Profit Confidential Analyst Highlights Newmont Mining as a Top Gold Stock Pick

A question for any gold investor is whether to buy bullion or gold mining stocks. “I favor gold stocks over the higher risk of other commodity options,” says George Leong in a recent article published in popular financial newsletter Profit Confidential. Leong specifically outlines the case for Newmont Mining Corporation as a really good long-term investment and thinks the stock will bring value to a portfolio for years to come.

“Newmont Mining deserves to be at the top of the list. This company stands out among other players for two reasons: its size and the firm’s low production costs,” says Leong.

Newmont has grown rapidly through mergers and acquisitions, as well as the development of its existing reserves. Leong believes this strategy results in a stronger company with diversified risks, as the firm doesn’t depend on any one or two of its mines for its future.

“In terms of costs, Newmont enjoys an overall favorable cost structure. Its South American operations are the major factor in keeping the company’s costs down,” says Leong.

Leong believes that Newmont Mining is a perfect choice for investors looking for a company with excellent fundamentals, a proven track record, and experienced and knowledgeable management. Although Leong doesn’t necessarily recommend buying the stock right now, he does believe it merits a look.

Profit Confidential, which has been published for over a decade now, has been widely recognized as predicting five major economic events over the past 10 years. In 2002, Profit Confidential started advising its readers to buy gold-related investments when gold traded under $300 an ounce. In 2006, it “begged” its readers to get out of the housing market…before it plunged.

Profit Confidential was among the first (back in late 2006) to predict that the U.S. economy would be in a recession by late 2007. The daily e-letter correctly predicted the crash in the stock market of 2008 and early 2009. And Profit Confidential turned bullish on stocks in March of 2009 and rode the bear market rally from a Dow Jones Industrial Average of 6,440 on March 9, 2009, to 12,876 on May 2, 2011, a gain of 99%.

Source: Press Release from ProfitConfidential.com

 

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