Barrick Gold (GOLD) closed at $26.81 in the latest trading session, marking a -0.48% move from the prior day. This change lagged the S&P 500’s 0.5% gain on the day. At the same time, the Dow lost 0.3%, and the tech-heavy Nasdaq gained 0.95%.
Prior to today’s trading, shares of the gold and copper mining company had gained 12.48% over the past month. This has outpaced the Basic Materials sector’s gain of 4.12% and the S&P 500’s gain of 1.89% in that time.
Investors will be hoping for strength from GOLD as it approaches its next earnings release. In that report, analysts expect GOLD to post earnings of $0.18 per share. This would mark year-over-year growth of 100%. Meanwhile, our latest consensus estimate is calling for revenue of $2.67 billion, up 29.47% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $0.79 per share and revenue of $11.83 billion, which would represent changes of +54.9% and +21.73%, respectively, from the prior year.
Investors might also notice recent changes to analyst estimates for GOLD. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company’s business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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 6.03% lower. GOLD is holding a Zacks Rank of #3 (Hold) right now.
In terms of valuation, GOLD is currently trading at a Forward P/E ratio of 33.98. Its industry sports an average Forward P/E of 26.75, so we one might conclude that GOLD is trading at a premium comparatively.
We can also see that GOLD currently has a PEG ratio of 16.99. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company’s expected earnings growth rate into account. The Mining – Gold was holding an average PEG ratio of 2.87 at yesterday’s closing price.
The Mining – Gold industry is part of the Basic Materials sector. This group has a Zacks Industry Rank of 76, putting it in the top 30% 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.
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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