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Gold Investing

Investor Education: Gold and Silver Stock Evaluation with Expert Don Hansen

Private investor Don Hansen has honed his resource sector investment approach for more than 20 years.

Speaking to the Investing News Network, he outlined the factors he looks at when evaluating gold and silver stocks, first mentioning four elements he looks at for all companies: management, ownership, location and financial status.

Hansen then discussed producers, developers and explorers, mentioning his specific criteria for each.


For example, when it comes to producers, he considers cost of production and whether the company has internal growth potential. In the case of developers, he carefully examines the company's preliminary economic assessment; he also likes to see a clear trajectory for next steps, including timelines for a prefeasibility study, permitting, construction and production.

At the exploration stage, Hansen wants to see companies with the ability to raise money, preferably from high-profile investors. He also said skilled geologists are key at this stage, as are good relationships with labs that process drill results.

Watch the interview above for more of Hansen's thoughts on how to evaluate gold and silver stocks. You can also click the the timestamps below to view specific parts of the interview:

  • 0:00 — Intro
  • 0:48 — Terms Don will use in the interview
  • 6:07 — Must-haves for all mining stocks
  • 13:39 — How to evaluate producers
  • 16:51 — How to evaluate developers
  • 26:03 — How to evaluate explorers
  • 30:33 — Use websites to get key info
  • 33:44 — Outro

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Securities Disclosure: I, Charlotte McLeod, hold no direct investment interest in any company mentioned in this article.

Editorial Disclosure: The Investing News Network does not guarantee the accuracy or thoroughness of the information reported in the interviews it conducts. The opinions expressed in these interviews do not reflect the opinions of the Investing News Network and do not constitute investment advice. All readers are encouraged to perform their own due diligence.