Gold Digger: Are ASX gold stocks good value again?

Besides the odd sharp spike or dip, spot gold has bounced between $US1800 and $US1900/oz since August.

At ~$US1885/oz currently, gold is still up 27.85 per cent in US dollar terms over the year – a fantastic return by any measure.

But after such a wild rise for gold over much of 2020, the last few months have felt almost recessionary, and it’s beginning to show in company valuations.

“Gold company share prices are continuing to erode as the gold price weakens and fails to respond to the same events that were driving the price higher earlier in the year,” writes Fast East Capital earlier this week.

“The occasional rallies have so far just given us false hope.

“As good as some of the new discoveries have been for some companies, there is no forward movement when the wind is blowing against them.”

PSA: Commsex won’t recognize your face if you’re crying. Make sure to regain your composure before logging in to panic sell. from r/ASX_Bets

But Guy le Page’s glass is half full. This is a buying opportunity, he says.

“The gold index is off 20 per cent in the last couple of months, which is not unexpected,” he says.

“As we highlighted earlier, gold was either going up or valuations were going to come down, and we saw those values come down.

“I think it’s getting into a good buying range again.”

Many analysts like Guy and Peak Asset Management’s Niv Dagan remain hot for precious metals.

“We feel that gold and silver will still be talking points – especially in the first quarter of the year as central banks remain stressed from quantitative easing,” Dagan says.

“We fell the USD will continue to fall, we feel that inflation will start to be a talking point and on the back of that we can see another run towards the US$2,200-US$2,500 level in the first quarter of next year based on those themes.”

Winners & Losers

Here’s how ASX-listed gold stocks performed December 14 – December 18 [intraday].

Scroll or swipe to reveal table. Click headings to sort. Best viewed on a laptop:

CODE	COMPANY	1 WEEK RETURN %	1 MONTH RETURN %	6 MONTH RETURN %	1 YEAR RETURN %	PRICE [intraday Friday]	MARKET CAP
LCY	Legacy Iron Ore	386	325	1600	1600	0.034	$ 249,889,540.68
HAW	Hawthorn Resources	25	0	-2	107	0.115	$ 40,021,873.56
RGL	Riversgold	21	13	11	410	0.051	$ 19,787,382.05
AAJ	Aruma Resources	17	17	75	75	0.007	$ 11,125,897.33
PRU	Perseus Mining	15	8	16	34	1.31	$ 1,587,743,646.65
RSG	Resolute Mining	14	5	-18	-26	0.84	$ 921,750,409.51
HRN	Horizon Gold	14	23	105	154	0.5	$ 43,021,386.03
RML	Resolution Minerals	13	-4	-37	-10	0.043	$ 11,737,843.24
AMG	Ausmex Mining	13	21	68	-19	0.052	$ 25,188,142.26
WAF	West African Resources	13	5	20	165	1.04	$ 896,256,298.92
GWR	GWR Group	12	72	366	216	0.275	$ 83,537,054.52
KRM	Kingsrose Mining	12	3	3	54	0.037	$ 26,280,264.67
DCN	Dacian Gold	12	17	-14	-56	0.385	$ 205,908,164.98
WCN	White Cliff Minerals	12	-12	222	480	0.029	$ 14,996,910.62
MEG	Megado	11	-3	0	0	0.195	$ 7,604,246.31
AMI	Aurelia Metals	11	5	3	16	0.455	$ 506,760,405.53
SVL	Silver Mines	10	0	129	137	0.22	$ 223,126,424.23
GUL	Gullewa	10	-4	10	311	0.115	$ 17,861,041.00
CHZ	Chesser Resources	9	-4	213	251	0.235	$ 102,276,226.78
GOR	Gold Road Resources	9	-1	-11	19	1.31	$ 1,130,703,301.18
MAT	Matsa Resources	9	0	-14	0	0.125	$ 31,181,871.54
TMX	Terrain Minerals	8	-7	117	225	0.013	$ 9,564,893.12
MEI	Meteoric Resources	8	17	172	127	0.068	$ 84,334,575.53
AQX	Alice Queen	7	-9	4	16	0.029	$ 29,466,816.36
RED	Red 5	7	-1	-21	-11	0.26	$ 522,290,714.61
TMZ	Thomson Resources	7	-13	320	325	0.105	$ 31,498,829.40
SLR	Silver Lake Resources	7	-2	0	69	1.89	$ 1,666,177,345.35
AL8	Alderan Resource	6	1	-38	230	0.099	$ 29,413,668.14
FAU	First Au	6	-22	50	100	0.018	$ 9,147,438.81
HMX	Hammer Metals	6	-12	6	76	0.037	$ 26,134,302.95
MDI	Middle Island Resources	6	-19	-19	143	0.28	$ 31,520,764.34
SBR	Sabre Resources	6	-14	217	217	0.0095	$ 15,147,572.84
SIH	Sihayo Gold	6	-14	-6	31	0.019	$ 65,883,249.78
RMS	Ramelius Resources	6	-6	-4	80	1.72	$ 1,387,464,611.19
WGX	Westgold Resources	5	12	32	36	2.7	$ 1,182,556,203.30
OBM	Ora Banda Mining	5	-11	11	83	0.29	$ 235,822,147.96
RRL	Regis Resources	5	0	-25	-7	3.87	$ 1,920,101,546.25
EMR	Emerald Resources	5	12	42	74	0.68	$ 353,047,086.80
SAR	Saracen	5	-10	5	63	4.83	$ 5,183,740,776.24
CMM	Capricorn Metals	5	2	7	45	1.72	$ 570,998,179.62
NST	Northern Star	5	-11	-3	33	12.87	$ 9,313,894,514.61
SSR	SSR Mining	5	-1	0	0	26.09	$ 441,008,366.40
PNR	Pantoro	5	21	15	59	0.23	$ 323,931,592.44
KCN	Kingsgate Consolidated	4	12	119	106	0.845	$ 193,423,178.70
EVN	Evolution Mining	4	-11	-5	44	5.08	$ 8,389,555,387.35
AWV	Anova Metals	4	-4	17	156	0.027	$ 35,827,355.00
MVL	Marvel Gold	4	-11	127	-41	0.055	$ 27,975,423.19
AGG	AngloGold Ashanti	3	-6	-15	1	6.1	$ 533,462,434.70
FFR	Firefly Resources	3	-23	382	282	0.165	$ 47,966,325.12
KWR	Kingwest Resources	3	-11	25	-13	0.165	$ 24,591,017.28
AGS	Alliance Resources	3	-7	22	80	0.175	$ 29,419,513.20
GSN	Great Southern	3	-18	-26	1	0.07	$ 31,847,929.40
GIB	Gibb River Diamonds	3	9	350	567	0.18	$ 35,956,605.65
BDC	Bardoc Gold	3	-1	-7	1	0.075	$ 122,912,173.70
NML	Navarre Minerals	3	-22	48	90	0.2	$ 103,577,008.69
SKY	SKY Metals	3	-9	-23	133	0.205	$ 50,563,214.74
OKR	Okapi Resources	2	5	31	56	0.21	$ 7,569,001.86
CEL	Challenger Exploration	2	5	-6	175	0.22	$ 116,009,707.59
CLA	Celsius Resources	2	22	275	309	0.045	$ 35,890,031.73
NSM	North Stawell	2	2	0	0	0.465	$ 18,800,000.00
G88	Golden Mile Resources	2	-7	28	14	0.05	$ 6,150,916.40
RXL	Rox Resources	2	-6	13	168	0.051	$ 104,541,251.61
RVR	Red River Resources	2	-7	247	93	0.26	$ 129,443,591.75
BRV	Big River Gold	2	2	83	253	0.053	$ 82,932,185.99
BBX	BBX Minerals	2	-15	155	75	0.28	$ 119,514,274.04
PDI	Predictive Discovery	2	-16	-27	622	0.057	$ 55,258,500.72
DGO	DGO Gold	2	-4	8	236	2.94	$ 205,950,669.12
BYH	Bryah Resources	2	-10	35	65	0.066	$ 10,133,673.53
DEG	De Grey Mining	1	-7	84	2286	1.05	$ 1,355,119,964.66
MML	Medusa Mining	1	-4	18	14	0.78	$ 163,118,526.29
MAU	Magnetic Resources	1	5	3	135	1.2	$ 259,405,652.40
BNR	Bulletin Resources	1	12	-6	219	0.083	$ 14,881,325.14
NCM	Newcrest Mining	1	-5	-10	-3	27.41	$ 22,112,350,940.72
AUT	Auteco Minerals	1	-10	74	1138	0.099	$ 152,016,356.79
SBM	St Barbara	1	-5	-18	1	2.49	$ 1,749,288,122.72
SVY	Stavely Minerals	1	-2	28	-3	0.86	$ 227,036,463.24
DDD	3D Resources	0	-25	80	200	0.0045	$ 14,461,488.37
AQI	Alicanto Minerals	0	-17	100	179	0.12	$ 37,595,508.02
ALK	Alkane Resources	0	-2	11	82	0.99	$ 583,481,024.00
ANL	Amani Gold	0	-33	0	-50	0.001	$ 9,386,996.75
AUC	Ausgold Limited	0	-25	137	275	0.045	$ 55,915,030.26
AYM	Australia United Mining	0	0	350	125	0.009	$ 16,583,197.37
BRB	Breaker Resources	0	5	-25	-30	0.195	$ 63,538,981.16
CBY	Canterbury Resources	0	0	0	-48	0.105	$ 9,681,649.45
CDV	Cardinal Resources	0	5	123	263	1.07	$ 595,410,904.68
CDT	Castle Minerals	0	-31	0	0	0.009	$ 6,592,507.36
CTO	Citigold Corp	0	-13	160	225	0.013	$ 32,108,078.51
CY5	Cygnus Gold	0	-5	131	350	0.18	$ 19,452,617.64
DTR	Dateline Resources	0	0	0	0	0.002	$ 16,420,156.15
DCX	Discovex Resources	0	17	27	17	0.007	$ 8,373,148.53
DRE	Dreadnought Resources	0	-15	340	214	0.022	$ 49,760,643.70
GMR	Golden Rim Resources	0	-23	43	0	0.01	$ 17,913,418.71
HWK	Hawkstone Mining	0	-9	43	67	0.01	$ 15,115,735.42
KAU	Kaiser Reef	0	0	55	0	0.41	$ 10,957,250.41
KGM	Kalnorth Gold	0	0	86	225	0.013	$ 11,625,120.78
LNY	Laneway Resources	0	-13	56	0	0.007	$ 26,425,461.53
MSR	Manas Resources	0	-14	20	200	0.006	$ 16,561,641.59
MHC	Manhattan Corp	0	-15	115	460	0.028	$ 37,135,803.40
MCT	Metalicity	0	-10	50	493	0.018	$ 29,615,765.47
MLS	Metals Australia	0	-25	-25	50	0.0015	$ 6,286,355.36
MTC	Metalstech	0	14	50	500	0.21	$ 30,046,365.79
MTH	Mithril Resources	0	-27	27	138	0.019	$ 37,567,352.63
MRZ	Mont Royal Resources	0	-9	76	9	0.3	$ 9,907,329.00
NPM	Newpeak Metals	0	0	50	0	0.003	$ 14,004,487.53
PKO	Peako Limited	0	-11	106	12	0.025	$ 4,609,300.25
RMX	Red Mountain Mining	0	-14	200	140	0.012	$ 13,575,869.87
SFM	Santa Fe Minerals	0	-22	57	34	0.094	$ 6,844,966.17
SAU	Southern Gold	0	0	-19	-35	0.11	$ 21,332,875.60
TAR	Taruga Minerals	0	2	144	238	0.044	$ 19,202,463.25
TRM	Truscott Mining	0	-18	29	125	0.018	$ 2,302,947.79
TSC	Twenty Seven Co.	0	-14	20	50	0.006	$ 10,598,271.07
VRC	Volt Resources	0	22	-42	10	0.011	$ 23,791,109.11
WSR	Westar Resources	0	-6	-6	-6	0	$ 11,840,000.00
BC8	Black Cat Syndicate	-1	-10	6	125	0.675	$ 70,064,418.55
E2M	E2 Metals	-1	-24	371	267	0.66	$ 98,774,547.96
AME	Alto Metals	-1	-15	27	185	0.094	$ 38,194,449.02
ERM	Emmerson Resources	-1	-7	-27	-38	0.077	$ 36,696,894.42
FML	Focus Minerals	-1	-13	40	47	0.33	$ 60,307,026.45
GRL	Godolphin Resources	-2	2	46	0	0.255	$ 19,940,913.50
REZ	Resource & Energy	-2	-26	206	88	0.049	$ 19,857,316.29
ARL	Ardea Resources	-2	-10	56	-28	0.43	$ 54,898,350.26
OKU	Oklo Resources	-2	-7	-20	54	0.215	$ 103,326,111.46
GMN	Gold Mountain	-2	-7	-18	-45	0.04	$ 29,871,432.07
LEX	Lefroy Exploration	-3	-17	-5	-5	0.19	$ 23,263,759.94
BCN	Beacon Minerals	-3	0	0	0	0.037	$ 106,071,861.81
CXU	Cauldron Energy	-3	-18	54	106	0.037	$ 16,127,982.43
ENR	Encounter Resources	-3	-5	17	30	0.175	$ 51,807,484.58
TBR	Tribune Resources	-3	-12	-10	-5	5.82	$ 304,314,846.60
WMX	Wiluna Mining Corp	-3	-14	16	29	1.48	$ 172,046,643.36
RND	Rand Mining	-3	-15	-10	-23	1.8	$ 108,267,255.00
MZZ	Matador Mining	-3	-15	23	33	0.32	$ 57,023,284.27
NVA	Nova Minerals	-3	-11	181	332	0.16	$ 258,841,730.29
CYL	Catalyst Metals	-3	-12	-11	-13	2.48	$ 206,831,251.04
NWM	Norwest Minerals	-3	-13	-39	-45	0.091	$ 9,904,456.29
GML	Gateway Mining	-3	67	131	100	0.03	$ 53,374,749.01
RDN	Raiden Resources	-3	-9	500	329	0.03	$ 24,729,552.25
TRY	Troy Resources	-3	-11	3	-19	0.089	$ 66,621,611.58
WWI	West Wits Mining	-3	-33	460	600	0.056	$ 66,888,504.10
ARN	Aldoro Resources	-4	-4	88	-7	0.135	$ 8,961,408.41
AAR	Anglo Australian	-4	-13	4	59	0.135	$ 78,043,610.88
NXM	Nexus Minerals	-4	-18	181	193	0.135	$ 30,518,958.88
ZNC	Zenith Minerals	-4	0	17	165	0.135	$ 38,266,803.90
CWX	Carawine Resources	-4	-21	41	14	0.24	$ 26,133,576.48
LCL	Los Cerros	-4	-26	174	10	0.096	$ 45,915,893.16
PRX	Prodigy Gold	-4	-13	2	-33	0.046	$ 26,128,242.27
TTM	Titan Minerals	-4	0	83	-36	0.115	$ 128,245,345.57
SLZ	Sultan Resources	-4	-6	73	241	0.225	$ 15,992,909.47
KTA	Krakatoa Resources	-4	-8	83	65	0.066	$ 18,410,700.00
STN	Saturn Metals	-4	-12	29	115	0.645	$ 69,417,286.40
OAU	Ora Gold	-5	-19	50	-5	0.021	$ 17,657,749.66
PAK	Pacific American	-5	-13	110	-21	0.021	$ 7,550,037.60
AZS	Azure Minerals	-5	-13	893	496	0.715	$ 210,419,221.16
PUR	Pursuit Minerals	-5	43	329	258	0.02	$ 13,975,898.84
NUS	Nusantara Resources	-5	0	-12	-8	0.295	$ 67,635,537.07
FFX	Firefinch	-5	-5	44	110	0.14	$ 109,467,015.14
TLM	Talisman Mining	-5	-21	-34	4	0.095	$ 18,289,581.73
KAI	Kairos Minerals	-5	-16	47	296	0.037	$ 60,322,511.41
ADN	Andromeda Metals	-5	0	429	511	0.275	$ 538,181,956.75
AAU	Antilles Gold	-5	-15	28	83	0.055	$ 11,123,073.99
CAI	Calidus Resources	-5	-15	17	123	0.5	$ 166,162,379.63
KZR	Kalamazoo Resources	-5	-15	10	100	0.53	$ 69,398,960.02
AXE	Archer Materials	-5	-5	-12	289	0.525	$ 118,196,686.65
SMI	Santana Minerals	-6	-15	21	-39	0.17	$ 22,236,364.02
M2R	Miramar	-6	-10	0	0	0.31	$ 13,090,531.20
VKA	Viking Mines	-6	70	411	198	0.031	$ 10,823,266.02
AOP	Apollo Consolidated	-6	-9	9	30	0.3	$ 80,728,677.00
GBR	Great Boulder Resources	-6	-10	80	23	0.045	$ 8,462,689.65
PRS	Prospech	-6	0	0	0	0.22	$ 13,654,323.69
PUA	Peak Minerals	-6	16	53	103	0.029	$ 16,431,011.88
TNR	Torian Resources	-7	-18	-9	181	0.027	$ 21,598,911.80
NAG	Nagambie Resources	-7	-15	-26	-11	0.04	$ 19,997,293.84
TIE	Tietto Minerals	-7	-5	3	51	0.4	$ 178,662,630.12
GBZ	GBM Resources	-7	-26	103	279	0.13	$ 50,331,314.25
GSM	Golden State Mining	-8	-20	-38	153	0.185	$ 9,911,335.00
RDS	Redstone Resources	-8	-8	71	33	0.012	$ 6,271,560.19
TAM	Tanami Gold	-8	-6	22	100	0.072	$ 84,606,987.31
CGN	Crater Gold Mining	-8	-30	75	25	0.0175	$ 20,867,429.74
ONX	Orminex	-8	-4	-43	-69	0.023	$ 12,399,349.86
GTR	GTI Resources	-8	10	-19	175	0.022	$ 14,179,395.96
KSN	Kingston Resources	-8	10	90	72	0.275	$ 60,072,799.02
MKG	Mako Gold	-8	5	49	57	0.11	$ 28,296,576.22
NAE	New Age Exploration	-8	-21	100	175	0.011	$ 13,057,334.51
MEU	Marmota	-9	-7	-28	95	0.043	$ 42,615,482.36
HRZ	Horizon	-9	-9	5	19	0.105	$ 56,797,520.00
VMC	Venus Metals	-9	-9	-7	11	0.21	$ 31,726,523.43
ERW	Errawarra Resources	-9	-14	-14	-14	0	$ 8,000,000.00
A1G	African Gold	-9	37	108	22	0.205	$ 8,275,201.79
TSO	Tesoro Resources	-9	-24	275	527	0.255	$ 121,686,559.50
BGL	Bellevue Gold	-9	-9	29	137	1.22	$ 1,115,068,689.63
BAT	Battery Minerals	-10	-21	217	192	0.019	$ 40,149,107.98
CAZ	Cazaly Resources	-10	-2	59	119	0.046	$ 16,952,583.55
MOH	Moho Resources	-10	-22	27	80	0.09	$ 7,119,920.92
DTM	Dart Mining	-10	-5	64	81	0.175	$ 16,990,730.92
PNM	Pacific Nickel Mines	-10	-10	73	-48	0.052	$ 7,205,878.58
HXG	Hexagon Energy	-10	7	-6	-12	0.06	$ 17,546,003.82
CHN	Chalice Mining	-11	13	327	1640	3.74	$ 1,270,218,792.72
NES	Nelson Resources	-11	-3	67	36	0.07	$ 7,462,139.23
ALY	Alchemy Resources	-12	-17	-15	18	0.015	$ 10,083,651.80
ADV	Ardiden	-12	-40	275	400	0.015	$ 29,722,866.38
AVW	Avira Resources	-13	-22	133	250	0.007	$ 9,625,280.00
SNG	Siren Gold	-13	31	0	0	0.71	$ 42,548,173.20
EMU	EMU NL	-13	-30	122	-18	0.04	$ 12,726,195.70
GNM	Great Northern	-13	-24	8	30	0.013	$ 11,802,954.85
MGV	Musgrave Minerals	-14	-17	-17	318	0.37	$ 181,485,068.30
GED	Golden Deeps	-14	-20	71	-52	0.012	$ 9,295,360.14
DAU	Dampier Gold	-15	-21	73	271	0.052	$ 17,786,197.78
ARV	Artemis Resources	-15	-15	195	379	0.115	$ 125,044,074.87
MKR	Manuka Resources	-15	-21	0	0	0.37	$ 27,898,017.07
CST	Castile Resources	-16	-19	84	0	0.23	$ 46,931,878.44
SPQ	Superior Resources	-18	-13	180	199	0.014	$ 16,672,657.15
YRL	Yandal Resources	-18	-25	23	63	0.37	$ 33,905,047.47
VAN	Vango Mining	-19	-18	-40	-61	0.063	$ 63,919,201.32
XTC	Xantippe Resources	-20	0	-20	0	0.002	$ 10,186,411.01
STK	Strickland Metals	-20	-61	160	95	0.039	$ 16,846,060.84
BAR	Barra Resources	-21	-43	35	0	0.023	$ 15,584,986.32
THR	Thor Mining	-22	-33	115	75	0.014	$ 6,220,078.70
S2R	S2 Resources	-28	-54	33	30	0.13	$ 39,361,397.38
ANX	Anax Metals	-28	-8	118	360	0.046	$ 12,765,295.60
SRN	Surefire Resources	-34	-9	625	867	0.029	$ 26,677,979.05
SI6	SI6 Metals	-42	127	733	525	0.025	$ 30,887,942.10

Small Cap Standouts

LEGACY IRON ORE (+414%) and HAWTHORN RESOURCES (+25%)

Legacy Iron Ore (ASX:LCY) and Mt Bevan joint venture project partner Hawthorn Resources (ASX:HAW) have been on a tear this week (except for Friday, when some investors booked gains).

Mt Bevan is an iron ore project which has been languishing in the basement of their respective portfolios for years.

Both juniors are now ostensibly gold-focused, but with iron ore prices hitting record highs punters may be speculating that the explorers will dust off the WA project, which – besides a large, low grade magnetite resource – includes a decent chunk of Jupiter Mines’ (ASX:JMS) neighbouring high grade Mt Bevan deposit.

Legacy (ASX:LCY) and Hawthorn (ASX:HAW) share price chart:

RIVERSGOLD (+21%)

The Tolga Kumova backed junior is drilling the Cutler prospect where there appears to be two, high grade gold shoots “not closed off by previous drilling”.

Holes will be punched in to chase extensions to previous drill intercepts like 10m at 11g/t gold.

Riversgold (ASX:RGL) exec director Xavier Braud say this campaign was a bit ‘spur of the moment’.

“We have been very reactive when we heard of availability of a rig at short notice,” he says.

“We had all we needed — targets, drill permits, a team ready to go and a rig became available.

“This is the first drilling program in over 18 months for RGL and we are very excited to finally have the company back on track exploring it’s amazing Kurnalpi project.”

Riversgold (ASX:RGL) share price chart:

PERSEUS MINING (+15%)

Despite COVID, Perseus Mining (ASX:PRU) has successfully poured first gold at its $US265m Yaouré gold mine in Côte d’Ivoire five weeks ahead of schedule.

What an effort.

Perseus expects to achieve commercial production in the March 2021 quarter, when the first gold shipment from Yaouré is also expected to occur.

Perseus – which now owns and operate three gold mines in two West African countries – is on track to produce more than 500,000 ounces of gold per year.