Barrick Gold Sees Unusually High Options Volume (NYSE:GOLD)

Barrick Gold Corp (NYSE:GOLD) (TSE:ABX) saw some unusual options trading activity on Thursday. Traders purchased 75,011 call options on the company. This represents an increase of approximately 58% compared to the typical volume of 47,449 call options.

Barrick Gold Price Performance

Shares of GOLD stock opened at $20.59 on Friday. The firm’s 50 day moving average price is $18.49 and its two-hundred day moving average price is $17.92. The stock has a market cap of $35.41 billion, a PE ratio of 16.74, a PEG ratio of 0.44 and a beta of 0.55. Barrick Gold has a 52-week low of $15.11 and a 52-week high of $21.35. The company has a debt-to-equity ratio of 0.14, a quick ratio of 2.15 and a current ratio of 2.89.

Barrick Gold (NYSE:GOLD) (TSE:ABX) last announced its quarterly earnings data on Wednesday, February 12th. The gold and copper producer reported $0.46 EPS for the quarter, hitting analysts’ consensus estimates of $0.46. Barrick Gold had a return on equity of 6.76% and a net margin of 16.59%. As a group, analysts forecast that Barrick Gold will post 1.47 EPS for the current year.

Barrick Gold Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Monday, March 17th. Investors of record on Friday, February 28th were given a $0.10 dividend. The ex-dividend date of this dividend was Friday, February 28th. This represents a $0.40 dividend on an annualized basis and a dividend yield of 1.94%. Barrick Gold’s dividend payout ratio is 32.52%.

Barrick Gold announced that its board has approved a share buyback plan on Wednesday, February 12th that permits the company to repurchase $1.00 billion in shares. This repurchase authorization permits the gold and copper producer to buy up to 3.2% of its stock through open market purchases. Stock repurchase plans are generally an indication that the company’s leadership believes its shares are undervalued.

Analyst Ratings Changes

A number of research firms recently commented on GOLD. Raymond James increased their price target on Barrick Gold from $23.00 to $23.50 and gave the stock an “outperform” rating in a research report on Monday, March 31st. TD Securities decreased their target price on Barrick Gold from $24.00 to $23.00 and set a “buy” rating on the stock in a report on Thursday, February 13th. Royal Bank of Canada lifted their price target on Barrick Gold from $22.00 to $23.00 and gave the company an “outperform” rating in a report on Friday, April 4th. Scotiabank upped their price target on shares of Barrick Gold from $19.00 to $20.00 and gave the stock a “sector perform” rating in a research report on Tuesday, February 18th. Finally, Citigroup lowered their price objective on shares of Barrick Gold from $21.00 to $17.00 and set a “neutral” rating for the company in a research report on Monday, March 31st. Six investment analysts have rated the stock with a hold rating, eight have given a buy rating and two have issued a strong buy rating to the company’s stock. According to data from MarketBeat, Barrick Gold presently has an average rating of “Moderate Buy” and a consensus target price of $24.04.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently added to or reduced their stakes in GOLD. Crowley Wealth Management Inc. acquired a new stake in shares of Barrick Gold during the fourth quarter worth about $26,000. Vega Investment Solutions bought a new stake in Barrick Gold during the 4th quarter worth approximately $31,000. Nexus Investment Management ULC acquired a new stake in Barrick Gold during the 1st quarter worth approximately $32,000. Strategic Investment Solutions Inc. IL bought a new position in Barrick Gold in the fourth quarter valued at approximately $37,000. Finally, Ameriflex Group Inc. acquired a new position in shares of Barrick Gold in the fourth quarter valued at approximately $39,000. 62.85% of the stock is currently owned by institutional investors.

About Barrick Gold

Barrick Gold Corporation is a sector-leading gold and copper producer.  Its shares trade on the New York Stock Exchange under the symbol GOLD and on the Toronto Stock Exchange under the symbol ABX.
 
In January 2019 Barrick merged with Randgold Resources and in July that year it combined its gold mines in Nevada, USA, with those of Newmont Corporation in a joint venture, Nevada Gold Mines, which is majority-owned and operated by Barrick.