Preparing the Bill Cara Gold 50 List

Later this month, I will unveil the Cara 50 candidates that I will be trading in two subscriber-accessible portfolios. One is for 25 large producers and royalty companies. They have market capitalizations above US$2 billion. The other is for 25 producers and royalty companies that have market caps below US$2 billion but above US$300 million.

Here is a list of 36 of my 50.

Anybody can trade the stocks I am listing but I am going to be trading this list for subscribers because I believe there will be periods of significant volatility in the months ahead that must be monitored closely every day and traded to capture gains and lessen risks. This is what I do. What I will also do is be independent and objective relative to many of the Seeking Alpha writers and Financial TV pundits who talk their book. Yes, I will hold many of these stocks, but I will also write up the bad as well as the good information that you need to consider.

As I was preparing the list I was thinking that every day on Financial Entertainment TV, I hear many names of tech, cannabis, and biotech companies that you all know but still have a tiny fraction of the revenues, earnings and cash flow of names on this list that most investors have never heard of. Take B2Gold for instance. The company will produce one million ounces of Gold this year at an All-In Sustaining Cost of just US$825/oz. Gold is now priced at almost $2,000/oz, so the earnings there are massive, and they will continue and even grow for many years. Should the price of Gold rise to $2,500/0z or higher (much higher) as many investors believe, the financial leverage here is substantial.

If you don’t do the homework, you could miss the opportunity of a lifetime. So, every day, I will try to write about one of these 50 companies. All of the 50 companies I have selected are sound — some more so than others, which I will try to point out. At the same time, I could be writing up so many others on my radar, but most of those are smaller and present more risk. There is also the penny dreadfuls that promoters will be pumping you daily, which I would avoid.

In the next few months, I anticipate a large pullback in what has been a phenomenal increase in equity prices. In some cases, like Microsoft (MSFT), the earnings support the interest of investors, and in the Biotech group, which I reported on recently, there are still some opportunities, but frankly, the market risk is growing. Despite some phenomenally strong fundamentals, the prices of my Goldminer 50 will drop at times along with the market. However, the company fundamentals are sustainable, and so the share prices will become even more attractive. So, in that case, it makes sense to buy the dips. Longer-term, I envision $2500 Gold and strong share prices in the Precious Metals for 18-36 months. At some point, I anticipate a share price melt-up that prudent investors will sell.

So, what I am saying here is that this group of 50 stocks will be 2x to 5x winners in less than 36 months based on earnings, cash flow, and dividends.