#1 - New Gold (NYSE:NGD)
The first penny stock for you to consider is the junior miner, New Gold (NYSEAMERICAN:NGD). Prior to the pandemic, New Gold was a pure penny stock, meaning it was trading for less than $1 per share. At one point last year, fear and uncertainty drove the stock as high as $2.35 per share. NGD stock has given up about some of those gains, but it’s still trading at a premium over the last 12 months.
Buying gold is always a safety play. NGD stock has been dropping along with cases of the novel coronavirus and inversely to the number of vaccines going in arms. But that’s not the only economic metric there is. As the recent rise in unemployment claims suggests, there is still a lot of damage to repair. Many businesses will need time to build back. And economists are cautioning that stimulus may be necessary, but the bill will come due. All of these are arguments for gold.
There are many ways to invest in precious metals. And mining stocks may not be your preferred way of doing that. However, as a speculative bet on a penny stock, it does offer exposure to a safe-haven asset which, unlike Bitcoin (BTC) has a better track record.
About New Gold
New Gold Inc, an intermediate gold mining company, develops and operates of mineral properties in Canada. It primarily explores for gold, silver, and copper deposits. The company's principal operating properties include 100% interest in the Rainy River mine located in Northwestern Ontario, Canada; and New Afton project situated in South-Central British Columbia.
Read More - Current Price
- $2.84
- Consensus Rating
- Buy
- Ratings Breakdown
- 5 Buy Ratings, 2 Hold Ratings, 0 Sell Ratings.
- Consensus Price Target
- $3.08 (8.6% Upside)
