Key Facts Every Gold Investor Should Know Now

Barrick Gold logged a -3.0% change during today's morning session, and is now trading at a price of $16.92 per share.

Over the last year, Barrick Gold logged a -3.0% change, with its stock price reaching a high of $18.95 and a low of $13.76. Over the same period, the stock underperformed the S&P 500 index by -27.8%. AThe company's 50-day average price was $16.93. Barrick Gold Corporation engages in the exploration, mine development, production, and sale of gold and copper properties in Canada and internationally. The Large-Cap Basic Materials company is headquartered in Toronto, Canada. Barrick Gold has offered a 2.3% dividend yield over the last 12 months.

Generally Positive Cash Flows and a Positive EPS Growth Rate:

2018 2019 2020 2021 2022 2023
Revenue (M) $7,243 $9,717 $12,595 $11,985 $11,013 $11,397
Net Margins -21% 41% 18% 17% 4% 11%
Net Income (M) -$1,545 $3,969 $2,324 $2,022 $432 $1,272
Net Interest Expense (M) $452 $435 $342 $357 $366 $387
Earnings Per Share -$1.32 $2.26 $1.31 $1.14 $0.24 $0.72
EPS Growth n/a 271.21% -42.04% -12.98% -78.95% 200.0%
Free Cash Flow (M) $1,765 $2,833 $5,417 $4,378 $3,481 $3,732
Total Debt (M) $5,695 $5,161 $5,135 $5,135 $4,769 $4,715
Current Ratio 2.38 2.9 3.67 3.95 2.71 3.16

Barrick Gold has generally positive cash flows, an excellent current ratio of 3.16, and positive EPS growth.

Barrick Gold's Valuation Is in Line With Its Sector Averages:

Barrick Gold has a trailing twelve month P/E ratio of 20.6, compared to an average of 16.53 for the Basic Materials sector. Based on its EPS guidance of $1.43, the company has a forward P/E ratio of 11.8. The 11.1% compound average growth rate of Barrick Gold's historical and projected earnings per share yields a PEG ratio of 1.87. This suggests that these shares are overvalued. In contrast, the market is likely undervaluing Barrick Gold in terms of its equity because its P/B ratio is 1.27 while the sector average is 2.07.

Barrick Gold Has an Average Rating of Buy:

The 19 analysts following Barrick Gold have set target prices ranging from $18.0 to $26.38 per share, for an average of $22.23 with a buy rating. The company is trading -23.9% away from its average target price, indicating that there is an analyst consensus of strong upside potential.

The largest shareholder is Van Eck Associates Corporation, whose 4% stake in the company is worth $1,311,338,448.

The above analysis is intended for educational purposes only and was performed on the basis of publicly available data. It is not to be construed as a recommendation to buy or sell any security. Any buy, sell, or other recommendations mentioned in the article are direct quotations of consensus recommendations from the analysts covering the stock, and do not represent the opinions of Market Inference or its writers. Past performance, accounting data, and inferences about market position and corporate valuation are not reliable indicators of future price movements. Market Inference does not provide financial advice. Investors should conduct their own review and analysis of any company of interest before making an investment decision.