Barrick Gold (GOLD) Stock Sinks As Market Gains: What You Should Know

Barrick Gold (GOLD) closed the most recent trading day at $20.63, moving -0.53% from the previous trading session. This move lagged the S&P 500's daily gain of 1.02%.

Prior to today's trading, shares of the gold and copper mining company had lost 1.1% over the past month. This has lagged the Basic Materials sector's gain of 1.67% and the S&P 500's gain of 3.01% in that time.

Wall Street will be looking for positivity from GOLD as it approaches its next earnings report date. This is expected to be August 9, 2021. On that day, GOLD is projected to report earnings of $0.26 per share, which would represent year-over-year growth of 13.04%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $2.97 billion, down 2.87% from the year-ago period.

For the full year, our Zacks Consensus Estimates are projecting earnings of $1.23 per share and revenue of $12.46 billion, which would represent changes of +6.96% and -1.05%, respectively, from the prior year.

Investors should also note any recent changes to analyst estimates for GOLD. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 1.06% higher within the past month. GOLD is holding a Zacks Rank of #3 (Hold) right now.

Valuation is also important, so investors should note that GOLD has a Forward P/E ratio of 16.9 right now. Its industry sports an average Forward P/E of 14.33, 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 8.45. 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. Mining - Gold stocks are, on average, holding a PEG ratio of 1.94 based on yesterday's closing prices.

The Mining - Gold industry is part of the Basic Materials sector. This group has a Zacks Industry Rank of 205, putting it in the bottom 20% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. 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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