3 No-Brainer Gold Stocks to Buy Right Now

While rare earth minerals and other critical minerals have recently become flashpoints in the escalating trade war between the United States and China, gold has also remained at the top of investors' minds.

But for those interested in becoming gold bugs themselves, where is there to turn? Instead of bulking up on bullion, investors would be wise to consider clicking the buy button on Newmont Mining (NYSE: NEM), AngloGold Ashanti (NYSE: AU), and the VanEck Gold Miners ETF (NYSEMKT: GDX).

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A rock solid balance sheet helps make Newmont a glimmering gold stock to gobble up now

Newmont Mining is the only gold mining stock included in the S&P 500. It's the largest gold stock by market cap available on major U.S. exchanges, helping to make it a glittering choice for those interested in a more conservative gold investment. In addition to North and South America, Newmont operates assets in Australia, Africa, and Papua New Guinea.

While some gold companies rely heavily on leverage to fund their various mining operations, Newmont has an investment-grade balance sheet thanks, in part, to its retiring of $1.4 billion in debt in 2024. Moreover, as of the end of first-quarter 2025, Newmont had a net debt-to-earnings before interest, taxes, depreciation, and amortization (EBITDA) ratio of 0.3.

Newmont has numerous growth projects in its pipeline to ensure it continues producing plenty of the yellow metal in years to come.

NEM Free Cash Flow (Quarterly) data by YCharts.

With the company generating strong free cash flow during this period of high gold prices, it seems likely that the company will be able to fund these projects with organic cash instead of relying on debt or issuing equity to raise capital in the near future.

AngloGold Ashanti is a lustrous choice for passive income-hungry investors

For the most part, those looking to supplement their passive income streams are rushing to gold stocks. Because gold producing operations and activities to identify new resources are incredibly capital-intensive, businesses will often retain the cash they generate to fund future growth. But not AngloGold Ashanti. Instead, the company -- whose stock offers an alluring 3.5% forward yield -- is dedicated to returning capital to shareholders in addition to maintaining its financial health.

The company's recently revised dividend policy targets a base quarterly dividend of $0.125 per share. Additional dividend payments will also be made so that the company is returning about 50% of free cash flow to shareholders in total. All this comes under the condition that the company maintains a net debt-to-adjusted EBITDA ratio under 1.0.

AngloGold Ashanti reported $942 million in free cash flow for 2024 -- a year-over-year improvement of 764%. With the company projecting gold production of 2.9 million to 3.225 million ounces for 2025 and 2026 and gold prices remaining high, the future looks bright for AngloGold Ashanti.

For those mining the market for a more conservative option, there's the VanEck Gold Miners ETF

Risk-averse investors may find an exchange-traded fund (ETF) a more appealing way to gain gold exposure. For these individuals, the VanEck Gold Miners ETF presents a great opportunity. Unlike the risks that investors assume with buying shares of a single mining company, the VanEck Gold Miners ETF mitigates the potential downside of a single company, thanks to the 63 holdings in the fund.

As of the end of March, Agnico Eagle Mines and Newmont represented the two largest positions, each with weightings of about 11.6%. Royalty and streaming companies -- businesses that act as specialized financiers providing upfront financing to mining companies in exchange for things like a portion of the mined metal -- also figure prominently in the fund. Leading royalty and streaming companies Wheaton Precious Metals and Franco-Nevada Corporation are the third and fifth largest holdings in the ETF.

The VanEck Gold Miners ETF has a 0.51% net expense ratio, but it's important to note that the distributions, made annually, help to defray the management costs. As of this writing, the ETF had a 12-month yield of 0.82%.

Which stock is the most golden opportunity right now?

While investors eager to boost their passive income streams with the help of the yellow metal will find AngloGold Ashanti to be a lustrous opportunity, those looking for a bargain will be more drawn to Newmont, which is trading at a discount to its historical valuation. It has a five-year average operating cash flow multiple of 9.7, but it's now changing hands at 7.6 times operating cash flow.

On the other hand, those who are more circumspect in their approach to a gold investment will want to dig deeper into the VanEck Gold Miners ETF, which brands itself as the "nation's first gold miners ETF."

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Scott Levine has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.