#2 - Drdgold (NYSE:DRD)
Drdgold (DRD) Year-to-date gain = 73%
During times of monetary easing, many investors make a flight to gold. Sure enough, ever since last summer when the Federal Reserve began lowering interest rates, the price of gold has been rising. And with the recent Fed interventions spawned by the Covid-19 pandemic, gold is rising to highs not seen since 2011. But there are many ways to invest in gold other than taking possession of the physical bullion.
Some investors will invest in mining stocks. But Drdgold (NYSE:DRD) may be a better, but less well-known option. Drdgold is a reclamation company, not a traditional miner. The company acquires or leases old gold mines and performs surface gold mining. The company does everything related to the mining and extraction of gold and more.
Because of this, it can dial-up or scale back operations to move with the price of gold. And when gold prices are rising, as they are now, so does the company’s margins and profits.
Drdgold has a market cap of $800 million and despite being up nearly 40% in 2020, it still pays investors a regular dividend. The current dividend yield is around 2.5%, and the company has increased its dividend in each of the last 7 years.
About DRDGOLD
DRDGOLD Limited, a gold mining company, engages in the surface gold tailings retreatment business in South Africa. It also involved in the exploration, extraction, processing, and smelting activities. The company recovers gold from surface tailings in the Witwatersrand basin in Gauteng province. DRDGOLD Limited was formerly known as Durban Roodepoort Deep Limited and changed its name to DRDGOLD Limited in 2004.
Read More - Current Price
- $9.68
- Consensus Rating
- Buy
- Ratings Breakdown
- 1 Buy Ratings, 0 Hold Ratings, 0 Sell Ratings.
- Consensus Price Target
- $13.25 (36.9% Upside)
