$10,000 invested in this ASX 200 stock at the start of 2025 is now worth over $20,000

…and here's what we can expect next.

Key points
  • Regis Resources' shares surged 149.61% year-to-date, significantly outperforming the ASX 200 index, bolstered by rising gold prices and strong financial performance.
  • The company's revenue increased to $447 million from gold sales, with an average price of $5,405 per ounce, boosting cash and bullion reserves to $675 million.
  • Bell Potter and UBS both give Regis Resources a buy rating, predicting potential upsides of 9.5% and 12.6% respectively, driven by its unhedged gold price exposure and robust cash flow.

The S&P/ASX 200 (ASX: XJO) index fell by 58.6 points at the close of the week on Friday afternoon, or 0.7% to  8769.7 points. For the year the index is 5.72% higher.

Although, thanks to this year's gold price rally, the annual gains from some gold mining stocks have significantly outperformed the index over the past 12 months.

Regis Resources Limited (ASX: RRL) shares ended the week 1.83% lower at $6.44 a piece. Over the past month the shares have climbed 3.04% and they're now a massive 149.61% for the year to date.

That means that $10,000 invested in Regis Resources at the start of 2025 is now worth a huge $20,961.

The gold production and exploration company, which is based in Western Australia (WA), owns the Duketon Gold Project in the North Eastern Goldfields of WA and owns 30% of the Tropicana Gold Mine, on the edge of the Great Victoria Desert in WA.

The ASX 200 gold miner also fully owns the proposed McPhillamys Gold Project in Central Western New South Wales, which has been touted as one of Australia's largest undeveloped open-pit gold mines. The project is currently going through the development application process. If approved, the mine should produce around 2 million ounces of gold.

A woman's hair is blown back and her face is in shock at this big news.

Image source: Getty Images

What pushed Regis Resources' share price higher this year?

The miner is benefitting from a rocketing gold price, combined with its own impressive financial results.

Regis recently published its quarterly report to the ASX, which showed the company generated $447 million in revenue from gold sales at an average realised price of $5,405 per ounce.

That was significantly higher than the $296 million generated in the same quarter last year, when the company received $3,717 per ounce of gold it sold.

The company also said it had cash and bullion worth $675 million at the end of the September quarter, up $158 million over the three-month period.

Is there more to come from the ASX 200 gold miner?

Analysts seem to think so.

Bell Potter assigned a buy rating and $7.05 price target on Regis Resources shares, commenting that the company is "rolling in dough". At the time of writing, this suggests a potential upside of 9.5% for investors over the next 12 months. 

The broker added that Regis Resources' fully unhedged exposure to the gold price means that it is generating significant cash flow right now. This is expected to strengthen the company's balance sheet, providing flexibility growth and shareholder returns.

UBS also has a buy rating on the stock, with a $7.25 price target, which suggests a slightly higher potential 12.6% upside for investors over the next 12 months. 

Macquarie analysts are a little more conservative. They have a neutral rating and 12-month price target of $6.80 on the stock, which implies a potential upside of 5.6% at the time of writing.

0Motley Fool contributor Samantha Menzies has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

More on Gold

Stacked gold bricks.
Gold

This ASX gold technology company could rise by more than a third, RBC Capital Markets says

The potential market for this company is large, the broker says.

Read more »

3D render of gold dollar with arrow sign.
Gold

Why are Northern Star shares rocketing 8% on Wednesday?

Northern Star shares surge on takeover speculation.

Read more »

Smiling Indian manager leaning on chair.
Gold

Up 250% in 12 months, Bell Potter says this ASX 200 gold stock can rise another 73%

This gold stock hasn't peaked yet according to the broker.

Read more »

Businessman planning and analysing investment data.
Gold

Is the Northern Star share price a cheap buy?

I take a closer look at whether this gold share still offers value after Yesterday's jump.

Read more »

Judge's gavel and justice scales
Gold

Guess which ASX stock is rocketing 46% today

This gold explorer is making headlines.

Read more »

Gold bullion leaning on a stack of gold ingots.
Gold

Why I'd buy the dip in top ASX 200 gold stocks like Newmont, Northern Star and Evolution Mining shares today

I think the recent pullback in top ASX gold stocks like Evolution Mining presents an opportune buying opportunity.

Read more »

Stacked gold bricks.
Gold

If I'd put $3k in this ASX 200 gold stock 12 months ago, I'd have $12,500 now

The gold shares have slid lower on Thursday, but that doesn't tell the whole story.

Read more »

Two miners examine things they have taken out the ground.
Gold

$10,000 invested in Evolution Mining and Northern Star shares 3 years ago is now worth…

Here’s how the three-year returns from Evolution Mining and Northern Star shares stack up.

Read more »