We recently published a list of 10 Best Canadian Gold Stocks to Buy Now. In this article, we are going to take a look at where Wheaton Precious Metals Corp. (NYSE:WPM) stands against other best Canadian gold stocks to buy now.

Gold remains a trusted store of value during economic uncertainty. Due to global inflation, geopolitical tensions, and central bank demand, the appeal of gold is surging to new highs. According to Fortune Business Insights, the global gold market, worth $291.68 billion in 2024, is projected to reach $457.91 billion by 2032, growing at a CAGR of 5.8%. Reuters reported that this price surge has attracted investors, with spot gold hitting a record $2,936.38 per ounce and U.S. futures reaching $2,956.10.

Investor interest remains high as gold-backed ETFs saw a 26% jump in 2024, their best performance since 2010. Additionally, central bank demand is expected to exceed the 500-ton long-term average in 2025, further supporting prices, though any purchasing slowdown could pose risks.

Macroeconomic factors also affect gold’s future as the U.S. recently imposed a 25% tariff on Mexican and Canadian imports, along with additional duties on Chinese goods, sparking inflation worries. While automakers received temporary exemptions, market uncertainty persists. According to a Reuters survey, investors are watching the upcoming U.S. non-farm payrolls report, which could affect Federal Reserve policy and gold prices.

On the supply side, global gold production held steady at about 3,300 metric tons in 2024, with China, Russia, Australia, and Canada as the top producers. Meanwhile, the recycled gold supply rose 11% to 1,370 tons, reflecting increased market liquidity. With China and India accounting for over 60% of annual gold consumption, the countries remain crucial market influencers in 2025.

However, global gold trade patterns are shifting from their traditional eastward flow to meet China’s and India’s demands. Gold shipments are now being redirected to the U.S. as Asian retail demand weakens. Reuters reported that bullion banks are capitalizing on Comex futures rather than premium spot prices by redirecting gold supplies to the U.S. Furthermore, U.S. gold inventories have jumped nearly 80% since late 2024, with increased imports from London, Switzerland, and Asian markets, cementing America’s key role in the global market.

Additionally, technological innovation is reshaping the gold industry. Advances in bio-leaching, cyanide-free processing, and nanotechnology are boosting extraction efficiency and sustainability, promising lower environmental impact and positioning the sector for long-term growth.

Entering 2025, the U.S. gold market continues to be shaped by inflation, geopolitical uncertainties, changing trade policies, and technological advances. Amid these shifting market dynamics, gold remains a vital asset for those seeking security and growth potential.

Methodology

To compile our list of the 10 Best Canadian Gold Stocks according to hedge funds, we used the Finviz stock screener to find the 30 largest Canadian companies that are involved in the production, extraction, processing, or sale of gold. We then used Insider Monkey’s Hedge Fund database to rank those stocks according to the number of hedge fund holders as of Q4 2024. Finally, we picked ten stocks with the highest number of hedge fund holders. The list is sorted in ascending order of hedge fund sentiment.

Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).

Wheaton Precious Metals Corp. (NYSE:WPM)

Number of Hedge Fund Holders: 25

Wheaton Precious Metals Corp. (NYSE:WPM) is a key player in precious metals streaming, providing miners with upfront capital to secure discounted purchase rights for gold, silver, and other metals. The company has established itself in the streaming sector with a portfolio spanning the Americas and Europe.

Wheaton Precious Metals Corp. (NYSE:WPM) reported remarkable growth for the third quarter ended September 30, 2024, with revenue jumping 38% year-over-year to $308 million. Net earnings rose by $38 million, reaching $155 million, largely due to higher gold and silver prices. The company also posted a record $254 million in operating cash flow, demonstrating strong profitability.

Furthermore, despite lower output from Salobo and Constancia, Wheaton Precious Metals Corp. (NYSE:WPM) maintained a strong balance sheet with $694 million in cash and a $2 billion undrawn credit facility. This financial flexibility reinforced its standing as one of the best Canadian stocks.

In addition, Wheaton Precious Metals Corp. (NYSE:WPM) invested $100 million in expanding streaming rights on Rio2’s Phoenix project. It finalized a $175 million agreement for Allied Gold’s Kurmuk project in Ethiopia, securing 6.7% of gold production until 220,000 ounces have been delivered and 4.8% for the mine’s remaining lifespan.

In the future, Wheaton Precious Metals Corp. (NYSE:WPM) aims to increase annual production by 40%, targeting over 800,000 gold equivalent ounces by 2028. Several key projects, including Blackwater, Goose, Platreef, and Mineral Park, will begin production in 2025, with Blackwater alone expected to yield 500,000 GEOs annually at full capacity.

Overall, WPM ranks 6th on our list of best Canadian gold stocks to buy now. While we acknowledge the potential of WPM, our conviction lies in the belief that certain AI stocks hold greater promise for delivering higher returns, and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than WPM but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.