How Record Q2 2025 Revenue Will Impact Sandstorm Gold (TSX:SSL) Investors

• Sandstorm Gold Ltd. recently reported its second quarter 2025 sales results, achieving record preliminary revenue of US$51.4 million from the sale of approximately 15,100 attributable gold equivalent ounces, compared to US$41.4 million in the same period last year.
• This milestone marks a meaningful increase in revenue despite a lower number of gold equivalent ounces sold year-over-year.
• With record second quarter revenue now confirmed, we'll explore how this development impacts the company's future growth outlook and investment narrative.

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Sandstorm Gold Investment Narrative Recap

Owning shares in Sandstorm Gold means believing in the company's ability to turn long-term production growth at its royalty and streaming mines into rising cash flows and shareholder returns. The recent record revenue in Q2 2025 is encouraging, but the lower ounces sold and the influence of higher metal prices highlight just how sensitive near-term results are to the performance of partner mines, a key short-term catalyst is steady ramp-up at projects like Greenstone, while the most significant risk remains operational setbacks at these assets. This quarterly result mostly reaffirms current expectations rather than moving the needle on immediate risks or upside.

One relevant development alongside this revenue milestone is Sandstorm's steady dividend policy. The June 2025 dividend affirmation indicates that management still sees enough underlying cash flow strength for shareholder payouts, aligning with the growth trajectory projected from ramp-ups at key projects. This complements the company’s production goals and may help build investor confidence, particularly as large-scale projects work towards reaching nameplate output.

On the other hand, should output at partner mines slip or face delays, investors should be alert to the risk that...

Read the full narrative on Sandstorm Gold (it's free!)

Sandstorm Gold's narrative projects $227.1 million in revenue and $102.6 million in earnings by 2028. This requires 8.8% yearly revenue growth and an $88.3 million earnings increase from the current $14.3 million.

Uncover how Sandstorm Gold's forecasts yield a CA$14.34 fair value, a 8% upside to its current price.

Exploring Other Perspectives

Simply Wall St Community members estimate Sandstorm Gold's fair value between CA$11 and CA$20, based on four different forecasts. With Q2 sales revealing both revenue strength and dependence on external operations, it's important to weigh these varied views before committing capital or adjusting your thesis.

Explore 4 other fair value estimates on Sandstorm Gold - why the stock might be worth 17% less than the current price!

Build Your Own Sandstorm Gold Narrative

Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.

• A great starting point for your Sandstorm Gold research is our analysis highlighting 3 key rewards that could impact your investment decision.
• Our free Sandstorm Gold research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Sandstorm Gold's overall financial health at a glance.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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