Gold equities going under investors’ radar as metal continues to rise: Peter Schiff
While gold prices are on a tear and breaking records on an almost a daily basis in the past few weeks, those mining the metal are, somehow, still being largely ignored by investors, says financial commentator and renowned gold bull Peter Schiff.In a recent interview with Mining.com, the Euro Pacific chief economist pointed out that gold mining equities are barely in investors’ radars despite gold having recently reached the historic $3,000 milestone and is still going strong. “You’d assume they’re in the spotlight, but they’re in the darkness,” Schiff said, referring to the “cheap” values gold stocks are trading at.“Investors don’t understand this rally, they don’t believe in this rally, and they’re not betting on it.” he added.However, Schiff, a long-time stockbroker, believes that will eventually change, and “gold stocks will be much higher in price” before that happens. He went on to suggest that “the smarter money” is to accumulate more gold mining equities.Catch the full interview below:One factor behind the undervaluation of gold mining stocks today — according to Schiff — is the inflation pressure. “Last year, gold miners were suffering the negative consequences of inflation — a rise in the cost of mining — but now they’re getting the benefit of a big increase in the price of gold.” “And so, the profits that the industry is about to reap are going to be mind-boggling,” he predicts.Another reason for the underappreciation of gold stocks, as Schiff points out, is that the gold industry is relatively small, and Wall Street has yet to pencil in any of the gold miners’ earnings.“So people should just be buying, as fast as they can,” he said, noting that gold equities are the best-performing stocks year-to-date.On his social media accounts, Schiff has never shied away from providing his bullish outlook on gold. In an April 2 post on X, he said that the yellow could hit the $3,500/oz. mark as early as this month.Weiter zum vollständigen Artikel bei Mining.com
Quelle: Mining.com
