Newmont Corp. Leads Q2 Gains Despite Metal Price Lag

The Gabelli Value 25 Fund Inc. reported its second quarter performance for 2025, highlighting key contributors and challenges within its investment portfolio. Notably, gold miner Newmont Corp. emerged as the most significant contributor to returns in this period, despite its performance trailing the increase in the price of gold.

While Newmont Corp. accounted for 6.6% of net assets as of June 30, 2025, delivering a return of 21%, the company continues to struggle in keeping pace with the rising value of the precious metal. This discrepancy raises questions about the factors influencing the company’s stock performance relative to market trends.

The report also noted that demand for live entertainment remains strong. This is particularly evident in the performance of two companies controlled by the Dolan family, which have shown resilience in a competitive environment. Their success reflects a broader trend in consumer spending, as audiences continue to engage with live events.

On the other hand, the energy sector faced challenges, with companies such as APA Corp., Halliburton, and Innovex International experiencing declines. These drops in stock value have been linked to the diminishing “Iran war premium” that had previously inflated oil prices. As geopolitical tensions evolve, the market’s response has been swift, impacting investor sentiment and stock valuations.

Team Values and Inflationary Trends

The report also evaluated the rising values of sports teams, which have appreciated significantly. This trend suggests that owning a sports franchise is becoming an increasingly attractive store of value, particularly in an inflationary environment. Investors are keenly aware of the potential for teams to not only retain but enhance their value over time, making them a compelling asset class.

Despite fluctuations in other sectors, Newmont Corp. and the Dolan family’s companies highlight the diverse landscape of the Gabelli Value 25 Fund’s investments. As the year progresses, the fund will continue to navigate these varying market conditions, adapting strategies to maximize returns while addressing the inherent risks present in the current economic climate.

As the second quarter of 2025 unfolds, investors are encouraged to monitor these developments closely, especially in sectors that are showing resilience amid broader market fluctuations. The balance between risk and opportunity remains delicate, necessitating informed decision-making in an evolving landscape.