Zacks Market Edge · Zacks Investment Research

3 Dirt Cheap Gold Mining Stocks

September 5, 2025·33 min·3 clips

Gold just hit an inflation-adjusted all-time high at $3,600 an ounce—what does that mean for investors?

Gold recently reached an all-time high of around $3,600 per ounce, prompting host Tracy Reineck to analyze gold mining stocks as a leveraged investment. Reineck, a value investor, screens for gold miners with a Zacks Rank of #1 (Strong Buy), #2 (Buy), or #3 (Hold) and a forward P/E ratio under 20. The screen yields 15 stocks, with forward P/Es ranging from 2.5 to 18.65. Reineck highlights Namib Minerals (NAMM), a small-cap stock based in Zimbabwe with a P/E of 2.5, which is expected to swing from a loss of $1.24 per share last year to a profit of $1.21 this year. Dundee Precious Metals (DPMLF), with a P/E of 8.48, is headquartered in Canada but operates mines in Bulgaria, Serbia, and Ecuador. Centerra Gold (CGAU), trading at a P/E of 10.1, pays a dividend yielding 2.39% and has mines in Turkey and the Kurdish Republic. The analysis reveals that while gold itself is up 23% over six months, some miners like Dundee Precious Metals and Centerra Gold have surged 62% and 44.4%, respectively, outperforming the metal. Reineck also notes the #1-ranked DRD Gold (DRD) and the well-known #2-ranked Gold Fields Limited (GFI), a $30 billion market cap company with earnings expected to jump 93.9% this year. A surprising insight is that many gold miners, despite record free cash flow, are prioritizing share buybacks and debt repayment over dividend increases. The extremely low P/E of Namib Minerals is partly attributed to its recent public listing and a 90% price drop over the past six months, highlighting the volatility of small-cap international miners. Reineck cautions that a very low P/E can signal underlying risks or a lack of analyst coverage, which is common in the gold mining sector after years of being out of favor. The episode has an educational and conversational tone, guiding listeners through a specific stock-screening methodology. Reineck adopts a pragmatic style, openly stating when she is unfamiliar with a company and emphasizing the need for further personal research. This episode is ideal for value-oriented investors seeking specific, data-driven ideas for capitalizing on the gold rally. Listeners who prefer broad market ETFs or are uncomfortable with the geopolitical and operational risks of individual mining stocks might want to skip it.

As heard by us

A gold-miner screen that asks whether cheap still means cheap.

Gold gets the headline, but the real question is simpler: is a miner cheap, or just polished that way? Tracy Reineck walks through a plain screen, with gold at all-time highs, most miners still unhedged, debt still in the picture, and estimates that can change the picture fast.

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Why you'd press play

Gold is at fresh highs, and one miner still screens cheap.

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