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Brien Lundin – Gold at $2,700: Key Factors Driving the Market Uptrend And Lagging Equities 

Cory
September 26, 2024

Brien Lundin, Editor of the Gold Newsletter and our host at the New Orleans Investment Conference joins us to delve into the precious metals markets, with gold now nearing $2,700, and silver over $32 an ounce.

 

The conversation covers key points such as the increasing participation of Western investors, the performance of gold and silver stocks, and the stock picker’s market for gold equities. Brien delves into the margins seen by gold producers and the lag in stock performance, as well as the competition from other sectors like crypto and AI. We also highlight the importance of mining companies focusing on solid fundamentals, growth strategies, and dividends to attract new investors. Additionally, we discuss the impact of mergers and acquisitions in the mining sector and the potential for development stage companies to benefit from the current market conditions.

 

Click here to learn more about the New Orleans Investment Conference on November 20-23.

Discussion
21 Comments
    Sep 26, 2024 26:52 PM

    Both Gold and Silver are up over 42% YOY, the equities nudge ahead but if the physical metal moves aren’t spectacular on any given day they go into retreat mode. This is so frustrating, time to go down to my favorite pub “WISEGUYS” at least I get to rub shoulders with the intelligentsia. LOL! DT

    Reply
    Sep 26, 2024 26:49 PM

    Hi Ex, Sandstorm Royalties is only paying CDN (.02) per share quarterly, they will have to do a lot better than that if they want to grow their investor base. With the way the share price is moving inflation would kill your investment, of course you would expect their share price to go up in this environment but right now it looks pretty stodgy to me. DT

    Reply
      Sep 27, 2024 27:12 AM

      Hi there DT. When I’ve talked to the management team at Sandstorm, or reviewed their quarterly reports, or listened to them in other interviews, they’ve been clear and consistent mentioning their focus this year is on continuing to pay down more of their debt, accumulated from the transactions in 2022 acquiring both Nomad Royalties and BaseCore Metals.

      Their plan is to continue utilizing their $2,000+ margins at present to pour all that incoming revenue into bringing down that debt load more. Until they’ve finished with those initiatives, then they are unlikely to raise their dividend in any meaningful way, and rightly so. Now maybe the middle to end of next year, they could return more incoming revenues and cashflows to shareholders in the form of a larger dividend, once that debt is in the rearview mirror.

      Dividends are nice of course, but I’m positioned in royalty companies like Sandstorm, and quality gold producers, not for dividends, but for safer leverage to rising underlying precious metals prices.

      Reply
        Sep 27, 2024 27:17 AM

        For those that would like more insights into the strategy of the board and management team, this interview I conducted back in June with the Co-Founder and Senior Executive Vice President of Sandstorm Gold, David Awram, does a good job of outlining the big picture initiatives.

        Sandstorm Gold – Review Of Q1 Financials And Operations And Key Royalty Partner Project Updates

        https://youtu.be/THrQJb-PWVA

        Reply
        Sep 27, 2024 27:22 AM

        Tucano Gold! DT😜😉🤣

        https://www.tucanogold.com/investors

        Reply
          Sep 27, 2024 27:36 AM

          Tucano Gold has signed a letter of intent with Gold Shield Resources in a reverse takeover to get a listing on an exchange and to get exposure in Guyana to Gold Shields properties and management team. Tucano has 2.5-million-ounce gold reserves and a 10,000 TPD Gold Mill. If this deal closes Tucano’s Mill alone is worth $500 million in today’s prices, not to mention the value of their gold reserves to fund further exploration in Brazil and Guyana. This deal should close soon if it goes through. DT

          https://us21.campaign-archive.com/?u=913996f1596246c3d20908d1e&id=0e3350243e

          Reply
    Sep 26, 2024 26:57 PM

    Great interview and great questions and answers. They all just get better.

    Reply
      Sep 27, 2024 27:19 AM

      Much appreciated Lakedweller2. Thanks for listening to the interview and for the feedback on it.

      Reply
    Sep 26, 2024 26:07 PM

    Watch the silver price right now. The technicals are looking strong and if silver continues its’ move higher, you can bet gold will do just fine. The technicals of some of these metal stocks are looking better and better especially on the all important monthly charts. I just keep purchasing and have picked up my purchases even more lately in anticipation of break outs on some of these charts in the future. Tax loss selling may be in play soon so we might get some sideways movement for awhile but the metal stocks are the place to be for the future—-now is not the time to be depressed.

    Reply
    Sep 26, 2024 26:14 PM

    GDX this month is going to close at a monthly high over the highs in 2020. It’s breaking out. GDXJ on the monthly looks very positive and is moving to take out its’ 2020 monthly highs in the next 3 months. The charts are looking just fine. My portfolio is moving nicely higher over the last 2 weeks and it’s time to load up for me. Overhead resistance levels are slowly being taken out on a number of stocks every week—don’t let pull backs scare you out. We may see some pull back for tax loss selling season but it’s just another chance to increase positions.

    Reply
    Sep 26, 2024 26:59 PM

    If you had the glasses from the 1988 sci-fi movie “They Live” you’d see that Kamala really looks like this…
    https://www.youtube.com/watch?v=h5Sx_5kFW1A&list=TLPQMjYwOTIwMjS_Wdky62g7NA&index=3

    Reply
      Sep 27, 2024 27:08 AM

      That is hilarious!

      Reply
      Sep 27, 2024 27:11 AM

      Artificial Intelligence. Kinda like what passes for intelligence in her is artificial.

      Reply
        Sep 27, 2024 27:22 AM

        Hi Rufust good comment, instead of AI it’s IA. DT

        Reply
    Sep 27, 2024 27:35 AM

    FREAKY FRIDAY AGAIN……………. Have a great one!

    Reply
      Sep 27, 2024 27:54 AM

      Thanks, I will, and I will have a Moosehead, the beer that made New Brunswick famous. DT

      Reply

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