U.S. Global Investors: An Amazing Opportunity In Dividends, Value, Growth, And Gold

U.S. Global Investors Inc. (Nasdaq: GROW) manages the U.S. Global Investors Gold and Precious Metals Fund (MUTF:USERX) an award winning gold stock mutual fund. U.S. Global Investors Inc. has a strong historical correlation with gold prices, acting as a leveraged investment vehicle with characteristics similar to a gold mining stock, (without the particular risks involved in operating a gold mine). They peaked in value in 2006. As interest in mutual funds and gold funds declined, the company lost assets under management. This began the decline in share price from over $30 starting in 2006 and bottoming in 2016 at 96 cents.

The share price has traded between 96 cents on 2/3/16 to a high of $2.30 on 7/12/16. It has recently traded as low as $1.25 5/3/17. The stock is currently trading around $1.40, a slight increase from the recent higher-low. The stock began trending up in price following the recent quarterly statements. I expect we will see it break above the recent highs around $2 (2/17) and $2.30 (7/16) in the foreseeable future.

The company restructured their business to reduce regulatory and administrative costs at the end of 2015 and has begun launching ETF products to shift the company away from Mutual Funds. It manages the U.S. GLOBAL JETS ETF (NYSEARCA: JETS) and will soon be launching a gold related ETF. Revenues appear to have bottomed and are rebounding. Earnings appear to have bottomed and after a period of losses, the company is now breaking even and... Read more

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