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Barrick Gold (GOLD) Dips More Than Broader Markets: What You Should Know

Barrick Gold (GOLD) closed at $18.83 in the latest trading session, marking a -1.93% move from the prior day. This change lagged the S&P 500's daily loss of 1.42%. Meanwhile, the Dow lost 0.49%, and the Nasdaq, a tech-heavy index, lost 0.47%.

Coming into today, shares of the gold and copper mining company had gained 8.78% in the past month. In that same time, the Basic Materials sector gained 7.56%, while the S&P 500 gained 0.39%.

Wall Street will be looking for positivity from Barrick Gold as it approaches its next earnings report date. In that report, analysts expect Barrick Gold to post earnings of $0.30 per share. This would mark a year-over-year decline of 14.29%. Our most recent consensus estimate is calling for quarterly revenue of $3.32 billion, up 1.17% from the year-ago period.

Investors might also notice recent changes to analyst estimates for Barrick Gold. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 1.09% lower within the past month. Barrick Gold is holding a Zacks Rank of #3 (Hold) right now.

Valuation is also important, so investors should note that Barrick Gold has a Forward P/E ratio of 16.92 right now. This valuation marks a premium compared to its industry's average Forward P/E of 13.31.

We can also see that GOLD currently has a PEG ratio of 8.46. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. Mining - Gold stocks are, on average, holding a PEG ratio of 2.54 based on yesterday's closing prices.

The Mining - Gold industry is part of the Basic Materials sector. This group has a Zacks Industry Rank of 67, putting it in the top 27% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

To follow GOLD in the coming trading sessions, be sure to utilize Zacks.com.


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