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BARRICK GOLD CORP (ABX.CA) Stock Fundamental Analysis

TSX:ABX - Toronto Stock Exchange - CA0679011084 - Common Stock - Currency: CAD

24.33  -0.28 (-1.14%)

Fundamental Rating

6

Overall ABX gets a fundamental rating of 6 out of 10. We evaluated ABX against 832 industry peers in the Metals & Mining industry. While ABX has a great profitability rating, there are some minor concerns on its financial health. ABX scores decently on growth, while it is valued quite cheap. This could make an interesting combination. These ratings could make ABX a good candidate for value investing.


Dividend Valuation Growth Profitability Health

8

1. Profitability

1.1 Basic Checks

ABX had positive earnings in the past year.
In the past year ABX had a positive cash flow from operations.
In the past 5 years ABX has always been profitable.
ABX had a positive operating cash flow in each of the past 5 years.
ABX.CA Yearly Net Income VS EBIT VS OCF VS FCFABX.CA Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 0 2B -2B 4B

1.2 Ratios

The Return On Assets of ABX (3.44%) is better than 89.83% of its industry peers.
ABX has a better Return On Equity (6.83%) than 90.90% of its industry peers.
With an excellent Return On Invested Capital value of 5.13%, ABX belongs to the best of the industry, outperforming 92.50% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for ABX is significantly below the industry average of 11.94%.
The 3 year average ROIC (5.09%) for ABX is below the current ROIC(5.13%), indicating increased profibility in the last year.
Industry RankSector Rank
ROA 3.44%
ROE 6.83%
ROIC 5.13%
ROA(3y)2.68%
ROA(5y)4.39%
ROE(3y)5.27%
ROE(5y)8.86%
ROIC(3y)5.09%
ROIC(5y)5.1%
ABX.CA Yearly ROA, ROE, ROICABX.CA Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2015 2016 2017 2018 2019 2020 2021 2022 2023 0 10 -10 -20 -30

1.3 Margins

With an excellent Profit Margin value of 13.19%, ABX belongs to the best of the industry, outperforming 94.38% of the companies in the same industry.
ABX's Profit Margin has declined in the last couple of years.
ABX has a better Operating Margin (28.36%) than 95.72% of its industry peers.
In the last couple of years the Operating Margin of ABX has grown nicely.
With an excellent Gross Margin value of 34.30%, ABX belongs to the best of the industry, outperforming 92.91% of the companies in the same industry.
ABX's Gross Margin has improved in the last couple of years.
Industry RankSector Rank
OM 28.36%
PM (TTM) 13.19%
GM 34.3%
OM growth 3Y-11.5%
OM growth 5Y5.4%
PM growth 3Y-15.43%
PM growth 5YN/A
GM growth 3Y-9.57%
GM growth 5Y1.71%
ABX.CA Yearly Profit, Operating, Gross MarginsABX.CA Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2015 2016 2017 2018 2019 2020 2021 2022 2023 0 20 -20 40

5

2. Health

2.1 Basic Checks

With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), ABX is destroying value.
ABX has about the same amout of shares outstanding than it did 1 year ago.
ABX has more shares outstanding than it did 5 years ago.
The debt/assets ratio for ABX has been reduced compared to a year ago.
ABX.CA Yearly Shares OutstandingABX.CA Yearly Shares OutstandingYearly Shares Outstanding 2015 2016 2017 2018 2019 2020 2021 2022 2023 500M 1B 1.5B
ABX.CA Yearly Total Debt VS Total AssetsABX.CA Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2015 2016 2017 2018 2019 2020 2021 2022 2023 10B 20B 30B 40B

2.2 Solvency

ABX has an Altman-Z score of 1.22. This is a bad value and indicates that ABX is not financially healthy and even has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 1.22, ABX is in line with its industry, outperforming 48.86% of the companies in the same industry.
The Debt to FCF ratio of ABX is 4.96, which is a neutral value as it means it would take ABX, 4.96 years of fcf income to pay off all of its debts.
ABX has a Debt to FCF ratio of 4.96. This is amongst the best in the industry. ABX outperforms 91.03% of its industry peers.
ABX has a Debt/Equity ratio of 0.20. This is a healthy value indicating a solid balance between debt and equity.
ABX has a Debt to Equity ratio of 0.20. This is in the lower half of the industry: ABX underperforms 72.42% of its industry peers.
Industry RankSector Rank
Debt/Equity 0.2
Debt/FCF 4.96
Altman-Z 1.22
ROIC/WACC0.54
WACC9.45%
ABX.CA Yearly LT Debt VS Equity VS FCFABX.CA Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 5B 10B 15B 20B

2.3 Liquidity

A Current Ratio of 2.65 indicates that ABX has no problem at all paying its short term obligations.
ABX has a Current ratio (2.65) which is comparable to the rest of the industry.
A Quick Ratio of 2.06 indicates that ABX has no problem at all paying its short term obligations.
ABX has a Quick ratio (2.06) which is in line with its industry peers.
Industry RankSector Rank
Current Ratio 2.65
Quick Ratio 2.06
ABX.CA Yearly Current Assets VS Current LiabilitesABX.CA Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2015 2016 2017 2018 2019 2020 2021 2022 2023 2B 4B 6B 8B

4

3. Growth

3.1 Past

ABX shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 54.29%, which is quite impressive.
The Earnings Per Share has been growing by 18.47% on average over the past years. This is quite good.
The Revenue has grown by 11.02% in the past year. This is quite good.
ABX shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 9.49% yearly.
EPS 1Y (TTM)54.29%
EPS 3Y-9.94%
EPS 5Y18.47%
EPS Q2Q%25%
Revenue 1Y (TTM)11.02%
Revenue growth 3Y-3.28%
Revenue growth 5Y9.49%
Sales Q2Q%17.68%

3.2 Future

ABX is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 6.70% yearly.
Based on estimates for the next years, ABX will show a decrease in Revenue. The Revenue will decrease by -0.97% on average per year.
EPS Next Y51.5%
EPS Next 2Y40.2%
EPS Next 3Y25.08%
EPS Next 5Y6.7%
Revenue Next Year15.33%
Revenue Next 2Y15.4%
Revenue Next 3Y10.77%
Revenue Next 5Y-0.97%

3.3 Evolution

When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
ABX.CA Yearly Revenue VS EstimatesABX.CA Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 5B 10B 15B
ABX.CA Yearly EPS VS EstimatesABX.CA Yearly EPS VS EstimatesYearly EPS VS Estimates 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 0.5 1 1.5

9

4. Valuation

4.1 Price/Earnings Ratio

A Price/Earnings ratio of 15.70 indicates a correct valuation of ABX.
ABX's Price/Earnings ratio is rather cheap when compared to the industry. ABX is cheaper than 91.30% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 28.12, ABX is valued a bit cheaper.
ABX is valuated reasonably with a Price/Forward Earnings ratio of 10.27.
Compared to the rest of the industry, the Price/Forward Earnings ratio of ABX indicates a rather cheap valuation: ABX is cheaper than 91.97% of the companies listed in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 94.77. ABX is valued rather cheaply when compared to this.
Industry RankSector Rank
PE 15.7
Fwd PE 10.27
ABX.CA Price Earnings VS Forward Price EarningsABX.CA Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 20 40 60 80

4.2 Price Multiples

93.84% of the companies in the same industry are more expensive than ABX, based on the Enterprise Value to EBITDA ratio.
ABX's Price/Free Cash Flow ratio is rather cheap when compared to the industry. ABX is cheaper than 91.97% of the companies in the same industry.
Industry RankSector Rank
P/FCF 31.22
EV/EBITDA 5.56
ABX.CA Per share dataABX.CA EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 5 10 15

4.3 Compensation for Growth

The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The excellent profitability rating of ABX may justify a higher PE ratio.
ABX's earnings are expected to grow with 25.08% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.3
PEG (5Y)0.85
EPS Next 2Y40.2%
EPS Next 3Y25.08%

5

5. Dividend

5.1 Amount

With a Yearly Dividend Yield of 2.26%, ABX has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 7.68, ABX pays a better dividend. On top of this ABX pays more dividend than 97.19% of the companies listed in the same industry.
ABX's Dividend Yield is comparable with the S&P500 average which is at 2.29.
Industry RankSector Rank
Dividend Yield 2.26%

5.2 History

The dividend of ABX is nicely growing with an annual growth rate of 30.07%!
ABX has paid a dividend for at least 10 years, which is a reliable track record.
ABX has decreased its dividend recently.
Dividend Growth(5Y)30.07%
Div Incr Years0
Div Non Decr Years1
ABX.CA Yearly Dividends per shareABX.CA Yearly Dividends per shareYearly Dividends per share 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0.2 0.4 0.6

5.3 Sustainability

43.02% of the earnings are spent on dividend by ABX. This is a bit on the high side, but may be sustainable.
ABX's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP43.02%
EPS Next 2Y40.2%
EPS Next 3Y25.08%
ABX.CA Yearly Income VS Free CF VS DividendABX.CA Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2015 2016 2017 2018 2019 2020 2021 2022 2023 0 2B -2B
ABX.CA Dividend Payout.ABX.CA Dividend Payout, showing the Payout Ratio.ABX.CA Dividend Payout.PayoutRetained Earnings

BARRICK GOLD CORP

TSX:ABX (2/7/2025, 7:00:00 PM)

24.33

-0.28 (-1.14%)

Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryMetals & Mining
Earnings (Last)11-07 2024-11-07/bmo
Earnings (Next)02-12 2025-02-12/amc
Inst Owners62.36%
Inst Owner ChangeN/A
Ins Owners0.67%
Ins Owner ChangeN/A
Market Cap42.64B
Analysts81.11
Price Target33.3 (36.87%)
Short Float %N/A
Short RatioN/A
Dividend
Industry RankSector Rank
Dividend Yield 2.26%
Yearly Dividend0.4
Dividend Growth(5Y)30.07%
DP43.02%
Div Incr Years0
Div Non Decr Years1
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)5.18%
Min EPS beat(2)-4.73%
Max EPS beat(2)15.09%
EPS beat(4)3
Avg EPS beat(4)15.59%
Min EPS beat(4)-4.73%
Max EPS beat(4)32.52%
EPS beat(8)7
Avg EPS beat(8)16.68%
EPS beat(12)11
Avg EPS beat(12)14.61%
EPS beat(16)15
Avg EPS beat(16)12.74%
Revenue beat(2)0
Avg Revenue beat(2)-4.81%
Min Revenue beat(2)-7.09%
Max Revenue beat(2)-2.53%
Revenue beat(4)0
Avg Revenue beat(4)-2.85%
Min Revenue beat(4)-7.09%
Max Revenue beat(4)-0.62%
Revenue beat(8)2
Avg Revenue beat(8)-1.03%
Revenue beat(12)6
Avg Revenue beat(12)0.22%
Revenue beat(16)6
Avg Revenue beat(16)-0.38%
PT rev (1m)-3.71%
PT rev (3m)-4.49%
EPS NQ rev (1m)0.91%
EPS NQ rev (3m)22.73%
EPS NY rev (1m)0.7%
EPS NY rev (3m)-1.01%
Revenue NQ rev (1m)-0.96%
Revenue NQ rev (3m)-0.96%
Revenue NY rev (1m)-0.2%
Revenue NY rev (3m)0.92%
Valuation
Industry RankSector Rank
PE 15.7
Fwd PE 10.27
P/S 2.41
P/FCF 31.22
P/OCF 7.26
P/B 1.25
P/tB 1.48
EV/EBITDA 5.56
EPS(TTM)1.55
EY6.37%
EPS(NY)2.37
Fwd EY9.74%
FCF(TTM)0.78
FCFY3.2%
OCF(TTM)3.35
OCFY13.78%
SpS10.1
BVpS19.51
TBVpS16.46
PEG (NY)0.3
PEG (5Y)0.85
Profitability
Industry RankSector Rank
ROA 3.44%
ROE 6.83%
ROCE 7.89%
ROIC 5.13%
ROICexc 5.67%
ROICexgc 6.25%
OM 28.36%
PM (TTM) 13.19%
GM 34.3%
FCFM 7.72%
ROA(3y)2.68%
ROA(5y)4.39%
ROE(3y)5.27%
ROE(5y)8.86%
ROIC(3y)5.09%
ROIC(5y)5.1%
ROICexc(3y)5.7%
ROICexc(5y)5.71%
ROICexgc(3y)6.4%
ROICexgc(5y)6.46%
ROCE(3y)7.84%
ROCE(5y)7.85%
ROICexcg growth 3Y-15.56%
ROICexcg growth 5Y0.69%
ROICexc growth 3Y-14.56%
ROICexc growth 5Y0.2%
OM growth 3Y-11.5%
OM growth 5Y5.4%
PM growth 3Y-15.43%
PM growth 5YN/A
GM growth 3Y-9.57%
GM growth 5Y1.71%
F-Score8
Asset Turnover0.26
Health
Industry RankSector Rank
Debt/Equity 0.2
Debt/FCF 4.96
Debt/EBITDA 0.86
Cap/Depr 157.59%
Cap/Sales 25.49%
Interest Coverage 10
Cash Conversion 74.55%
Profit Quality 58.51%
Current Ratio 2.65
Quick Ratio 2.06
Altman-Z 1.22
F-Score8
WACC9.45%
ROIC/WACC0.54
Cap/Depr(3y)139.86%
Cap/Depr(5y)119.26%
Cap/Sales(3y)25.03%
Cap/Sales(5y)21.78%
Profit Quality(3y)82.29%
Profit Quality(5y)84.02%
High Growth Momentum
Growth
EPS 1Y (TTM)54.29%
EPS 3Y-9.94%
EPS 5Y18.47%
EPS Q2Q%25%
EPS Next Y51.5%
EPS Next 2Y40.2%
EPS Next 3Y25.08%
EPS Next 5Y6.7%
Revenue 1Y (TTM)11.02%
Revenue growth 3Y-3.28%
Revenue growth 5Y9.49%
Sales Q2Q%17.68%
Revenue Next Year15.33%
Revenue Next 2Y15.4%
Revenue Next 3Y10.77%
Revenue Next 5Y-0.97%
EBIT growth 1Y36.57%
EBIT growth 3Y-14.4%
EBIT growth 5Y15.4%
EBIT Next Year106.26%
EBIT Next 3Y40.74%
EBIT Next 5Y11.91%
FCF growth 1Y-23.6%
FCF growth 3Y-42.3%
FCF growth 5Y12.1%
OCF growth 1Y0.56%
OCF growth 3Y-11.68%
OCF growth 5Y16.16%