Feb. 18 at 8:41 PM
Scotia Gold Outlook: Investors’ primary concern is whether the gold rally is nearing an end
From a macro standpoint, not only all major traditional factors driving gold higher remain firmly in place, but we also note some key differences vs prior cycles that could extend its longevity, including central banks being major net buyers, the democratization of gold products, and investors remain broadly underweight the space
Despite recent volatility, we stick to our OW recommendation.
Gold equities - what’s not to like?
The operators’ disciplined approach to the business, coupled with strong balance sheets, record margins, and FCF to support increased returns, valuations have further room to expand.
Generalist investors remain underweight the sector.
Top Picks:
$AEM , AGI,
$AU , B, DPM, EDV,
$KGC ,
$NEM , OGC,
$PAAS