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I believe Hochschild Mining (LSE:HOC) could be one of the greatest FTSE 250 shares to buy today. Give me just three minutes to explain why.
Bouncing back
Shares in South American miner Hochschild have edged steadily higher since their price collapse in June. I think they could continue rising as precious metals demand heats up again.
This week UBS was the latest broker to revise up its gold price forecast, an encouraging omen for UK mining shares.
It expects the yellow metal to reclaim April’s record highs around $3,500 per ounce by the end of the year, as previously predicted. However, it hiked its projections for the end of next March by $100, to $3,600, and for the close of the first half of 2026 to $3,700, up $200.
Of course, broker projections aren’t set in stone. But I think the bank is on to something, with gold prices likely to be driven by sustained US dollar weakness, falling interest rates, and weak economic growth in the States.
As a major silver producer, FTSE 250-listed Hochschild provides a diversified way for investors to capture a further rise in precious metals. Safe-haven demand has also driven silver prices to 14-year highs in 2025.
Gold vs stocks
There are pros and cons to investing in gold stocks rather than a price-tracking exchange-traded fund (ETF). Even if bullion rises, share prices can drop if the company experiences operational issues. This is what happened to Hochschild in June, when the business cut production guidance at its Mara Rosa gold mine in Brazil.
This reflected processing issues related to “heavier-than-usual seasonal rainfall over the past few months as well as contractor performance issues“, it said. Investors rushed for the exits following the announcement.
But investing in gold and silver producers instead of the commodities themselves can be more profitable during bull markets. As precious metals rise, miners benefit from operating leverage: their costs remain stable but their revenues jump, so earnings improve at a faster pace.
This has been the case with Hochschild in recent times. Despite its share price drop in June, the company has risen 54.9% in value over the past 12 months.
By comparison, gold has risen 33.7% over the period. Silver has appreciated 29.8%.
A bargain growth share
Despite its rapid rise, Hochschild’s share price still offers excellent value, in my opinion. This leaves scope for further price gains over 2025 and potentially beyond.
For this year, the company trades on a forward price-to-earnings (P/E) ratio of 11.8 times. This drops to 6.5 times for 2026, and reflects broker expectations of strong and sustained profits growth.
Hochschild’s annual earnings are tipped to soar 78% and 81% in 2025 and 2026, respectively. Incidentally, both readings also result in rock-bottom P/E-to-growth (PEG) ratios of 0.2 and 0.1 for this year and next.
Any reading below one implies a share is undervalued.
Like all shares, Hochschild’s come with some risk. But in the current climate, and given its robust value, I think it could be one of the best FTSE 250 shares to consider today.
