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Barrick Mining vs. Newmont: Which Gold Heavyweight Has More Glitter?
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Key Takeaways
Gold's surge to record highs has lifted both Barrick and Newmont shares sharply.
Barrick advances key projects like Goldrush and Lumwana while maintaining solid cash flow.
Newmont grows through Newcrest integration, project expansion and strategic divestitures.
Barrick Mining Corporation (B - Free Report) and Newmont Corporation (NEM - Free Report) are two of the biggest gold mining companies, each with extensive operations across multiple continents and diversified portfolios. With gold prices shooting higher, driven by escalating geopolitical tensions and economic and trade uncertainties, comparing these two industry giants is particularly relevant for investors seeking exposure to the precious metals sector.
Gold prices surged to record highs last year as global trade tensions lifted demand for safe-haven assets. Bullion repeatedly set new peaks, fueled by heightened geopolitical risks, a weaker U.S. dollar, strong central-bank buying and interest-rate cuts by the Federal Reserve, alongside expectations of further easing amid signs of economic and labor-market softness in the United States.
Sustained central-bank purchases, rate-cut expectations and persistent safe-haven demand tied to geopolitical and trade frictions, as well as broader macroeconomic uncertainty, are likely to support the rally in gold prices. Rising geopolitical strains, including the U.S.-Venezuela conflict, the deadly unrest in Iran with the possibility of U.S. intervention, along with concerns over the U.S. Federal Reserve’s independence and Greenland tariff threats, have driven bullion to fresh highs recently. Gold jumped roughly 65% last year and is now trading above $4,700 per ounce.
Let’s dive deep and closely compare the fundamentals of these two mining giants to determine which one is a better investment now.
The Case for Barrick
Barrick is well-placed to benefit from the progress in key growth projects, which should significantly contribute to its production. Its major gold and copper growth projects, including Goldrush, the Pueblo Viejo plant expansion and mine life extension, Fourmile, Lumwana Super Pit and Reko Diq, are underway. These projects are advancing on schedule and within budget, laying the groundwork for the next generation of profitable production.
The Goldrush mine is ramping up to the targeted 400,000 ounces of production per annum by 2028. Bordering Goldrush is the 100% Barrick-owned Fourmile, which is yielding grades double those of Goldrush and is anticipated to become another Tier One mine. The project has progressed to a prefeasibility study on the back of a successful drilling program, which shows significant resource growth potential. The Reko Diq copper-gold project in Pakistan is designed to produce 460,000 tons of copper and 520,000 ounces of gold annually in its second development phase. The first production is expected by the end of 2028.
Moreover, the $2-billion Super Pit Expansion Project at its Lumwana mine is progressing steadily, accelerating its shift into a Tier One copper mine. Barrick stated that the Lumwana expansion is the result of a significant turnaround, transforming the mine from an underperforming asset into a vital part of both its global copper portfolio and Zambia’s long-term development strategy. The expansion is expected to deliver 240,000 tons of copper production annually.
Barrick has a solid liquidity position and generates healthy cash flows, positioning it well to take advantage of attractive development, exploration and acquisition opportunities, drive shareholder value and reduce debt. At the end of third-quarter 2025, Barrick’s cash and cash equivalents were around $5 billion. It generated strong operating cash flows of roughly $2.4 billion in the quarter, up 105% year over year. Free cash flow surged to around $1.5 billion in the same quarter from $444 million in the prior-year quarter.
Barrick’s board, in February 2025, authorized a new program for the repurchase of up to $1 billion of its outstanding common shares. It repurchased shares worth $1 billion under this program during the first nine months of 2025, including $589 million in the third quarter.
Barrick offers a dividend yield of 1.4% at the current stock price. Its payout ratio is 32% (a ratio below 60% is a good indicator that the dividend will be sustainable), with a five-year annualized dividend growth rate of roughly 5.8%.
Barrick, however, is challenged by higher costs, which may weigh on its margins. Its cash costs per ounce of gold and all-in-sustaining costs (AISC) — a critical cost metric for miners — increased around 3% and 2% year over year, respectively, in the third quarter, although declining from the previous quarter. AISC of $1,538 increased from the year-ago quarter due to higher total cash costs per ounce. Lower year-over-year production, partly due to the suspension of operations at the Loulo-Gounkoto mine, also contributed to the rise in its unit costs. Barrick’s consolidated gold production fell 12% year over year to 829,000 ounces in the third quarter.
For 2025, Barrick continues to see total cash costs per ounce of $1,050-$1,130 and AISC in the range of $1,460-$1,560 per ounce. These projections suggest a year-over-year increase at the midpoint of the respective ranges.
The Case for Newmont
Newmont continues to invest in growth projects in a calculated manner. The company is pursuing several projects, including the Ahafo North expansion in Ghana and the Cadia Panel Caves and Tanami Expansion 2 in Australia. These projects should expand production capacity and extend mine life, driving revenues and profits.
In October 2025, NEM achieved a significant milestone at Ahafo North. It achieved commercial production at the project, which followed the first gold pour in September 2025. Ahafo North is expected to produce between 275,000 and 325,000 ounces of gold annually over an estimated mine life of 13 years. Production is expected to be 50,000 ounces this year, with a ramp-up to full capacity in 2026.
Newmont has also divested non-core businesses as it shifts its strategic focus to Tier 1 assets. NEM completed its non-core divestiture program in April 2025, with the sale of its Akyem operation in Ghana and its Porcupine operation in Canada. NEM has executed agreements to sell its shares in Greatland Resources Limited and Discovery Silver Corp, for total cash proceeds of around $470 million after taxes and commissions.
Following the sale of these shares, the company anticipates generating $3 billion in after-tax cash proceeds from its 2025 divestiture program. These funds will support Newmont’s capital allocation strategy, which focuses on reinforcing its balance sheet and delivering returns to its shareholders.
Newmont has a strong liquidity position and generates substantial cash flows, which allow it to fund its growth projects, meet short-term debt obligations and drive shareholder value. At the end of the third quarter of 2025, Newmont had robust liquidity of $9.6 billion, including cash and cash equivalents of around $5.6 billion. Its free cash flow more than doubled year over year to a record $1.6 billion, led by an increase in net cash from operating activities. Net cash from operating activities shot up 40% from the prior-year quarter to $2.3 billion.
NEM has distributed more than $5.7 billion to its shareholders through dividends and share repurchases over the past two years. It also remains committed to deleveraging, reducing debt by roughly $2 billion in the third quarter, resulting in a near-zero net debt position at the end of the quarter. Newmont has repurchased shares worth $2.1 billion this year, executing $3.3 billion from $6 billion of authorization. The company offers a dividend yield of 0.9% at the current stock price. Its payout ratio is 17%.
Newmont, however, saw lower gold production for the third quarter of 2025, partly linked to its strategic divestment of non-core assets. NEM reported a roughly 15% year-over-year and 4% sequential decline in gold production for the third quarter, reaching 1.42 million ounces. This marked the third straight quarter of sequential production decline. The lower production was due to reduced grades and planned shutdowns at Penasquito and Lihir, and the end of mining operations at the Subika open pit at Ahafo South. NEM’s strategic asset sales, aimed at sharpening focus on Tier-1 operations, have also weighed on production.
Newmont anticipates maintaining its expected gold production for 2025 at about 5.9 million ounces. For the fourth quarter, the company expects attributable production to be relatively in line with the third quarter, as new production from Ahafo North and increased output from the Nevada Gold Mines joint venture are expected to be offset by lower production at Yanacocha and lower grades at Ahafo South. NEM expects fourth-quarter production of 1.415 million ounces, indicating a roughly 25% year-over-year decline. The production decline could undercut the profitability goals.
Price Performance and Valuation of B & NEM
B stock has surged 204.6% in a year, while NEM stock has racked up a gain of 173.9% compared with the Zacks Mining – Gold industry’s growth of 153.9%.
Image Source: Zacks Investment Research
B is currently trading at a forward 12-month earnings multiple of 13.65, lower than its five-year median. This represents a roughly 8.4% discount when stacked up with the industry average of 14.9X.
Image Source: Zacks Investment Research
Newmont is trading at a premium to Barrick. The NEM stock is currently trading at a forward 12-month earnings multiple of 14.65, lower than its five-year median and below the industry.
Image Source: Zacks Investment Research
How Does Zacks Consensus Estimate Compare for B & NEM?
The Zacks Consensus Estimate for B’s 2026 sales and EPS implies a year-over-year rise of 20.9% and 57.2%, respectively. The EPS estimates for 2026 have been trending higher over the past 60 days.
Image Source: Zacks Investment Research
The consensus estimate for NEM’s 2026 sales and EPS implies year-over-year growth of 10.5% and 22.7%, respectively. The EPS estimates for 2026 have been trending northward over the past 60 days.
Both Barrick and Newmont are well-positioned to benefit from the strength in gold prices. Both have a strong pipeline of development projects and solid financial health and remain committed to driving shareholder value. While Barrick faces headwinds from higher production costs, weaker production due to divestments and lower grades may weigh on Newmont’s performance. NEM’s downbeat production outlook warrants caution. Barrick appears to have an edge over Newmont due to its more attractive valuation and higher growth projections. Investors seeking exposure to the gold space might consider Barrick as the more favorable option at this time.
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Barrick Mining vs. Newmont: Which Gold Heavyweight Has More Glitter?
Key Takeaways
Barrick Mining Corporation (B - Free Report) and Newmont Corporation (NEM - Free Report) are two of the biggest gold mining companies, each with extensive operations across multiple continents and diversified portfolios. With gold prices shooting higher, driven by escalating geopolitical tensions and economic and trade uncertainties, comparing these two industry giants is particularly relevant for investors seeking exposure to the precious metals sector.
Gold prices surged to record highs last year as global trade tensions lifted demand for safe-haven assets. Bullion repeatedly set new peaks, fueled by heightened geopolitical risks, a weaker U.S. dollar, strong central-bank buying and interest-rate cuts by the Federal Reserve, alongside expectations of further easing amid signs of economic and labor-market softness in the United States.
Sustained central-bank purchases, rate-cut expectations and persistent safe-haven demand tied to geopolitical and trade frictions, as well as broader macroeconomic uncertainty, are likely to support the rally in gold prices. Rising geopolitical strains, including the U.S.-Venezuela conflict, the deadly unrest in Iran with the possibility of U.S. intervention, along with concerns over the U.S. Federal Reserve’s independence and Greenland tariff threats, have driven bullion to fresh highs recently. Gold jumped roughly 65% last year and is now trading above $4,700 per ounce.
Let’s dive deep and closely compare the fundamentals of these two mining giants to determine which one is a better investment now.
The Case for Barrick
Barrick is well-placed to benefit from the progress in key growth projects, which should significantly contribute to its production. Its major gold and copper growth projects, including Goldrush, the Pueblo Viejo plant expansion and mine life extension, Fourmile, Lumwana Super Pit and Reko Diq, are underway. These projects are advancing on schedule and within budget, laying the groundwork for the next generation of profitable production.
The Goldrush mine is ramping up to the targeted 400,000 ounces of production per annum by 2028. Bordering Goldrush is the 100% Barrick-owned Fourmile, which is yielding grades double those of Goldrush and is anticipated to become another Tier One mine. The project has progressed to a prefeasibility study on the back of a successful drilling program, which shows significant resource growth potential. The Reko Diq copper-gold project in Pakistan is designed to produce 460,000 tons of copper and 520,000 ounces of gold annually in its second development phase. The first production is expected by the end of 2028.
Moreover, the $2-billion Super Pit Expansion Project at its Lumwana mine is progressing steadily, accelerating its shift into a Tier One copper mine. Barrick stated that the Lumwana expansion is the result of a significant turnaround, transforming the mine from an underperforming asset into a vital part of both its global copper portfolio and Zambia’s long-term development strategy. The expansion is expected to deliver 240,000 tons of copper production annually.
Barrick has a solid liquidity position and generates healthy cash flows, positioning it well to take advantage of attractive development, exploration and acquisition opportunities, drive shareholder value and reduce debt. At the end of third-quarter 2025, Barrick’s cash and cash equivalents were around $5 billion. It generated strong operating cash flows of roughly $2.4 billion in the quarter, up 105% year over year. Free cash flow surged to around $1.5 billion in the same quarter from $444 million in the prior-year quarter.
Barrick’s board, in February 2025, authorized a new program for the repurchase of up to $1 billion of its outstanding common shares. It repurchased shares worth $1 billion under this program during the first nine months of 2025, including $589 million in the third quarter.
Barrick offers a dividend yield of 1.4% at the current stock price. Its payout ratio is 32% (a ratio below 60% is a good indicator that the dividend will be sustainable), with a five-year annualized dividend growth rate of roughly 5.8%.
Barrick, however, is challenged by higher costs, which may weigh on its margins. Its cash costs per ounce of gold and all-in-sustaining costs (AISC) — a critical cost metric for miners — increased around 3% and 2% year over year, respectively, in the third quarter, although declining from the previous quarter. AISC of $1,538 increased from the year-ago quarter due to higher total cash costs per ounce. Lower year-over-year production, partly due to the suspension of operations at the Loulo-Gounkoto mine, also contributed to the rise in its unit costs. Barrick’s consolidated gold production fell 12% year over year to 829,000 ounces in the third quarter.
For 2025, Barrick continues to see total cash costs per ounce of $1,050-$1,130 and AISC in the range of $1,460-$1,560 per ounce. These projections suggest a year-over-year increase at the midpoint of the respective ranges.
The Case for Newmont
Newmont continues to invest in growth projects in a calculated manner. The company is pursuing several projects, including the Ahafo North expansion in Ghana and the Cadia Panel Caves and Tanami Expansion 2 in Australia. These projects should expand production capacity and extend mine life, driving revenues and profits.
In October 2025, NEM achieved a significant milestone at Ahafo North. It achieved commercial production at the project, which followed the first gold pour in September 2025. Ahafo North is expected to produce between 275,000 and 325,000 ounces of gold annually over an estimated mine life of 13 years. Production is expected to be 50,000 ounces this year, with a ramp-up to full capacity in 2026.
Newmont has also divested non-core businesses as it shifts its strategic focus to Tier 1 assets. NEM completed its non-core divestiture program in April 2025, with the sale of its Akyem operation in Ghana and its Porcupine operation in Canada. NEM has executed agreements to sell its shares in Greatland Resources Limited and Discovery Silver Corp, for total cash proceeds of around $470 million after taxes and commissions.
Following the sale of these shares, the company anticipates generating $3 billion in after-tax cash proceeds from its 2025 divestiture program. These funds will support Newmont’s capital allocation strategy, which focuses on reinforcing its balance sheet and delivering returns to its shareholders.
Newmont has a strong liquidity position and generates substantial cash flows, which allow it to fund its growth projects, meet short-term debt obligations and drive shareholder value. At the end of the third quarter of 2025, Newmont had robust liquidity of $9.6 billion, including cash and cash equivalents of around $5.6 billion. Its free cash flow more than doubled year over year to a record $1.6 billion, led by an increase in net cash from operating activities. Net cash from operating activities shot up 40% from the prior-year quarter to $2.3 billion.
NEM has distributed more than $5.7 billion to its shareholders through dividends and share repurchases over the past two years. It also remains committed to deleveraging, reducing debt by roughly $2 billion in the third quarter, resulting in a near-zero net debt position at the end of the quarter. Newmont has repurchased shares worth $2.1 billion this year, executing $3.3 billion from $6 billion of authorization. The company offers a dividend yield of 0.9% at the current stock price. Its payout ratio is 17%.
Newmont, however, saw lower gold production for the third quarter of 2025, partly linked to its strategic divestment of non-core assets. NEM reported a roughly 15% year-over-year and 4% sequential decline in gold production for the third quarter, reaching 1.42 million ounces. This marked the third straight quarter of sequential production decline. The lower production was due to reduced grades and planned shutdowns at Penasquito and Lihir, and the end of mining operations at the Subika open pit at Ahafo South. NEM’s strategic asset sales, aimed at sharpening focus on Tier-1 operations, have also weighed on production.
Newmont anticipates maintaining its expected gold production for 2025 at about 5.9 million ounces. For the fourth quarter, the company expects attributable production to be relatively in line with the third quarter, as new production from Ahafo North and increased output from the Nevada Gold Mines joint venture are expected to be offset by lower production at Yanacocha and lower grades at Ahafo South. NEM expects fourth-quarter production of 1.415 million ounces, indicating a roughly 25% year-over-year decline. The production decline could undercut the profitability goals.
Price Performance and Valuation of B & NEM
B stock has surged 204.6% in a year, while NEM stock has racked up a gain of 173.9% compared with the Zacks Mining – Gold industry’s growth of 153.9%.
B is currently trading at a forward 12-month earnings multiple of 13.65, lower than its five-year median. This represents a roughly 8.4% discount when stacked up with the industry average of 14.9X.
Newmont is trading at a premium to Barrick. The NEM stock is currently trading at a forward 12-month earnings multiple of 14.65, lower than its five-year median and below the industry.
How Does Zacks Consensus Estimate Compare for B & NEM?
The Zacks Consensus Estimate for B’s 2026 sales and EPS implies a year-over-year rise of 20.9% and 57.2%, respectively. The EPS estimates for 2026 have been trending higher over the past 60 days.
The consensus estimate for NEM’s 2026 sales and EPS implies year-over-year growth of 10.5% and 22.7%, respectively. The EPS estimates for 2026 have been trending northward over the past 60 days.
B or NEM: Which is a Better Pick?
Both B and NEM currently have a Zacks Rank #3 (Hold), so picking one stock is not easy. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Both Barrick and Newmont are well-positioned to benefit from the strength in gold prices. Both have a strong pipeline of development projects and solid financial health and remain committed to driving shareholder value. While Barrick faces headwinds from higher production costs, weaker production due to divestments and lower grades may weigh on Newmont’s performance. NEM’s downbeat production outlook warrants caution. Barrick appears to have an edge over Newmont due to its more attractive valuation and higher growth projections. Investors seeking exposure to the gold space might consider Barrick as the more favorable option at this time.