market capitalisation.
The rapid rise in gold price is driving this growth, with a gain of US$1000 (32%) in less than 2 months and US$2,500 (141%) in the last two years.
The move in the gold price has been extraordinary.
Author's summary: Gold companies triple in value, driven by a rapidly rising gold price.