|Bid||13.22 x 800|
|Ask||13.33 x 29200|
|Day's Range||13.11 - 13.47|
|52 Week Range||9.53 - 14.54|
|Beta (3Y Monthly)||-0.80|
|PE Ratio (TTM)||N/A|
|Forward Dividend & Yield||0.28 (2.04%)|
|1y Target Est||14.41|
In a positive start to the year, Barrick Gold Corporation (GOLD) (ABX.TO) (“Barrick” or the “Company”) announced today it had made good progress in achieving its short-term goals as well as its full-year objectives during the first quarter. After setting a production record at the Kibali mine in 2018, the Company announced that the operation is on track for another record performance in 2019. Barrick is also rapidly progressing the implementation of the joint venture agreement signed with Newmont in March, which will create the world’s single-largest gold producer and allow both partners to realize the enormous potential of Nevada’s mineral endowment.
Kibali, ranked among the world’s Top 10 gold mines, has made a strong start to 2019 after setting a new production record last year, Barrick President and Chief Executive Officer Mark Bristow said here today. Barrick operates Kibali, which is a joint venture with AngloGold Ashanti and the Congolese parastatal SOKIMO. Speaking at a briefing for local media and stakeholders, Bristow said Kibali was continuing to break records en route to its 2019 guidance of 750,000 ounces, the latest being the 285,000 tonnes of ore hoisted through the shaft in March1.
Gold fell more than 1 per cent on Tuesday to its lowest level this year, dragging the share prices of many producers and explorers along for the ride. Down 1.1 per cent at $1,273.86 an ounce, the metal’s price was at its lowest level since December 26, when the stock market began to recover from a sharp sell-off that left it on the precipice of bear market territory. On the Toronto Stock Exchange, Barrick Gold was down 3.2 per cent and Goldcorp was off 1.5 per cent.
TORONTO, April 15, 2019 -- Barrick Gold Corporation (NYSE:GOLD)(TSX:ABX) (“Barrick”) will release its First Quarter 2019 Results on May 8, 2019. President and CEO Mark Bristow.
Will Yamana’s Chapada Mine Sale Improve Shareholder Returns?(Continued from Prior Part)Dividends to doubleYamana Gold (AUY) announced today that it has agreed to sell its Chapada mine to Lundin Gold (LUNMF) for $1 billion. Due to this
Why Is Deutsche Bank Bullish on Gold?(Continued from Prior Part)Deutsche Bank upgraded Barrick Gold Barron’s reported that Deutsche Bank (DB) analyst Chris Terry has increased gold’s (GLD) (IAU) target price to $1,350 per ounce for 2019. Due to
Barrick Gold (GOLD) possesses the right combination of the two key ingredients for a likely earnings beat in its upcoming report. Get prepared with the key expectations.
Why Is Deutsche Bank Bullish on Gold?Gold price performance Gold prices (GLD) have risen 0.5% YTD (year-to-date) as of April 12—compared to the gain of 16.1% in the S&P 500 Index (SPY). The Dow Jones Industrial Average Index (DIA) and the
Newmont Mining shareholders on Thursday approved the company's $10 billion takeover of Goldcorp Inc which is set to create the world's biggest gold producer with assets across the Americas, Africa and Australia. About 98 percent of votes at a special meeting were in support of Newmont's proposal to issue new stock to fund its takeover of Goldcorp, the Denver-based company said in a statement. Goldcorp's investors voted to approve the acquisition last week.
(Bloomberg) -- Barrick Gold Corp. could find itself partially liable for $600 million in additional debt if some Newmont Mining Corp. bondholders have their way.
Gold prices are up just 2% year to date. The VanEck Vectors Gold Miners ETF is up 8.5% this year, 3.5 percentage points worse than the gain in the Dow Jones Industrial Average, but some on Wall Street think the metal’s underperformance is about to end. Deutsche Bank analyst Chris Terry upgraded shares of (ABX) (ticker: GOLD) to Buy from Hold on Wednesday.
Gold's strong recovery - which has also been mirrored in the price movement of SPDR Gold Trust (NYSE: GLD), one of the world's leading gold-backed exchange traded funds (ETFs) - has primarily been driven by political and macroeconomic developments in the U.S., Europe and China.
While Thornton has overseen years of budget-slashing measures to pay down the miner’s debt, Mark Bristow, named Barrick’s chief executive officer in January following its acquisition of Randgold, also is known for a relentless focus on costs. An investor coalition spearheaded by billionaire John Paulson, the Shareholders’ Gold Council, has said executives should own more stock in their companies.
Barrick Gold Corporation (GOLD)(ABX.TO) (“Barrick” or the “Company”) says its merger with Randgold has accelerated the pace and increased the effectiveness of its progress towards its strategic goals. In its Information Circular for 2019, which is available now at www.barrick.com/investors/agm and has also been filed on SEDAR (www.sedar.com) and EDGAR (www.sec.gov), Executive Chairman John Thornton said key strategic initiatives have already been launched and the Company expects to deliver on all that the merger promised by the end of the current year. The Information Circular follows the publication of Barrick’s 2018 Annual Report, where newly-appointed President and Chief Executive Officer Mark Bristow outlined the steps already taken to achieve Barrick’s aim of becoming the world’s most valued gold business.
While some Goldcorp shareholders had voiced concerns in recent weeks, in the end there was little push back against blessing the biggest-ever corporate takeover in the gold sector's history, according to Refinitiv data. The deal, which would create a company with assets in the Americas, Africa and Australia, will be voted on by Newmont shareholders next Thursday. About 97 percent of Goldcorp's outstanding shares that were voted at a special meeting were cast in favor of the deal, the company said in a statement.
Greater than 97 percent of Goldcorp shareholders voted for the merger at a special meeting in Vancouver, the miner said Thursday in a statement. The deal would see Colorado-based Newmont pay 0.3280 of its shares for each Goldcorp share, plus two cents. The Goldcorp ballot required at least two-thirds of shareholders who voted to approve the deal.
How Gold and Gold Miners Performed in Q1(Continued from Prior Part)Agnico Eagle Mines and IAMGOLD Among senior and intermediate gold miners (GDX) (GDXJ), analysts are most bullish on Agnico Eagle Mines (AEM). It has 83% “buy” and 17% “hold”
Democratic Republic of Congo’s newly elected president Felix Tshisekedi and Barrick Gold Corporation’s Executive Chairman John Thornton today confirmed their partnership to develop the country’s gold mining industry in a meeting here during the president’s state visit to the United States. Barrick operates Kibali in the DRC, one of the world’s ten largest gold mines, and along with its joint venture partner AngloGold Ashanti is one of the major investors in the country. After the meeting, John Thornton said he had been encouraged by the president’s vision of attracting foreign investment and supporting the development of the DRC’s mining industry in a spirit of partnership.
It's hard not to feel for the owners of Goldcorp (NYSE:GG) stock. GG stock has been one of the worst-performing stocks this decade, dropping from its 2011 highs of $55 to below $10 in October.Source: Shutterstock At those lows, GG's management continued to talk up the company's turnaround plan. then promptly sold the company to Newmont Mining (NYSE:NEM). The all-stock deal offered only a modest premium for the owners of Goldcorp stock, which promptly plunged as NEM 's shares sold off following the announcement of the deal. * Should You Buy Q1's 6 Best-Performing S&P 500 Stocks? GG stock has rallied since then. But although it's above $11, GG stock still trades at a massive discount to its former valuation. With Barrick Gold (NYSE:GOLD) apparently backing off its plans to bid for Newmont, the spread assigned Goldcorp stock has narrowed as well. Goldcorp investors will receive 0.328 shares of NEM stock for each Goldcorp share. That currently values GG stock at about $11.75, just a 2.5% premium (or deal spread) to the current price of $11.47.InvestorPlace - Stock Market News, Stock Advice & Trading TipsIn other words, what GG stock right now provides is ownership of Newmont Mining stock, at a small discount. It's difficult to see why that is an attractive proposition. The First Big Problem With Gold StocksThe problem with gold stocks remains relatively simple. Gold stocks should provide leverage to the price of gold, meaning they outperform when gold goes up, and underperform when gold goes down.A simple example is instructive. If gold is at $1,000 an ounce, and a company's all-in costs are $800, the company's pre-tax profit should be $200 an ounce. Cut the price of gold 20%, to $800, and its profits drop 100% to basically zero. The company's stock likely falls substantially in this scenario, certainly more than the 20% drop in the value of the underlying commodity.Raise gold prices 20%, however, to $1200, and profits now double. And the stock should rise much more than 20% (even if the stock won't necessarily double, as investors may see some risk that gold prices will pull back). In short, and in theory, the move of underlying gold prices should be magnified by gold stocks.In practice, though, there are two real problems with this theory. The most notable problem is that major gold miners have failed spectacularly to give shareholders that leverage. Barrick has been the most notable disaster, as I wrote last year, but other majors have performed equally poorly.Over the past decade, gold has gained about 35% (in U.S. dollars). During that time, GG stock has lost 66% of its value. Barrick stock is down 58%. Newmont has been the best of the majors,and it has declined 20%. With dividends, NEM shareholders probably have broken even.All of these stocks should be rising faster than gold prices, yet they haven't. Whether the prolem is excessive executive compensation, geopolitical problems, sheer execution, or some combination of them major miners have failed to provide positive returns. The Second Big ProblemThat history leads to a simple question: if an investor is bullish on gold, why would she buy gold miner stocks in general and shares of the major miners in particular? Smaller miners have shown some ability to provide returns, with Kirkland Lake Gold (NYSE:KL) perhaps the best example of late. The diversified, large, majors, however, have made money for their employees , executives,and lawyers, but not for their shareholders.And if those shareholders see gold moving higher, there are ways to make that bet without the messy aspects of actual mining. ETNs like the VelocityShares 3x Long Gold ETN (NASDAQ:UGLD) or the DB Gold Double Long ETN (NYSEARCA:DGP) offer leveraged exposure. Options trades (though only suitable for advanced investors who understand the trades) similarly can provide weighted upside to gold prices.To be sure, those strategies entail risk - but the performance of miners over time shows there's plenty of risk in those trades as well. NEM stock, for instance, sits below 1990 levels. And if gold prices tumble, mining stocks are going to do the same. Why GG or NEM?So if an investor is going to buy GG stock - which essentially implies NEM stock - she has to believe that something is going to change. Either miners will become more efficient, Newmont will outperform, or the Goldcorp deal is a good one.That's a tough case to make at this point. Miners are trying to focus more on profitability and cash flow, instead of production. That hasn't done much for share prices of late, however. Recently, Newmont has done better than its major mining peers, but it's hardly done well.As far the Goldcorp deal, it's important to ask one simple question: why was the deal made? If Goldcorp's assets are so valuable, why is Goldcorp's management selling them at a modest premium to GG stock when Goldcorp stock is at a 15-year low? The owners of GG stock aren't even getting any cash in the deal.Some investors have pointed to the payout being received by Goldcorp CEO David Garofalo and Chairman Ian Telfer. But Garofalo, in particular, has nearly 900,000 shares, restricted stock units, and rights - enough to suggest he would participate in any rally of GG stock on a Goldcorp turnaround. It's a bit too conspiratorial to suggest that Goldcorp's board would allow the owners of GG stock to be fleeced simply for golden parachutes.Rather, the issue seems to be that GG itself doesn't see its assets as worth much more than $12 per share of Goldcorp stock. So what is Newmont getting in return for giving roughly one-quarter of its equity to the owners of GG stock?Synergies between GG and Newmont are estimated to be as much as $100 million a year; in the context of a $30 billion market cap for the combined company, that's a drop in the bucket.Owning GG stock means owning NEM stock. Owning NEM stock certainly seems like more of the same. It's hard to see how that's a good deal, even at a modest discount.As of this writing, Vince Martin has no positions in any securities mentioned. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Best ETFs for 2019: A Close Race at the Front * 15 Stocks to Buy Leading the Financial Charge * 7 Stocks From Around the World That Beat U.S. Stocks Compare Brokers The post Investors Have Little Reason to Stick With Goldcorp Stock appeared first on InvestorPlace.
How Gold and Gold Miners Performed in Q1(Continued from Prior Part)Newmont’s underperformance Newmont Mining (NEM) stock returned 3.2% in the first quarter, almost half the gains in the VanEck Vectors Gold Miners ETF (GDX) in the same period. It
How Gold and Gold Miners Performed in Q1(Continued from Prior Part)Barrick Gold’s underperformance Barrick Gold (GOLD) underperformed its senior and intermediate peers (NUGT) (GDXJ) as well as the broader benchmark index (GDX) during the first