Barrick Gold (GOLD) Gains But Lags Market: What You Should Know
In the latest trading session, Barrick Gold (GOLD) closed at $22.90, marking a +0.31% move from the previous day. This change lagged the S&P 500's 0.35% gain on the day. Meanwhile, the Dow gained 0.23%, and the Nasdaq, a tech-heavy index, added 0.26%.
Coming into today, shares of the gold and copper mining company had 0% in the past month. In that same time, the Basic Materials sector gained 9.52%, while the S&P 500 gained 3.27%.
GOLD will be looking to display strength as it nears its next earnings release. In that report, analysts expect GOLD to post earnings of $0.34 per share. This would mark year-over-year growth of 100%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $3.11 billion, up 7.92% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $1.10 per share and revenue of $12.55 billion. These totals would mark changes of +115.69% and +29.13%, respectively, from last year.
Investors might also notice recent changes to analyst estimates for GOLD. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 1.18% higher. GOLD currently has a Zacks Rank of #4 (Sell).
Looking at its valuation, GOLD is holding a Forward P/E ratio of 20.73. This valuation marks a premium compared to its industry's average Forward P/E of 19.52.
Investors should also note that GOLD has a PEG ratio of 10.36 right now. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Mining - Gold industry currently had an average PEG ratio of 2.62 as of yesterday's close.
The Mining - Gold industry is part of the Basic Materials sector. This group has a Zacks Industry Rank of 230, putting it in the bottom 10% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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