...if it hasn't done in the past, many gold stock hodlers are still hopeful it will one day.
...fact is gold stock outperformance relative to Gold is over a short period, not over time.
...one must not forget that low hanging fruit of gold near surface ground is gone, developers have to go deeper and it would cost more to explore and extract gold now than in the past.
Some notes on Gold Stocks vs. Gold Chart is from 1950-2022
Current ratio is 0.35x 1960s ratio is artificially strong because gold stocks began a bull market in 1960 and Gold price was fixed until 1971. (Many disparaging miners start their charts in 1970 when miners vs. Gold was artificially high).
Introduction of Gold ETFs in mid 2000s and secular bear market (2011-2023) explains the recent weakness vs. Gold.
Look for the ratio to rally back to the median or close, over the coming years.
