The TSX’s Basic Materials sector overwhelmingly dominated the investment landscape for most of 2025. Gold stocks are the primary drivers of the sector’s bull run. Top performers like Skeena Resources (TSX: SKE) and DPM Metals (TSX: DPM) are likely to deliver superior returns in 2026 due to an extended gold rush.
Skeena Resources and DPM Metals have different investment cases. Still, both are extremely appealing to growth investors. The gold stocks offer compelling exposure to precious metals.
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Skeena Resources: A high-growth developer
Skeena Resources is alluring not yet for its profitability, but for its next-generation of gold and silver development. As of this writing, the mid-cap stock trades at $29.28 per share, up nearly 135% year-to-date. SKE’s total three-year return is 279.8%-plus.
The $2.5 billion precious metals developer is advancing the Eskay Creek Gold-Silver Project in the Golden Triangle, British Columbia, Canada. Eskay Creek has massive geological potential and is poised to become one of the world’s highest-grade and lowest-cost open-pit gold-silver mines.
As mentioned, current financials show no profit. However, the resource quality and future asset value of the core asset continue to drive the stock price higher. Skeena is writing a ‘growth story’ in a stable, low-risk, renowned mining jurisdiction: Canada.The startup world-class mine is worth the wait.
The Tahltan Nation is Skeena’s partner in advancing the flagship project. According to management, once operational, Eskay Creek is an incredible resource offering significant long-term benefits to both partners. Notably, the projected substantial silver-by-project production may surpass that of many silver mines worldwide.
Skeena’s future in gold and silver is very lucrative. In addition to the expected high gold grade, it’s going to be a large-scale production. Eskay Creek will produce 450,000 gold equivalent ounces annually in years 1 to 5. The projected annual after-tax cash flow is $1.1 billion in the same period.
For silver, Eskay Creek will produce 9.5 million silver ounces annually, including 88 million silver ounces in reserve. Orion Resource Partners, an alternative investment firm dedicated to metals and materials, committed US$750 million in capital to fund the project.
Given sufficient funding, Skeena expects Eskay will start commercial production in 2027.
DPM Metals: A mid-tier producer
DPM Metals is already a mid-tier producer, unlike Skeena Resources, which is in the developer business stage. This $8.6 billion international gold mining company operates outside of Canada. The operations and projects are in Ecuador, Bulgaria, Bosnia, and Serbia.
At $38.93 per share, current DPM investors enjoy a 200.9% market-beating year-to-date gain, along with a modest 0.67% dividend. The overall positive return in three years is an eye-popping 533.2%. Had you invested $7,000 at year-end 2024, your money would be worth $21,059.51 today.
DPM’s financial results in the first half of 2025 are impressive. In the nine months ending September 30, 2025, net earnings and free cash flow (FCF) increased 35% and 51% year-over-year, respectively, to $211.9 million and $321.4 million. Operational excellence and FCF are the growth drivers for this high-flying gold stock.
Which gold stock is best to buy now?
Choosing between Skeena Resources and DPM Metals is easy. It’s either a growth story or a cash flow story. Either way, the gold stocks have rewarded investors with enormous gains in 2025.
