Barrick Gold: 70 percent and more1 Feb 2020 06:54
It was one of the biggest surprises in the gold industry: Just over a year ago, the world's largest gold producer, Barrick Gold, took over the competition from Randgold Resources. And Barrick also got a new CEO - the former Randgold boss Mark Bristow. Since taking the helm, Barrick's stock has risen over 70 percent. But Bristow should not be satisfied with that. The next move is just a matter of time.
Bristow recently said that he could imagine a merger with Freeport McMoRan. Freeport is also a gold producer, but above all Freeport produces copper. Bristow is a self-confessed copper bull. Be imaginable. "As head of the most valuable gold company, I have to look at the best gold mines in the world," he said. However, this statement leaves room for maneuver. For example, he recently ranked Centamin's Sukari gold mine as one of the top gold mines. But is Barrick really going to Egypt?
The gold producer, once plagued by a debt burden, has now become a healthy company again. This is partly due to the rise in gold prices, but partly due to the painful sales of assets that were no longer part of the core business. Mark Bristow assumes that if the gold price remains strong, Barrick will be net debt free by the end of the year.
The Barrick share lags behind the Newmont Goldcorp share in the short term. But that's not surprising after the previous outperformance. Operationally, Barrick Gold is on track and continues to hold a base investment among gold producers. The chart also indicates an outbreak. Courageous investors take up or increase their position.
The article is in German but lovingly translated by my good self..
https://www.deraktionaer.de/artikel/gold-rohstoffe/barrick-gold-70-prozent-und-mehr-20196098.html
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