Investors love Rolls-Royce shares but last year one UK stock accelerated at four times the speed, without attracting half the attention. I don’t hold it, so sat helplessly on the sidelines. But now I think I might just have a buying opportunity. Should I take it? <\/p>\n
The company is FTSE 100-listed gold and silver miner Fresnillo (LSE: FRES). Its shares shone due to the stunning global rally in both gold and silver prices, skyrocketing 410% across calendar year 2025. Rolls-Royce shares rose ‘just’ 95%. <\/p>\n
What did this FTSE 100 stock fly? <\/p>\n
Fresnillo’s full-year revenues jumped 27.6% to $4.65bn, while EBITDA earnings soared 80.7% to $2.80bn. Investors got income on top of their growth, as generous free cash flows supported $950m of dividends. <\/p>\n
A quick glance at pre-tax profits for the last five years tells us a lot about this stock. <\/p>\n
2025 \u2013 $2.08bn <\/p>\n
2024 \u2013 $743.9m <\/p>\n
2023 \u2013 $114m <\/p>\n
2022 \u2013 $248.6m <\/p>\n
2021 \u2013 $611.5m <\/p>\n
Basically, 2025 was extraordinary. Profits and earnings soared due to factors totally beyond the control of any board. The gold price climbed almost 70% last year, while silver easily outshone the yellow metal soaring 140%. <\/p>\n
By contrast to cash, bonds and dividends, gold and silver don’t pay any income. That makes them less attractive when interest rates and yields are high, but tempting when rates fall, as they did last year. US Federal Reserve interest cuts also weakened the US dollar, which made gold and silver cheaper to overseas buyers, as they’re priced in dollars. <\/p>\n
Concerns over rising government debt and geopolitical tensions further fuelled demand for these traditional safe havens, as did aggressive central bank buying. But 2026 has been very different. <\/p>\n
Can Fresnillo shares take wing again? <\/p>\n
The gold price peaked at $5,500 an ounce in January, but has since crashed 27% to around $4,000, as the Iran war threatens to trigger an oil, inflation and interest rate spike. A stronger dollar, weaker central bank buying, and profit taking to cover losses elsewhere aggravated the dip. <\/p>\n
The Fresnillo share price peaked at 4,448p on 26 January. Today, it trades at 2,611p, a peak-to-trough drop of more than 40%. It’s still up 50% over 12 months though. So do I finally have my buying opportunity? <\/p>\n
Fresnillo’s the same company as before. Only the external factors have changed. Suddenly the shares look decent value, with a price-to-earnings ratio of 17.8. That’s below the 10-year historical median of 23.8. In contrast to gold itself, Fresnillo does pay income in the shape of dividends. The trailing yield is now 3.6%. <\/p>\n
I don’t have any exposure to gold \u2013 and last year that hurt. I think recent slippage makes Fresnillo shares worth considering. But they’re likely to remain volatile. Yesterday (4 August) they jumped 5.25% on the latest Iran ceasefire hopes, and could just as easily fall if the shooting restarts. <\/p>\n
But I feel like I’ve been given a second chance and I’m going to start drip-feeding money into this stock \u2013 although I don’t expect it to rise 400% over the next year. <\/p>\n
Should you invest \u00a35,000 in Fresnillo Plc right now? <\/p>\n
When investing expert Mark Rogers and his team have a stock tip, it can pay to listen. After all, the flagship Twelfth Magpie Share Advisor newsletter he has run for nearly a decade has provided thousands of paying members with top stock recommendations from the UK and US markets. <\/p>\n
And right now, Mark thinks there are 6 standout stocks that investors should consider buying. Want to see if Fresnillo Plc made the list? <\/p>\n
\u00a0See The Six Stocks <\/p>\n
Harvey Jones does not hold any positions in the companies mentioned. <\/p>\n
The post This UK stock crushed Rolls-Royce in 2025 rising 410% \u2013 now it’s dipped and I’m itching to buy it<\/a> appeared first on The Twelfth Magpie<\/a>. <\/p>\n More reading <\/p>\n The Twelfth Magpie 2026 <\/p>\n","protected":false},"excerpt":{"rendered":"Investors love Rolls-Royce shares but last year one UK stock accelerated at four times the speed, without attracting…\n","protected":false},"author":2,"featured_media":97687,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":"","_share_on_mastodon":"0"},"categories":[20731],"tags":[21646,41333,21648,1238],"class_list":["post-97686","post","type-post","status-publish","format-standard","has-post-thumbnail","category-rolls-royce","tag-fresnillo","tag-gold-and-silver","tag-gold-price","tag-rolls-royce"],"share_on_mastodon":{"url":"https:\/\/pubeurope.com\/@UnitedKingdom\/117041859561837357","error":""},"_links":{"self":[{"href":"https:\/\/www.europesays.com\/britain\/wp-json\/wp\/v2\/posts\/97686","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/britain\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/britain\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/britain\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/britain\/wp-json\/wp\/v2\/comments?post=97686"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/britain\/wp-json\/wp\/v2\/posts\/97686\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/britain\/wp-json\/wp\/v2\/media\/97687"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/britain\/wp-json\/wp\/v2\/media?parent=97686"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/britain\/wp-json\/wp\/v2\/categories?post=97686"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/britain\/wp-json\/wp\/v2\/tags?post=97686"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}