Gold has been on a tear in 2025. It’s holding steady around $3,300 an ounce, not far off its all-time highs, driven by geopolitical uncertainty, sticky inflation and renewed trade tensions.
You’d expect gold miners to be flying. And many are. But according to UBS, some UK-listed names still look surprisingly cheap.
Gold stocks are finally catching up, but there’s more to go
After lagging behind the metal for much of the past few years, gold equities are back in fashion. The GDX index, which tracks global gold miners, is up 45% year to date. That’s around 20% ahead of the gold price itself.
But UBS reckons the rally hasn’t gone far enough. Using a blend of valuation methods, including enterprise value to EBITDA (EV/EBITDA) and net present value (NPV).
The bank estimates that most miners are still pricing in gold at just $2,700 to $2,875 an ounce. That’s a hefty discount to current prices.
