Opportunities in GLD, AEM and KGC News ad

Gold Price and SPDR Gold Shares ETF NYSEARCA:GLD delivered exceptional returns in 2024, with GLD up more than 30%, outperforming the benchmark and broader market. That trend has continued into 2025, with GLD up nearly 3% year-to-date as of Friday’s close. With gold consolidating near all-time highs, the question arises: is now a good time to consider another year of potential outperformance?

Gold’s continued dominance

Gold prices rose on Thursday, hitting a one-month high after weaker-than-expected U.S. economic data pushed Treasury yields lower. Weak core inflation numbers have bolstered expectations for a looser Federal Reserve policy, boosting demand for gold. Gold ended the week in positive territory, despite a slight decline on Friday. GLD, a popular gold ETF that offers participation without owning physical commodities, is currently consolidating in a bullish pattern, sitting just 3.27% below its 52-week high.

With this environment suggesting potential for continued momentum, let’s take a look at some of the leading companies in the sector showing relative strength and the key factors to be aware of before pulling the trigger.

SPDR Gold Shares ETF: Direct Option

The SPDR Gold Shares ETF is a popular and straightforward choice for investing in gold, with a net expense ratio of 0.4%. GLD has gained 34% over the past year, and recent net inflows of 1.7% reflect increased investor interest.

Technically, GLD is consolidating above key SMAs, with $250 serving as a critical resistance level. A break above this level could signal a push towards the all-time high around $258.

GLD’s positioning and track record make it an attractive option for those seeking direct access to this product.

2 Gold Stocks Showing Relative Strength

Agnico Eagle Mines Limited New York Stock Exchange: AEM explores and develops gold deposits in Canada, Australia, Finland, Mexico and other countries. AEM has a market capitalization of $42.7 billion and a dividend yield of 1.88%.

The stock has delivered stellar returns for its shareholders, up more than 70% last year and nearly 9% year to date. From a technical perspective, the stock’s chart is extremely bullish and finding a more attractive chart in this sector has proven difficult. Over the past three months, it has consolidated in a narrowing range near its 52-week high, with $86 serving as a key resistance level and potential breakout point.

The technical environment and relative strength of the stock favor further upward momentum, especially if gold prices continue their upward trajectory. Analysts remain optimistic, giving the stock a Moderate Buy consensus rating and a price target suggesting additional upside potential of nearly 5%.

Kinross Gold Corporation New York Stock Exchange: KGC operates in the USA, Brazil, Chile and beyond. The company has a market capitalization of $12.6 billion, a dividend yield of 1.16%, and a P/E ratio of 16.89.

KGC stands out from its larger competitors due to its outstanding results. The stock is up more than 11% year to date and is up nearly 90% over the past year. By Friday’s close, KGC stock was trading above all of its key simple moving averages (SMA) and is now just 4.7% off its 52-week high, a critical breakout level.

The company’s financial performance is also impressive. In its third-quarter 2024 earnings report released on November 5, KGC reported earnings per share of $0.24, beating analysts’ consensus estimate of $0.19 by $0.05. Revenue for the quarter grew 29.9% year-over-year to $1.43 billion, also beating expectations of $1.32 billion. Despite only three analysts covering KGC, the company has a Moderate Buy rating ” and a consensus price target projecting upside potential of nearly 8%.

With bullish technical sentiment, strong earnings growth and favorable analyst sentiment, Kinross Gold continues to be an attractive option for investors looking to invest in the gold sector.

Key considerations for investing in gold

Various factors influence gold’s performance, including economic stability, inflation, US dollar strength and geopolitical tensions. During times of uncertainty, gold’s appeal as a safe haven increases. In addition, the sector is significantly affected by central bank purchases and interest rate movements.

Investors in this sector should remain aware of these dynamics. With gold prices showing resilience and GLD consolidating near highs, the sector continues to offer opportunities for both momentum traders and long-term investors. However, careful consideration of macroeconomic trends is essential to effectively manage this complex market.

As gold consolidates and digests its recent record gains, a mix of ETFs like GLD and outperforming stocks like AEM and KGC offer multiple routes for investors looking to gain exposure to this historically defensive asset class.

You might want to hear this before you consider Kinross Gold.

MarketBeat tracks Wall Street’s top-rated and best-performing analysts daily and the stocks they recommend to their clients. MarketBeat identified five stocks that top analysts were quietly telling their clients to buy now, before the broader market caught on… and Kinross Gold wasn’t on the list.

While Kinross Gold currently has a Moderate Buy rating among analysts, the top-rated analysts rate these five stocks as Outperform Buys.

View five stocks here