B Stock Forecast & Price Target

Barrick Gold reported a robust production level of nearly 3.9 million attributable ounces of gold and about 195,000 metric tons of copper in 2024, indicating strong operational performance. The company is well-positioned with approximately two decades of gold reserves and significant copper reserves, supported by strategic expansions such as the Lumwana mine in Zambia and the Reko Diq project in Pakistan. The anticipated cost improvements and stable production guidance from the Nevada Gold Mines (NGM) for the next decade, along with the potential benefits from the development of the Fourmile project, further enhance Barrick’s long-term growth prospects.

Barrick Gold's financial outlook is negatively impacted by high EBITDA multiples for its Northern gold mining (NGM) and copper segments, attributed to a lack of near-term production from key projects such as Fourmile and Reko Diq. Additionally, the company's shares are trading at a slight discount to their worst-case breakup value, with non-Nevada and pipeline assets reflecting an implied valuation of less than 0.4 times net asset value (NAV). Furthermore, Barrick operates in regions with heightened geopolitical risks, which could adversely affect employee safety, operational stability, and overall community relations.