Barrick Gold (ABX) Downgraded by Zacks Investment Research

Zacks Investment Research lowered shares of Barrick Gold (NYSE:ABX) (TSE:ABX) from a hold rating to a sell rating in a research report released on Tuesday.

According to Zacks, “Earnings estimates for Barrick for the third quarter and full year have been going down lately. Barrick faces headwinds from lower expected production and higher costs in 2018. This may hurt margins in 2018. The company's declining gold reserve base is another concern. It is also exposed to a volatile gold pricing environment. Barrick has also underperformed the industry it belongs to in the past year.”

A number of other equities analysts also recently commented on ABX. BMO Capital Markets set a $13.00 price objective on shares of Barrick Gold and gave the stock a hold rating in a report on Wednesday, October 10th. ValuEngine raised shares of Barrick Gold from a sell rating to a hold rating in a report on Friday, October 12th. Deutsche Bank set a $15.00 price objective on shares of Barrick Gold and gave the stock a buy rating in a report on Tuesday, October 2nd. JPMorgan Chase & Co. set a $14.00 price objective on shares of Barrick Gold and gave the stock a hold rating in a report on Thursday, October 4th. Finally, TD Securities set a $14.00 price objective on shares of Barrick Gold and gave the stock a hold rating in a report on Monday, July 30th. Two analysts have rated the stock with a sell rating, fifteen have issued a hold rating and three have given a buy rating to the company. Barrick Gold has an average rating of Hold and a consensus price target of $15.14.

NYSE:ABX opened at $12.65 on Tuesday. The stock has a market cap of $12.93 billion, a PE ratio of 16.87, a price-to-earnings-growth ratio of 9.05 and a beta of -0.37. Barrick Gold has a 52 week low of $9.53 and a 52 week high of $16.30. The company has a quick ratio of 1.22, a current ratio of 2.12 and a debt-to-equity ratio of 0.51.

Barrick Gold (NYSE:ABX) (TSE:ABX) last released its quarterly earnings data on Wednesday, July 25th. The basic materials company reported $0.07 EPS for the quarter, missing analysts’ consensus estimates of $0.12 by ($0.05). The business had revenue of $1.71 billion for the quarter, compared to the consensus estimate of $1.74 billion. Barrick Gold had a positive return on equity of 6.13% and a negative net margin of 3.38%. Barrick Gold’s revenue was down 20.7% on a year-over-year basis. During the same period in the previous year, the business posted $0.22 earnings per share. On average, equities research analysts expect that Barrick Gold will post 0.61 EPS for the current year.

The business also recently announced a quarterly dividend, which was paid on Monday, September 17th. Shareholders of record on Friday, August 31st were paid a $0.03 dividend. This represents a $0.12 dividend on an annualized basis and a dividend yield of 0.95%. The ex-dividend date was Thursday, August 30th. Barrick Gold’s dividend payout ratio is presently 16.00%.

Several hedge funds and other institutional investors have recently made changes to their positions in the business. Flossbach Von Storch AG raised its stake in shares of Barrick Gold by 13.8% in the second quarter. Flossbach Von Storch AG now owns 48,397,134 shares of the basic materials company’s stock worth $635,457,000 after acquiring an additional 5,873,410 shares during the last quarter. Ashler Capital LLC raised its stake in shares of Barrick Gold by 78.2% in the second quarter. Ashler Capital LLC now owns 18,297,749 shares of the basic materials company’s stock worth $240,249,000 after acquiring an additional 8,030,578 shares during the last quarter. Jupiter Asset Management Ltd. raised its stake in shares of Barrick Gold by 22.0% in the second quarter. Jupiter Asset Management Ltd. now owns 7,831,133 shares of the basic materials company’s stock worth $102,823,000 after acquiring an additional 1,412,000 shares during the last quarter. Toronto Dominion Bank raised its stake in shares of Barrick Gold by 144.4% in the second quarter. Toronto Dominion Bank now owns 7,729,036 shares of the basic materials company’s stock worth $103,335,000 after acquiring an additional 4,567,102 shares during the last quarter. Finally, Dimensional Fund Advisors LP raised its stake in shares of Barrick Gold by 138.0% in the second quarter. Dimensional Fund Advisors LP now owns 6,285,904 shares of the basic materials company’s stock worth $82,534,000 after acquiring an additional 3,644,976 shares during the last quarter. 52.65% of the stock is owned by institutional investors.

About Barrick Gold

Barrick Gold Corporation engages in the exploration and development of mineral properties. It primarily explores for gold and copper deposits. The company holds a 50% interest in the Veladero mine located in the San Juan Province of Argentina; 50% interest in the KCGM, a gold mine located in Australia; 95% interest in Porgera, a gold mine located in Papua New Guinea; 50% interest in the Zaldívar, a copper mine located in Chile; and 50% interest in the Jabal Sayid, a copper mine located in Saudi Arabia.

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