Always Assume Gold/Silver Boom Goes Bust When Investing
Always assume the gold and silver boom will eventually go bust. Never invest as if the current upcycle is guaranteed to turn into a bubble.
That mindset is exactly why we focus on free cash flow, asset quality, execution, and valuation discipline… not hype or momentum.
For example, many people ask us about Americas Gold and Silver (TSX: USA). We struggle to understand why the company is valued at $2.17 billion.
Contango ORE (CTGO), soon to be Contango Silver & Gold, is generating significantly higher free cash flow at a tiny fraction of USA’s market cap. The silver assets CTGO is acquiring are materially higher quality than USA’s silver assets, yet the market is pricing CTGO as if none of this matters.
Some argue that USA’s outperformance is due to its minor antimony production, but USA doesn't have an antimony resource.
Meanwhile, NevGold (TSXV: NAU) is preparing to publish a high-grade antimony/gold resource in Nevada. At present, the only company with a defined U.S. antimony resource is Perpetua Resources (TSX: PPTA), which surged 13.42% yesterday to a $4.92 billion market cap. NevGold’s market cap is just 1/49th of PPTA… and we actually like NevGold's antimony/gold project better!
In Mexico, Minaurum Gold (TSXV: MGG) owns exactly the type of silver asset the major miners are desperate for. Its Alamos Silver Project is one of the highest-grade, fully permitted, silver-dominant polymetallic projects in the world. A maiden silver resource estimate is coming soon, followed by a 50,000-meter silver resource expansion drill program through 2026. At some point in 2026, look for MGG to launch exploration in Nevada at Lone Mountain, which is 28 km northwest of the Eureka Mining District where North Peak Resources (TSXV: NPR) is located.
North Peak Resources (TSXV: NPR) remains almost completely undiscovered. Its market cap is just 1/26th of the directly adjacent i-80 Gold (TSX: IAU). About 13 months ago, NPR traded at 1/8th of IAU’s market cap, and new NPR drilling results are coming shortly. NPR’s Executive Chairman, Harry Dobson, founded Kirkland Lake Gold, growing it from a $20 million market cap to $2 billion… and NPR’s Prospect Mountain Mine Complex bears striking similarities to Kirkland Lake’s original Ontario asset.
Lahontan Gold (TSXV: LG) offers some of the greatest leverage to rising gold prices. While its grades don’t rival NPR’s, its large gold resource base and extremely low market cap give it outsized upside as gold prices move higher.
Titan Mining (TSX: TI) has commenced ore feeding at its Kilbourne graphite demonstration facility. We like Titan as a way to diversify away from buying all gold/silver stocks. TI is focused on zinc (priced at all-time lows in terms of gold) and graphite (will supply 50% of U.S. graphite demand).
The only metal that's more undervalued than zinc is nickel, and Noble Mineral Exploration (TSXV: NOB) owns a 20% stake in Mann West and Mann Central, which are likely to surpass Crawford in 2026 to become among the largest nickel sulphide resources in the world.
When we say to go "all-in" on Trio-Tech International (TRT) we are kidding, but it is seriously going to be a top performer in 2026, so it probably isn't a bad idea!
Rio Tinto has just acquired more than 5,000 new natural hydrogen claims in areas adjacent to QI Materials (CSE: QIMC) in Nova Scotia.
Past performance is not an indicator of future returns. NIA is not an investment advisor. Always do your own research. NIA’s President has purchased 5,000 shares of CTGO in the open market and intends to buy more shares. NIA has received compensation from CTGO of US$80,000 cash for a ten-month marketing contract. NIA has received compensation from NAU of US$100,000 cash for a twelve-month marketing contract. NIA is receiving compensation from MGG of US$100,000 cash for a twelve-month marketing contract and previously received US$60,000 cash for past marketing contracts which have since expired. NIA’s President has purchased 60,000 shares of NPR in the open market and intends to buy more shares. NIA has received compensation from NPR of US$50,000 cash for a six-month marketing contract and previously received US$50,000 cash for a six-month marketing contract which has since expired. NIA’s President has purchased 200,000 shares of LG in the open market and intends to buy more shares. NIA has received compensation from LG of US$50,000 cash for a six-month marketing contract. NIA is receiving compensation from NOB of US$50,000 cash for a six-month marketing contract and previously received US$50,000 cash for a six-month marketing contract which has since expired. NIA has received compensation from QIMC of US$50,000 cash for a six-month marketing contract. This message is for informational and educational purposes only.
