Options traders are zeroing in on Barrick Gold Corp (NYSE:GOLD) stock, as the company faces turbulence following the suspension of operations in Mali.
Barrick Gold Corp (NYSE:GOLD), Agnico Eagle Mines Ltd (NYSE:AEM), and Kinross Gold Corp (NYSE:KGC) shares are higher today, as traders turn to the safe-haven yellow metal amid inflation data.
Neils Christensen has a diploma in journalism from Lethbridge College and has more than a decade of reporting experience working for news organizations throughout Canada. His experiences include covering territorial and federal politics in Nunavut, Canada.
Barrick Gold is undervalued with an attractive P/E ratio of 8-9 for 2025-2026 earnings, making it a compelling buy, despite recent underperformance. The company has a strong balance sheet and substantial gold and copper reserves, ensuring long-term stability and growth. Political risks in Mali pose a near-term challenge, but Barrick's diversified portfolio and North American operations mitigate overall risk.
Barrick Gold (GOLD) closed the most recent trading day at $15.84, moving +1.73% from the previous trading session.
GOLD believes the interim attachment order is unjustified and contravenes the agreed-upon dispute settlement mechanisms.
While GOLD's efforts to advance key projects, solid financial health and a safe dividend yield paint a promising picture, its high costs warrant caution.
Barrick Gold shares remain undervalued despite a 31% rise in net income and higher gold prices due to political instability in Mali and temporary production problems in Nevada. The company has strong financials, a stable dividend, and a robust balance sheet, with a P/E ratio of 16.8 and an EPS of 0.92. Political risks in Mali and a temporary decline in gold production in Nevada caused the stock to fall, but these issues have already been factored into the stock price.
Barrick Gold (GOLD) reachead $15.84 at the closing of the latest trading day, reflecting a -0.81% change compared to its last close.
When deciding whether to buy, sell, or hold a stock, investors often rely on analyst recommendations. Media reports about rating changes by these brokerage-firm-employed (or sell-side) analysts often influence a stock's price, but are they really important?
Barrick Gold Corporation's 2025 outlook per its Investor Day shows increased capex, higher cash costs and lower production, impacting its near-term free cash flow outlook. However, this largely looks priced into the stock with Barrick trading at its lowest P/NAV and earnings multiple in years even with trough production levels. On a positive note, Barrick will see material reserve growth at year-end, and Fourmile continues to impress, which is arguably the best undeveloped gold asset in a Tier-1 ranked jurisdiction.
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