Barrick Mining (NYSE:B) Shares Gap Down on Disappointing Earnings

Key Points

• Barrick Mining Corporation reported $0.47 EPS for the quarter, missing analysts' estimates of $0.49, resulting in a gap down in stock price from $23.43 to $22.36.
• Despite the earnings miss, Barrick's revenue increased by 16.4% year-over-year, indicating potential growth despite the disappointing earnings.
• Analysts have mixed ratings on the stock with seven hold ratings, eight buy ratings, and one strong buy, reflecting varying confidence in Barrick's financial outlook.

Shares of Barrick Mining Corporation (NYSE:B - Get Free Report) TSE: ABX gapped down before the market opened on Monday after the company announced weaker than expected quarterly earnings. The stock had previously closed at $23.43, but opened at $22.36. Barrick Mining shares last traded at $22.65, with a volume of 5,384,504 shares trading hands.

The gold and copper producer reported $0.47 earnings per share for the quarter, hitting the consensus estimate of $0.47. The company had revenue of $3.72 billion during the quarter, compared to the consensus estimate of $3.60 billion. Barrick Mining had a net margin of 19.99% and a return on equity of 8.19%. The company's revenue was up 16.4% on a year-over-year basis. During the same quarter in the previous year, the firm earned $0.32 EPS.

Wall Street Analysts Forecast Growth

A number of brokerages recently issued reports on B. Wall Street Zen cut shares of Barrick Mining from a "strong-buy" rating to a "buy" rating in a research report on Saturday, August 9th. Royal Bank Of Canada set a $26.00 price objective on shares of Barrick Mining and gave the stock an "outperform" rating in a research note on Wednesday, July 2nd. Scotiabank set a $26.00 price target on shares of Barrick Mining and gave the company a "sector perform" rating in a research note on Wednesday. CIBC raised shares of Barrick Mining from a "neutral" rating to an "outperform" rating in a research note on Tuesday. Finally, Cibc World Mkts raised shares of Barrick Mining from a "hold" rating to a "strong-buy" rating in a research report on Tuesday. Five research analysts have rated the stock with a hold rating, nine have issued a buy rating and two have assigned a strong buy rating to the company's stock. According to data from MarketBeat.com, the company currently has an average rating of "Moderate Buy" and a consensus price target of $24.77.

Institutional Investors Weigh In On Barrick Mining

Several large investors have recently made changes to their positions in the company. Vanguard Group Inc. bought a new position in Barrick Mining during the 2nd quarter valued at about $1,459,633,000. Arrowstreet Capital Limited Partnership bought a new position in Barrick Mining in the second quarter valued at $1,091,122,000. First Eagle Investment Management LLC acquired a new stake in Barrick Mining in the second quarter valued at $822,056,000. Capital International Investors raised its position in shares of Barrick Mining by 136.1% in the fourth quarter. Capital International Investors now owns 33,293,792 shares of the gold and copper producer's stock valued at $516,055,000 after purchasing an additional 19,189,830 shares during the period. Finally, TD Asset Management Inc bought a new position in Barrick Mining during the second quarter worth about $386,328,000. Institutional investors and hedge funds own 90.82% of the company's stock.

Barrick Mining Trading Up 2.0%

The business's 50 day moving average price is $21.53 and its two-hundred day moving average price is $19.66. The company has a current ratio of 3.21, a quick ratio of 2.16 and a debt-to-equity ratio of 0.14. The company has a market capitalization of $41.10 billion, a price-to-earnings ratio of 15.15, a P/E/G ratio of 0.36 and a beta of 0.27.

About Barrick Mining

Barrick Gold Corporation is a sector-leading gold and copper producer.  Its shares trade on the New York Stock Exchange under the symbol GOLD and on the Toronto Stock Exchange under the symbol ABX.   In January 2019 Barrick merged with Randgold Resources and in July that year it combined its gold mines in Nevada, USA, with those of Newmont Corporation in a joint venture, Nevada Gold Mines, which is majority-owned and operated by Barrick.