Barrick Gold Corporation (GOLD - Free Report) recorded net earnings (on a reported basis) of $400 million or 22 cents per share in first-quarter 2020, up from $111 million or 6 cents in the year-ago quarter.
Barring one-time items, adjusted earnings per share increased 45.5% year over year to 16 cents. The figure came in line with the Zacks Consensus Estimate.
Barrick recorded total sales of $2,721 million, up around 30% year over year. The figure missed the Zacks Consensus Estimate of $2,745 million.
Operational Highlights
Total gold production amounted to 1.25 million ounces in the first quarter, down 9% year over year from 1.37 million ounces. Average realized price of gold was $1,589 per ounce in the quarter, up 22% from $1,307 per ounce in the year-ago quarter.
Cost of sales moved up 8% year over year to $1,020 per ounce. All-in sustaining costs (AISC) rose 16% year over year to $954 per ounce in the quarter.
Copper production increased 8% year over year to 115 million pounds. Average realized copper price was $2.23 per pound, down 27% year over year.
Financial Position
At the end of the first quarter, Barrick had cash and cash equivalents of $3,327 million, up 55% year over year. The company’s total debt was around $5.2 billion at the end of the first quarter compared with $5.5 billion as of Dec 31, 2019.
Net cash provided by operating activities rose 71% year over year to $889 million.
Guidance
For 2020, Barrick now anticipates attributable gold production in the range of 4.6-5 million ounces, down from 4.8-5.2 million ounces it expected earlier. AISC is expected in the range of $920-$970 per ounce, unchanged from the prior view. Cost of sales is expected in the range of $980-$1,030 per ounce, unchanged from previous guidance.
The company continues to expect copper production in the range of 440-500 million pounds at AISC of $2.20-$2.50 per pound and at cost of sales of $2.10-$2.40 per pound.
Capital expenditures are projected between $1,600 million and $1,900 million.
Price Performance
Barrick’s shares have gained 111.3% in the past year compared with the industry’s 93% rally.
Zacks Rank & Other Key Picks
Barrick currently carries a Zacks Rank #2 (Buy).
Some other top-ranked stocks in the basic materials space are Agnico Eagle Mines Limited (AEM - Free Report) , Newmont Corporation (NEM - Free Report) and Franco-Nevada Corporation (FNV - Free Report) , all carrying a Zacks Rank #2. You can see the complete list of today’s Zacks #1 (Strong Buy) Rank stocks here.
Agnico Eagle has an expected earnings growth rate of 58.8% for 2020. The company’s shares have surged 55.1% in the past year.
Newmont has an expected earnings growth rate of 95.5% for 2020. Its shares have returned 103.2% in the past year.
Franco-Nevada has an expected earnings growth rate of 22% for 2020. The company’s shares have surged 102.3% in the past year.
5 Stocks Set to Double
Each was hand-picked by a Zacks expert as the #1 favorite stock to gain +100% or more in 2020. Each comes from a different sector and has unique qualities and catalysts that could fuel exceptional growth.
Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor.
Today, See These 5 Potential Home Runs >>
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
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Barrick Gold Corporation (GOLD - Free Report) recorded net earnings (on a reported basis) of $400 million or 22 cents per share in first-quarter 2020, up from $111 million or 6 cents in the year-ago quarter.
Barring one-time items, adjusted earnings per share increased 45.5% year over year to 16 cents. The figure came in line with the Zacks Consensus Estimate.
Barrick recorded total sales of $2,721 million, up around 30% year over year. The figure missed the Zacks Consensus Estimate of $2,745 million.
Operational Highlights
Total gold production amounted to 1.25 million ounces in the first quarter, down 9% year over year from 1.37 million ounces. Average realized price of gold was $1,589 per ounce in the quarter, up 22% from $1,307 per ounce in the year-ago quarter.
Cost of sales moved up 8% year over year to $1,020 per ounce. All-in sustaining costs (AISC) rose 16% year over year to $954 per ounce in the quarter.
Copper production increased 8% year over year to 115 million pounds. Average realized copper price was $2.23 per pound, down 27% year over year.
Financial Position
At the end of the first quarter, Barrick had cash and cash equivalents of $3,327 million, up 55% year over year. The company’s total debt was around $5.2 billion at the end of the first quarter compared with $5.5 billion as of Dec 31, 2019.
Net cash provided by operating activities rose 71% year over year to $889 million.
Guidance
For 2020, Barrick now anticipates attributable gold production in the range of 4.6-5 million ounces, down from 4.8-5.2 million ounces it expected earlier. AISC is expected in the range of $920-$970 per ounce, unchanged from the prior view. Cost of sales is expected in the range of $980-$1,030 per ounce, unchanged from previous guidance.
The company continues to expect copper production in the range of 440-500 million pounds at AISC of $2.20-$2.50 per pound and at cost of sales of $2.10-$2.40 per pound.
Capital expenditures are projected between $1,600 million and $1,900 million.
Price Performance
Barrick’s shares have gained 111.3% in the past year compared with the industry’s 93% rally.
Zacks Rank & Other Key Picks
Barrick currently carries a Zacks Rank #2 (Buy).
Some other top-ranked stocks in the basic materials space are Agnico Eagle Mines Limited (AEM - Free Report) , Newmont Corporation (NEM - Free Report) and Franco-Nevada Corporation (FNV - Free Report) , all carrying a Zacks Rank #2. You can see the complete list of today’s Zacks #1 (Strong Buy) Rank stocks here.
Agnico Eagle has an expected earnings growth rate of 58.8% for 2020. The company’s shares have surged 55.1% in the past year.
Newmont has an expected earnings growth rate of 95.5% for 2020. Its shares have returned 103.2% in the past year.
Franco-Nevada has an expected earnings growth rate of 22% for 2020. The company’s shares have surged 102.3% in the past year.
5 Stocks Set to Double
Each was hand-picked by a Zacks expert as the #1 favorite stock to gain +100% or more in 2020. Each comes from a different sector and has unique qualities and catalysts that could fuel exceptional growth.
Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor.
Today, See These 5 Potential Home Runs >>
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
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