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.
This shift is notable, even when excluding Newcrest Mining, which was taken over by Newmont Corporation in late 2023. Newmont's market capitalisation has increased from $70bn to $165bn over this period.
- 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, many not household names, have surpassed companies like Treasury Wines, Bank of Queensland, and Ansell in market capitalisation.
The driving force behind this change is the rapidly rising gold price, which has gained 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' value triples, surpassing household names.