Barrick Gold Corporation’s GOLD shares have shot up 25% in the past three months. The rally has been largely driven by a surge in gold prices amid economic and geopolitical uncertainties.
The GOLD stock has pulled off a remarkable rebound this year, following a lackluster 2024, thanks to skyrocketing gold prices. The gold giant reeled under the effects of high production costs and operational issues across certain mines, which impacted its production last year. With bullion prices continuing to zoom upward, gold mining stocks, including Barrick, are well-placed to capitalize on this rally.
While GOLD has underperformed the Zacks Mining – Gold industry’s 34.6% increase, it has topped the S&P 500’s decline of 5.7% in the past three months. Among its gold mining peers, Newmont Corporation NEM, Kinross Gold Corporation KGC and Agnico Eagle Mines Limited AEM have racked up gains of 27.9%, 31% and 36.2%, respectively, over the same period.
Newmont’s gains are partly aided by the strong production performance of its managed Tier 1 portfolio. Kinross Gold’s impressive performance has been driven by its strong operational execution, advancement of growth strategy and consistent strong performance of Tasiast and Paracatu, its two biggest assets. Agnico Eagle’s shares have performed remarkably on the bourses, thanks to its forecast-topping earnings performance, higher realized prices and strong production.
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Technical indicators show that GOLD broke out above its 200-day simple moving average (SMA) on March 5, 2025. The stock has also been trading above its 50-day SMA since Jan. 30, 2025, indicating bullish momentum.
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Is the time right to buy GOLD’s shares for potential upside? Let’s take a look at the stock’s fundamentals.
Barrick is well-placed to benefit from the progress in key growth projects that should significantly contribute to its production. Its major gold and copper growth projects, including Goldrush, the Pueblo Viejo plant expansion and mine life extension, Donlin Gold, Fourmile, Lumwana Super Pit and Reko Diq, are currently being executed. These projects are advancing on schedule and within budget, underpinning the next generation of profitable production.
The Goldrush mine is ramping up to a targeted 400,000 ounces of production per annum by 2028. Bordering Goldrush is the 100% Barrick-owned Fourmile, which is yielding grades double those of Goldrush and is anticipated to become another Tier One mine. The project has progressed to a prefeasibility study on the back of a successful drilling program. The Reko Diq copper-gold project in Pakistan is designed to produce 460,000 tons of copper and 520,000 ounces of gold annually in its second development phase.
In October 2024, Barrick announced the commencement of the development of a Super Pit at its Lumwana copper mine in Zambia. The Super Pit Expansion entails doubling the present process circuit’s throughput and substantially boosting mining volumes. Upon completion, the $2 billion project has the potential to transform Lumwana into a long-term, high-yielding, top-25 copper producer and Tier One copper mine. The expansion is expected to deliver 240,000 tons of copper production annually over the life of the mine.
