Barrick Gold (GOLD) Outpaces Stock Market Gains: What You Should Know
Barrick Gold (GOLD) closed at $21.15 in the latest trading session, marking a +1.93% move from the prior day. This change outpaced the S&P 500's 1.4% gain on the day.
Coming into today, shares of the gold and copper mining company had lost 15.99% in the past month. In that same time, the Basic Materials sector lost 9.84%, while the S&P 500 gained 1.07%.
Investors will be hoping for strength from GOLD as it approaches its next earnings release. The company is expected to report EPS of $0.26, up 13.04% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $2.92 billion, down 4.4% from the year-ago period.
GOLD's full-year Zacks Consensus Estimates are calling for earnings of $1.21 per share and revenue of $12.37 billion. These results would represent year-over-year changes of +5.22% and -1.76%, respectively.
Any recent changes to analyst estimates for GOLD should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. 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. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection has moved 3.03% higher. GOLD is currently a Zacks Rank #3 (Hold).
Valuation is also important, so investors should note that GOLD has a Forward P/E ratio of 17.09 right now. Its industry sports an average Forward P/E of 15.3, so we one might conclude that GOLD is trading at a premium comparatively.
It is also worth noting that GOLD currently has a PEG ratio of 8.54. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Mining - Gold was holding an average PEG ratio of 2.46 at yesterday's closing price.
The Mining - Gold industry is part of the Basic Materials sector. This group has a Zacks Industry Rank of 208, putting it in the bottom 19% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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Barrick Gold Corporation (GOLD) : Free Stock Analysis Report
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