The All Ordinaries Index (ASX: XAO) has gained 6.6% over the past 12 months, but this ASX All Ords gold stock has left those gains far behind.
The outperforming Aussie miner in question is New Murchison Gold Ltd (ASX: NMG).
New Murchison shares closed on Monday trading for 4.9 cents apiece. If you were able to turn the calendar back one year to 5 May 2025, you could have picked up shares at market close for just 1.6 cents each.
That sees this ASX All Ords gold stock up a whopping 206.3% in 12 months. Or enough to turn an $8,000 investment into $24,500.
And according to the team at Taylor Collison, New Murchison is well-positioned to deliver further outperformance.
Here's why.
Image source: Getty Images
ASX All Ords gold stock on the growth path
New Murchison reported its March quarter results on 28 April.
"We are very pleased to report on our second full quarter of production and to demonstrate continued strong operational performance," New Murchison CEO Alex Passmore said.
He noted that over the quarter, the ASX All Ords gold stock consolidated its operations at its Crown Prince gold mine, located in Western Australia.
Over the three months, the miner generated $63.6 million in cash from sales of 173,174 tonnes of ore containing 16,660 ounces of gold.
Looking ahead, Passmore said:
Exploration of NMG's tenement package accelerated with the initial focus on near-mine opportunities. Exploration is continuing to build a great foundation for NMG's development pipeline throughout our highly prospective Murchison gold fields tenement package.
Why Taylor Collison is bullish on New Murchison Gold
Following New Murchison's quarterly release, Taylor Collison said:
The A$63.6m quarterly build takes the balance sheet to A$155.6m, which we forecast to exceed A$200m by EOFY26. This removes equity dilution risk from any of the strategic pathways on the table
The broker noted that the ASX All Ords gold stock's cash balance is impressive relative to its current market cap.
According to Taylor Collison:
With no debt, no hedging and a cash balance approaching ~$190m vs ~$530m market cap, we think NMG looks undervalued vs it peers as it is now a proven producer that has genuine optionality across UG development, regional satellite pits, a standalone processing solution, or value-accretive M&A, with the late-May resource update and June UG feasibility plan as near-term catalysts to firm up the first two pathways. We continue to view Crown Prince as a platform asset rather than a single-pit story…
Then there's the potential of some passive income payouts down the road.
Taylor Collison added:
With NMG now paying tax and generating franking credits, capital return via a special dividend or formal dividend policy also emerges as a credible option should management elect to prioritise shareholder returns over reinvestment.
Connecting the dots, the broker reaffirmed its speculative buy rating on the ASX gold share with a price target of 6.8 cents a share.
That's more than 38% above New Murchison Gold's closing price on Monday.
