E.D. Hart

3 Promising Gold Stocks

I dunno, Citigroup and Bank Of America are under new management too...not so sure about them when I have proven racehorses in the stall. Why do I want to bet on a wildcard (horse)? Excuse the mixed metaphor.

To paraphrase uncle Warren, "Id rather be sure of a good thing than hopeful of a great thing". True, Barrick may outperform, but its a little too much hope and not enough evidence for me.

I'll stick with capital creators, and not capital destroyers. I might be wrong, and Barrick may shoot the lights out--but I'll sleep better. Isnt that what gold is supposed to do?

3 Promising Gold Stocks

Barrick has been an absolutely horrible investment over the last decade compared to the other gold miners because they have lost a ton of money. Going forward with hedges is good, but I'm not enamored of their management.

Goldcorp does a much better job, and has a higher growth profile. NG as holdings in Alaska which may or may not be developed. They have gone nowhere in ten and five years, and lose money every year. Good lottery ticket, but that's not why people usually buy gold. For security, consider consistently profitable miners in politically safer jurisdictions: GG, AUY, and consider RBY.

The last company Rubicon Minerals is worth owning, because, unlike NG, it is surrounded by existing mining infrastructure that makes it almost inevitable they will either be bought out by their large mining neighbor Goldcorp, or they will develop a mine with highgrade ores next to existing roads and processors. Also, Rob McEwan owns something like 23% of RBY--he is the former CEO of GoldCorp.

Long GG, AUY, RBY.