Business Model Breakdown
How GLD Makes Money
GLD
Market Cap
$4.2B
Annual Revenue
$831M
Profit Margin
8.6%
The Short Version
SPDR Gold Shares (GLD) is an exchange-traded fund that provides investors with exposure to the price performance of physical gold bullion. It holds gold bars in secure vaults and issues shares that represent a fractional, undivided interest in the trust's gold. The trust's primary way of making money is by charging an annual expense ratio, which was 0.40% (TTM as of March 2026), deducted from the trust's assets. Investors buy and sell shares of GLD on stock exchanges, and its price moves in direct correlation with the spot price of gold.
Where the Revenue Comes From
Expense ratio (~0.40% TTM of AUM)
Who buys: Individual investors, institutional investors, and traders seeking convenient, liquid exposure to the price of physical gold.
Why It Works (Competitive Advantages)
- ✔High liquidity and trading volume
- ✔Recognized brand and widespread acceptance
- ✔Ease of access for investors seeking gold exposure without physical storage
Economic Moat: Narrow (Efficient Scale, Brand Power)
What Our Analysis Says
DVR Score as of April 8, 2026
SPDR Gold Shares (GLD) is an Exchange Traded Fund (ETF) that tracks the price of physical gold, as explicitly confirmed by real-time market intelligence. It does not operate as a company with a 'strategic vision,' 'competitive advantages,' 'leadership,' 'earnings,' or a 'scalable business model' in the context required for identifying 10x growth potential of an operating entity. Its value is solely dependent on gold prices and the expense ratio. While gold prices have seen a record high of US$5,589.38/oz in January 2026 and physical gold ETFs experienced inflows, this reflects asset performance, not company growth. A 10x increase (from $431.81 to over $4,300) within 3-5 years for gold itself is exceptionally improbable under normal economic conditions, and no company-specific catalysts exist. No material changes have occurred since the last analysis that would alter GLD's fundamental nature or its misalignment with the criteria for identifying a growth company. Therefore, it maintains an extremely low score regarding 10x growth potential as an operating entity. GLD is an asset vehicle, not a growth stock.