Investors have flocked to gold this year – not because markets are falling apart, but because cracks still linger beneath the surface of the global rally. Equities may be soaring to record highs on hopes of rate cuts and solid earnings, yet gold’s momentum tells a different story.
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Mounting fiscal deficits, simmering geopolitical risks, and doubts about long-term currency stability have rekindled demand for the metal. With central banks hoarding bullion and investors looking to diversify portfolios heavy with risk assets, gold has re-emerged as a trusted hedge against potential policy missteps and future turbulence.
That backdrop hasn’t gone unnoticed on Wall Street. At J.P. Morgan, Natasha Kaneva, Head of Global Commodities Strategy, remains firmly bullish on the precious metal, calling gold the bank’s “highest conviction long for the year.” The strategist expects the ongoing shift toward a Fed rate-cutting cycle to provide further upside, projecting prices to climb from $4,131 per ounce today to $5,055 by the fourth quarter of 2026.
But you don’t actually need to hold gold to participate in this rally. Patrick Jones, J.P. Morgan’s lead analyst for gold stocks, argues that another way to ride the wave is through miners themselves. He’s particularly upbeat on two gold mining stocks that he believes could deliver gains of 50% or more.
Are other analysts in agreement? We’ve dived into the TipRanks database to find out.
AngloGold Ashanti (AU)
The first gold miner that we’ll look at here is AngloGold Ashanti, a company that was formed in 2004 through the merger of the Ashanti Goldfields Corporation with AngloGold. In the two decades since then, the company has built itself into one of the world’s major gold producers – and perennial member of the top ten gold firms by numerous measures: #8 by market cap ($34.6 billion), #7 by revenue ($7.64 billion in the last four quarters), and #4 by earnings ($3.02 billion in the last four quarters).
The company has supported this strong performance with large-scale gold production. In 2024, AngloGold Ashanti’s total production came to 2.66 million ounces of gold, along with 3.75 million ounces of silver, its main metal by-product. The company’s largest operations are in Africa, where it has six active mining operations employing nearly 28,000 people. The company’s African ops produced 1.56 million ounces of gold last year and have a mineral reserve of more than 20 million ounces.
AngloGold Ashanti’s next largest set of operations, by output, is in Australia, where the company has two mines that generated 572,000 ounces of gold last year and have reserves of 2.32 million ounces. The Australian operations employ more than 1,700 workers. Finally, in the Americas, where AngloGold Ashanti employs some 8,500 people, the company produced 526,000 ounces of gold from three active mines. The firm’s American holdings boast a gold reserve of 6.3 million ounces.
A key factor for investors to consider when looking at gold mining companies is the cost of production as it relates to the cost of the metal. As noted above, gold is currently selling for over $4,100 per ounce and is expected to rise higher. AngloGold Ashanti’s production costs run between $1,000 and $1,300 per ounce, in US currency, giving the company a comfortable difference between production and sales costs. We should note here that shares in AngloGold Ashanti are up a huge 209% for the year-to-date.
In its last reported quarter, which covered 2Q25, this company reported sales of $2.44 billion, a figure that was up 77% year-over-year and beat the forecast by approximately $90 million. At the bottom line, the company’s $1.25 non-GAAP EPS was more than double the 2Q24 result, although it missed the forecast by 4 cents per share. In another metric of interest to investors, the company reported a 149% year-over-year increase in its free cash flow, which reached $535 million in 2Q25.
The company’s free cash flow supports its dividend policy. In August of this year, the company declared an interim dividend for Q2 of 80 cents per share, which included the regular dividend payout of 12.5 cents.
Overall sound production, a valuable acquisition plan, and a potentially lucrative dividend policy caught the attention of JPM’s Patrick Jones, who says of this major gold miner, “AngloGold still Top Pick on valuation, buyback potential, & Nevada upside. We forecast ANG to return ~4% of mkt cap by Feb’26, solely based on its FCF-based dividend policy. However, with ~$0.7bn net cash (~2% of market cap) forecast at Q4’25, we see potential for additional excess capital distributions beyond the dividend policy. We think share buybacks are now a realistic tool available to management and we have no record of a SBB in >15 years. The recent Augusta Gold acquisition in Nevada further consolidates ANG’s regional footprint, complimenting its North Bullfrog and Arthur projects. North Bullfrog is at pre-feasibility stage, but with >16Moz of total resources, ANG’s Nevada district offers significant value upside potential.”
Along with Top Pick status, the 5-star analyst gives AU shares an Overweight (i.e., Buy) rating, and a $128 price target that suggests a one-year upside potential of 87%. (To watch Jones’ track record, click here)
AngloGold Ashanti has earned a Moderate Buy rating from the analyst consensus, based on 6 recent reviews that include 4 to Buy and 2 to Sell. The shares are priced at $68.57, and their $80.56 average price target implies a gain for the coming year of 17.5%. (See AU stock forecast)
Gold Fields (GFI)
Next on our list, Gold Fields, is another of the world’s major gold producers. The company is based in South Africa, the African continent’s third-largest gold producer. South Africa has a history as a major world producer of gold, but in recent years its output has declined. In 2024, the country’s output was down 9% year-over-year, although it remained considerable at 100 metric tons.
Gold Fields traces its roots back to 1857, and the company still maintains its base in Johannesburg. Today, the firm’s operations are widespread and include projects in South Africa and Ghana, in Chile and Peru, in Canada, and in Australia. All of these countries are well known in the global mining industry; Australia, Canada, Ghana, and Peru are all rated among the top ten largest gold-producing countries in the world. The Australian mining operations are the most extensive, with four active mines.
The company’s Canadian operation is also significant, as it lies in the Windfall project of Quebec, one of Canada’s largest gold deposits and one of the world’s top ten gold deposits by head grade. Gold Fields acquired this project last year and expects to generate 300,000 ounces of gold annually over the projected 10-year lifespan of the mine. Gold Fields powers this project with clean hydroelectricity.
These are just some of Gold Fields’ larger operations. The company’s positions in Ghana are located in that country’s Ashanti Gold Belt and include the Tarkwa mine, Africa’s largest open-pit gold mine. This mine has a projected lifespan of 13 years, underscoring the long-term potential of Gold Fields’ operations. The company’s complete portfolio generated 2.1 million ounces of gold last year.
Turning to the company’s earnings, we find that Gold Fields, this past August, released its financial results for 1H25. During that period, the company produced 1.136 million ounces of gold and saw revenues of $3.48 billion. Gold production is up 24% year-over-year and is on track to meet the 2025 expectations; revenue was up 64% year-over-year. The company’s bottom line came to $1.15 per share. Gold Fields realized a free cash flow in the half of $952 million, a strong turnaround from the $57.8 million free cash flow loss reported in 1H24.
When we check in again with analyst Jones and the JPM view, we find that Jones is bullish on Gold Fields, basing his stance on the potential of the Windfall project and the strong free cash flow. Jones writes, “GFI is trading at 4.7x/4.1x spot 2026/27E EV/EBITDA, well below peers, and offers 11%/12% spot FCF yield. GFI also offers 8% gold volume growth to 2028E (relatively higher than peer ANG) and its Canadian greenfield Windfall project could offer medium-term upside. We place GFI on Positive Catalyst Watch into its upcoming 12 Nov CMD [Capital Markets Day] as we expect positive updates on 1) the Windfall project, which Mgmt (possible FID in early 2026) & 2) the group’s shareholder returns policy (currently 30-45% EPS payout) is relatively less attractive vs peers which have increasingly shifted to FCF-payout focused dividend policies.”
Following this line of thought, Jones rates GFI shares as Overweight (i.e., Buy), and he complements that rating with a $62 price target that points toward a 54% gain on the one-year horizon.
Overall, Gold Fields has a Moderate Buy consensus rating, based on 7 reviews that include 3 Buys and 4 Holds. The shares have a trading price of $40.30 and an average target price of $43, implying that the stock has a 12-month upside of 7%. (See GFI stock forecast)
To find good ideas for stocks trading at attractive valuations, visit TipRanks’ Best Stocks to Buy, a tool that unites all of TipRanks’ equity insights.
Disclaimer: The opinions expressed in this article are solely those of the featured analyst. The content is intended to be used for informational purposes only. It is very important to do your own analysis before making any investment.
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