I believe that gold and silver penny stocks will outperform all else going forward as the field offers the biggest potential of gains to be made. The gold and silver microcaps have been beaten up badly by the market as fears in Greece and Europe made a lot of investors clinge to cash. However, I do feel that investors around the world will be willing to take on more risk going forward, and enter riskier positions such as gold and silver explorers and junior mining companies. This is just one reason why I love investing in gold and silver penny stocks - I think many of them could triple in 2012 and 2013.
Credit: onlinestock-investing.usHere are three of my top picks in the gold and silver investing space. These stocks are microcaps and have all been beaten down by the market. I think one reason this has been so is because of the situation in Europe - investors got out of their risky positions and into cash. I feel it is only a matter of time until investors start taking risks again and get back into the microcaps. I also feel that gold is heading to $2,000 in 2012 and even higher in the coming years.
1) PC GOLD (PCGLF.PK)
"PC Gold holds 100% ownership of a rare asset: Pickle Crow, one of Canada’s best known past producing gold mines, located in north western Ontario in a belt of rocks well known for its rich gold deposits. Since assuming ownership in 2008, the company has delivered an array of positive Credit: Yahoo! Financeexploration outcomes from Pickle Crow, both within the vicinity of the mine and elsewhere on the Property.
These include new high grade vein discoveries lateral to the workings such as the No. 19 Vein, the intercept of high grades in the historically top producing No. 1 Vein well below the mine, and new, near surface gold finds at Kawinogans and Central Pat East (CPE)." Read more here: www.pcgold.ca
As of Feb. 13, PC Gold is trading at .32 cents, a 52 week low. It's 52 week high is $1.19. The current market cap is $22.67 million.
PC gold is focused on advancing the Pickle crow property to production and will work advancing the deposit in 2012. This activity includes: "team-building, scoping studies and permitting (all underway), leading to the anticipated dewatering and reconditioning of the historical workings." My target price for end of 2012 is .70 cents a share.
2) ALEXANDRIA MINERALS - (ALXDF.PK)
Alexandria Minerals Corporation is a Canadian gold exploration company focused on exploring and developing one of the largest properties in the prolific Val d'Or, Quebec, gold mining district. The company already has a measured and Indicated resource of 446,891 ounces of gold, and an inferred Credit: Yahoo! Financeresource of 452,869 ounces.
Alexandria currently trades at .13 cents on the US listing mentioned above. The 52-week low is .09 cents, with a high of 23 cents, and the current market cap is around $18 million.
Alexandria has a couple of exciting projects in the Val d'Or and will be releasing new gold estimates on their property in the months ahead. I expect big things from this company going forward and have set a target price of .25 cents in 2012.
3) PILOT GOLD (PLGTF.PK)
Pilot Gold is an exploration stage gold company that engages in the acquisition, exploration, and development of mineral properties in Turkey and Nevada.
"Pilot Gold is led by the same management and technical teams that built Fronteer Gold, a similar growth company acquired in 2011 by Newmont Mining Corporation for $2.3 billion. In 10 years, Fronteer Gold grew from a $2-million venture shell into a well-funded and high-profile gold Credit: Yahoo! Financedevelopment company that discovered or advanced seven deposits." http://pilotgold.com/.
Pilot Gold recently announced exciting news - they reported the first independent resource estimate for the HalilaÄŸa copper-gold porphyry deposit in northwestern Turkey, which they own 40 percent of. The resource estimate said the project has an indicated resource of 1.665 million ounces gold and inferred resource of 1.661 million.
Pilot Gold $1.63 a share, with a market cap of $96 million. The 52-week low is $1.01 and the high is $3.69. My target price for Pilot Gold in 2012 is $3.
Final Note: Investing in this sector and in penny stocks in general can be risky. This post is intended for informational purposes only and is not an individual investment recommendation. I am long all three stocks mentioned in the article.
I wish you the best of luck investing in gold and silver penny stocks - hopefully you will triple your money in 2012!Credit: goodfinancialcents.com