3 Top Stocks to Buy as Gold Hits Record Highs

Gold just smashed $4,000! Here are 3 top gold stocks to buy now for explosive margins and rich shareholder returns. Don’t miss the rally!

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Key Points

  • Newmont (NEM) stock: A diversified global leader offering booming shareholder returns, and massive share buybacks fueled by record cash flow.
  • Kinross Gold (K): A low-cost gold producer set to see its profit margins explode with gold at US$4,000, offering stellar returns and major future growth from its Canadian Great Bear project.
  • Agnico Eagle (AEM): A low-risk Canadian gold stock with ultra-low production costs, a strong commitment to shareholder returns, and a pristine balance sheet.

International gold prices have shattered records in 2025, finally surpassing the thrilling US$4,000 per ounce mark this week. This surge is fueled by a potent mix of global uncertainty, from trade tensions and political clashes to a recent U.S. government shutdown. Investors watching this glittering rally could be wondering how to participate. Fortunately, Canada is home to some of the planet’s most formidable gold mining giants, and gold stocks have been powerful engines driving the TSX to new heights this year.

While the gold rally has lifted all gold miners, it’s worth noting that this environment can turn even the least viable projects into instant money-makers. However, gold remains a volatile asset, and buying low-quality stocks at bullion’s all-time highs is a momentum strategy that carries significant risk. If you’re looking to add some golden luster to your portfolio in October, here are three top gold stocks to consider as bullion prices sparkle.

Newmont Corporation

Newmont Corporation (NYSE:NEM) is the world’s largest gold miner with a diversified portfolio that includes other soaring metals like silver. With mines spread across North and South America, Australia, and Africa, its operations are insulated from region-specific political risks.

What makes Newmont stock particularly appealing for investors is its investor-friendly capital return policy, which becomes even more generous as gold prices climb. The company is flush with cash, as evidenced by its record quarterly free cash flow of US$1.7 billion reported in July. It’s using that strength to aggressively repurchase shares, doubling its buyback authorization for 2025 to a hefty US$6 billion.

For production growth, look to Newmont’s robust pipeline of projects, like the new Ahafo North mine in Ghana, which celebrated its first gold pour in September and is expected to produce over 275,000 ounces annually for 13 years.

With a 2025 production forecast of 5.6 million ounces at an All-in Sustaining Cost (AISC) – a comprehensive measure of production costs – of US$1,620 per ounce, its profit margins are set to explode with gold at US$4,000.

Newmont stock has rewarded its shareholders with a stunning 140% in total returns so far this year.

Kinross Gold

If you want to bet on efficiency, Kinross Gold (TSX:K) stock is a compelling choice. As a Tier 1 producer, its projected AISC of around US$1,500 per ounce in 2025 is among the lowest in the industry. Think of it this way: the higher the gold price climbs above this cost floor, the wider its profit and cash flow margins become. This operational excellence has propelled the stock to deliver nearly 170% in total shareholder returns this year, widely outperforming most industry peers.

Kinross expects to produce roughly 2 million gold-equivalent ounces every year through 2027. Its key to future growth lies in its Great Bear project in Canada. If developed as planned, this asset could churn out over 500,000 ounces of gold annually for at least 10 years starting in 2029, likely at costs that remain in the industry’s most attractive tier.

Kinross represents a pure play on expanding margins for Canadian gold stock investors, making it one of the top TSX gold stocks to buy in October as it turns high gold prices into record earnings.

Agnico Eagle Mines stock

Investors who prize stability will like Agnico Eagle Mines (TSX:AEM) stock as a standout gold play. As Canada’s largest mining company and the world’s second-largest gold producer, it operates primarily in politically safe jurisdictions like Canada and Australia, giving it the lowest geopolitical risk profile on this list.

In the first half of 2025, Agnico demonstrated its operational prowess by producing over 1.7 million ounces of gold at a remarkably low AISC of US$1,235 per ounce. Imagine the cash flow gusher’s performance with gold prices now at US$4,000!

Agnico Eagle’s AISC margin has already jumped significantly, and its net income per share may double this quarter.

The company generously shares its growing wealth with investors, having returned a third of its free cash flow to shareholders in the first half of the year, largely through buybacks.

Furthermore, Agnico is using its excess cash to strengthen its balance sheet, paying down over half a billion dollars in debt last quarter. With its flagship Canadian Malartic mine expanding underground to extend its life, Agnico Eagle offers a powerful combination of financial discipline, shareholder rewards, and low-risk production, all of which have contributed to its 110% total return this year.

Fool contributor Brian Paradza 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.

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