Barrick Gold Corporation GOLD has divested 79,268,800 shares of Shandong Gold Mining Co., Ltd. for gross proceeds of around $210 million (at HK$20.50 per share). In fourth-quarter 2018, the company purchased the shares at HK$10.50 per share.
Barrick currently owns 10,250,000 shares of Shandong Gold, which represents 2.05% interest in Shandong Gold’s Hong-Kong listed (H-class) shares. Barrick has reaffirmed its commitment to the strong long-term strategic partnership with Shandong Gold.
Barrick’s shares have surged 69.6% in the past year compared with the industry’s 50.9% rally.
For 2020, Barrick anticipates attributable gold production in the range of 4.6-5 million ounces compared with the previous expectation of 4.8-5.2 million ounces. All-in sustaining costs (AISC) are 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.
Zacks Rank & Key Picks
Barrick currently carries a Zacks Rank #3 (Hold).
Some better-ranked stocks in the basic materials space are Alamos Gold Inc. AGI, B2Gold Corp BTG and Franco-Nevada Corporation FNV, all carrying a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 (Strong Buy) Rank stocks here.
Alamos Gold has an expected earnings growth rate of 65% for 2020. The company’s shares have surged 40.1% in the past year.
B2Gold has an expected earnings growth rate of 214.3% for 2020. Its shares have returned 76.7% in the past year.
Franco-Nevada has an expected earnings growth rate of 60.2% for 2020. The company’s shares have surged 68.3% in the past year.
The Hottest Tech Mega-Trend of All
Last year, it generated $24 billion in global revenues. By 2020, it's predicted to blast through the roof to $77.6 billion. Famed investor Mark Cuban says it will produce "the world's first trillionaires," but that should still leave plenty of money for regular investors who make the right trades early.
See Zacks' 3 Best Stocks to Play This Trend >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
FrancoNevada Corporation (FNV) : Free Stock Analysis Report
Barrick Gold Corporation (GOLD) : Free Stock Analysis Report
B2Gold Corp (BTG) : Free Stock Analysis Report
Alamos Gold Inc. (AGI) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research