U.S. Global Investors (NASDAQ:GROW) CEO Frank Holmes told investors that the company is “very happy” with how its gold equity funds have performed so far this year as gold touches new record highs.
“Gold mining companies are rewarding investors with rising free cash flow (FCF), dividends, and strong returns, making them, I believe, a compelling opportunity.”
Holmes' comments come as U.S. Global Investors, a registered investment advisory firm specializing in gold mining stocks and the airline industry, announced it will continue its monthly dividend payments through June 2025.
The Board of Directors approved a $0.0075 per share monthly dividend.
The dividend translates to an annualized yield of 3.91%, the company noted. The company also reported a strong shareholder yield of 10% as of the end of December 2024.
The gold market has surged in 2025, U.S. Global Investors noted, with prices surpassing $3,000 per ounce in March, driven by safe-haven demand, trade tensions, and expectations of interest rate cuts.
Meanwhile, the gold mining sector has outperformed both gold bullion and the S&P 500, while global central banks, including China and Turkey, continue to aggressively increase their gold reserves to diversify away from the U.S. dollar.
U.S. Global Investors said its focus on gold mining equities aligns with these trends.