From October 24, 2008 through today, gold has traded at a median price equal to 3.2982% of M2 Money Supply Per Capita and always returns to this median. Today, with M2 Money Supply Per Capita of $65,057.91 a return to the median will value gold at a new all-time nominal high of $2,145.74 per oz. By gold hitting a new all-time nominal high, which is 100% inevitable in the upcoming months... everybody in the world will begin investing into gold and gold mining stocks.
Augusta Gold (TSX: G) has the most upside potential relative to downside risk. Billionaire Richard Warke purchased his initial G stake at $1.20 per share. Years from now when Richard Warke takes a new company public and brags about the gains that G made, it will be based on his initial G investment price of $1.20 per share.
Take a look at the performance of all of Richard Warke's previous companies:
Ventana Gold acquired for 12,960% above his initial investment price, Augusta Resource Corp acquired for 3,300% above his initial investment price, Arizona Mining acquired for 6,100% above his initial investment price, Equinox Gold at its all-time high gained by 4,385.71% from his initial investment price (the company was originally known as Catalyst Copper and then became NewCastle Gold before merging with two other companies to form Equinox), and Equinox's gains don't include its spin-off of Solaris Resources, which gained at its all-time high by 1,044.67% from its mid-2020 IPO price.
On average his five previous companies gained by 5,558%.
We are only anticipating a 1,000% gain for G over the next twelve months, but gold's rally is likely to last for 36 months, so G could ultimately gain by 5,558% when gold returns to its 1980 high as a percentage of M2 Money Supply Per Capita of 12.96%, which would currently value gold at $8,431.50 per oz.
Past performance is not an indicator of future returns. NIA is not an investment advisor and does not provide investment advice. Always do your own research and make your own investment decisions. This message is not a solicitation or recommendation to buy, sell, or hold securities. NIA's President has purchased 174,200 shares of G in the open market and intends to buy more shares. This message is meant for informational and educational purposes only and does not provide investment advice.