Mining stocks rose in price following gold's record. What do analysts expect?

Shares of gold mining companies soared after the price of gold exceeded $5100 for the first time. The growth in the value of the metal increases the revenue and profitability of mining companies. Analysts do not yet predict the end of the rally.

- Shares of U.S. gold mining company Newmont rose 3.7% to $128.99 in trading on January 26. This is a new historical maximum for the company's securities.

- Quotes of the American company Freeport-McMoRan added more than 5%.

- Shares of Canadian mining company Barrick Gold have hit their highest level since 2011. At the peak during trading, they rose more than 4% to $53.28.

- Shares of Canada's Agnico were also up more than 4%.

- Shares of U.S. Coeur Mining and Hecla Mining were up 6% and 7%, respectively.

The rally comes amid another surge in gold prices, which hit an all-time high, rising above $5100 per ounce. Gold, which has the status of a protective asset, is rising in price amid geopolitical uncertainty, expectations of easing US monetary policy and increased market volatility. Since the beginning of 2026 alone, gold has risen in price by more than 18%.

Investors are increasing their investments in the industry amid expectations of improved financial performance and reduced risks, Reuters writes. Higher gold prices increase revenues and profitability of mining companies, strengthen cash flows, and provide companies with more opportunities to finance expansion, pay dividends or reduce debt, the agency notes.

Analysts allow the price of gold to rise further. Goldman Sachs recently raised its gold forecast from $4900 to $5400 per ounce for December 2026. The investment bank argued that hedging of global macroeconomic and political risks has become sustainable, recalls CNBC.

Societe Generale forecasts $6,000 an ounce by the end of the year and calls this scenario "rather conservative," Reuters writes.

This article was AI-translated and verified by a human editor