BARRICK GOLD CORP (GOLD) Stock Fundamental Analysis
NYSE:GOLD - New York Stock Exchange, Inc. - CA0679011084 - Common Stock - Currency: USD
GOLD gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 150 industry peers in the Metals & Mining industry. GOLD has an excellent profitability rating, but there are some minor concerns on its financial health. GOLD is cheap, but on the other hand it scores bad on growth. With these ratings, GOLD could be worth investigating further for value investing!.
1. Profitability
1.1 Basic Checks
In the past year GOLD was profitable.
GOLD had a positive operating cash flow in the past year.
Each year in the past 5 years GOLD has been profitable.
Each year in the past 5 years GOLD had a positive operating cash flow.
1.2 Ratios
With a decent Return On Assets value of 4.50%, GOLD is doing good in the industry, outperforming 73.24% of the companies in the same industry.
GOLD has a Return On Equity of 8.83%. This is in the better half of the industry: GOLD outperforms 73.24% of its industry peers.
With a decent Return On Invested Capital value of 6.58%, GOLD is doing good in the industry, outperforming 69.72% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for GOLD is below the industry average of 8.67%.
The 3 year average ROIC (5.32%) for GOLD is below the current ROIC(6.58%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.5% | ||
| ROE | 8.83% | ||
| ROIC | 6.58% |
ROA(3y)2.74%
ROA(5y)3.51%
ROE(3y)5.39%
ROE(5y)6.92%
ROIC(3y)5.32%
ROIC(5y)5.94%
1.3 Margins
GOLD has a Profit Margin of 16.59%. This is amongst the best in the industry. GOLD outperforms 86.62% of its industry peers.
In the last couple of years the Profit Margin of GOLD has declined.
GOLD has a Operating Margin of 33.59%. This is amongst the best in the industry. GOLD outperforms 90.85% of its industry peers.
GOLD's Operating Margin has improved in the last couple of years.
GOLD has a better Gross Margin (38.39%) than 81.69% of its industry peers.
GOLD's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 33.59% | ||
| PM (TTM) | 16.59% | ||
| GM | 38.39% |
OM growth 3Y-2.73%
OM growth 5Y7.55%
PM growth 3Y-0.55%
PM growth 5Y-16.49%
GM growth 3Y-2.05%
GM growth 5Y5.86%
2. Health
2.1 Basic Checks
GOLD has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
The number of shares outstanding for GOLD has been reduced compared to 1 year ago.
Compared to 5 years ago, GOLD has less shares outstanding
The debt/assets ratio for GOLD has been reduced compared to a year ago.
2.2 Solvency
GOLD has an Altman-Z score of 1.33. This is a bad value and indicates that GOLD is not financially healthy and even has some risk of bankruptcy.
The Altman-Z score of GOLD (1.33) is worse than 68.31% of its industry peers.
GOLD has a debt to FCF ratio of 3.59. This is a good value and a sign of high solvency as GOLD would need 3.59 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 3.59, GOLD is in the better half of the industry, outperforming 72.54% of the companies in the same industry.
A Debt/Equity ratio of 0.19 indicates that GOLD is not too dependend on debt financing.
The Debt to Equity ratio of GOLD (0.19) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.19 | ||
| Debt/FCF | 3.59 | ||
| Altman-Z | 1.33 |
ROIC/WACC0.7
WACC9.37%
2.3 Liquidity
A Current Ratio of 2.89 indicates that GOLD has no problem at all paying its short term obligations.
Looking at the Current ratio, with a value of 2.89, GOLD is in the better half of the industry, outperforming 64.79% of the companies in the same industry.
GOLD has a Quick Ratio of 2.15. This indicates that GOLD is financially healthy and has no problem in meeting its short term obligations.
GOLD has a better Quick ratio (2.15) than 64.08% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.89 | ||
| Quick Ratio | 2.15 |
3. Growth
3.1 Past
GOLD shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 51.19%, which is quite impressive.
The Earnings Per Share has been growing by 19.55% on average over the past years. This is quite good.
The Revenue has grown by 13.38% in the past year. This is quite good.
GOLD shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 5.87% yearly.
EPS 1Y (TTM)51.19%
EPS 3Y2.77%
EPS 5Y19.55%
EPS Q2Q%70.37%
Revenue 1Y (TTM)13.38%
Revenue growth 3Y2.54%
Revenue growth 5Y5.87%
Sales Q2Q%19.16%
3.2 Future
The Earnings Per Share is expected to decrease by -2.21% on average over the next years.
The Revenue is expected to decrease by -4.58% on average over the next years.
EPS Next Y21.74%
EPS Next 2Y13.36%
EPS Next 3Y12.23%
EPS Next 5Y-2.21%
Revenue Next Year9.16%
Revenue Next 2Y5.31%
Revenue Next 3Y5.29%
Revenue Next 5Y-4.58%
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.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 13.93, which indicates a correct valuation of GOLD.
Based on the Price/Earnings ratio, GOLD is valued cheaper than 81.69% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 29.75. GOLD is valued rather cheaply when compared to this.
Based on the Price/Forward Earnings ratio of 11.44, the valuation of GOLD can be described as reasonable.
Based on the Price/Forward Earnings ratio, GOLD is valued a bit cheaper than 75.35% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of GOLD to the average of the S&P500 Index (22.44), we can say GOLD is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.93 | ||
| Fwd PE | 11.44 |
4.2 Price Multiples
84.51% of the companies in the same industry are more expensive than GOLD, based on the Enterprise Value to EBITDA ratio.
GOLD's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. GOLD is cheaper than 71.83% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 23.2 | ||
| EV/EBITDA | 5.01 |
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.
GOLD has an outstanding profitability rating, which may justify a higher PE ratio.
GOLD's earnings are expected to grow with 12.23% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.64
PEG (5Y)0.71
EPS Next 2Y13.36%
EPS Next 3Y12.23%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.11%, GOLD has a reasonable but not impressive dividend return.
GOLD's Dividend Yield is a higher than the industry average which is at 3.21.
Compared to an average S&P500 Dividend Yield of 2.30, GOLD has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.11% |
5.2 History
The dividend of GOLD has a limited annual growth rate of 1.45%.
GOLD has paid a dividend for at least 10 years, which is a reliable track record.
The dividend of GOLD decreased recently.
Dividend Growth(5Y)1.45%
Div Incr Years0
Div Non Decr Years1
5.3 Sustainability
GOLD pays out 32.46% of its income as dividend. This is a sustainable payout ratio.
DP32.46%
EPS Next 2Y13.36%
EPS Next 3Y12.23%
17.69
-0.06 (-0.34%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryMetals & Mining
Earnings (Last)
Earnings (Next)
Inst Owners62.18%
Inst Owner Change-1.42%
Ins Owners0.7%
Ins Owner ChangeN/A
Market Cap30.55B
Analysts80
Price Target23.16 (30.92%)
Short Float %0.92%
Short Ratio0.77
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.11% |
Yearly Dividend0.4
Dividend Growth(5Y)1.45%
DP32.46%
Div Incr Years0
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)3.51%
Min EPS beat(2)-4.73%
Max EPS beat(2)11.75%
EPS beat(4)3
Avg EPS beat(4)10.4%
Min EPS beat(4)-4.73%
Max EPS beat(4)19.5%
EPS beat(8)7
Avg EPS beat(8)16.23%
EPS beat(12)11
Avg EPS beat(12)14.32%
EPS beat(16)15
Avg EPS beat(16)12.76%
Revenue beat(2)1
Avg Revenue beat(2)-1.46%
Min Revenue beat(2)-7.09%
Max Revenue beat(2)4.17%
Revenue beat(4)1
Avg Revenue beat(4)-1.65%
Min Revenue beat(4)-7.09%
Max Revenue beat(4)4.17%
Revenue beat(8)2
Avg Revenue beat(8)-1.11%
Revenue beat(12)6
Avg Revenue beat(12)0.32%
Revenue beat(16)7
Avg Revenue beat(16)-0.06%
PT rev (1m)0%
PT rev (3m)-10.79%
EPS NQ rev (1m)-1%
EPS NQ rev (3m)-11.36%
EPS NY rev (1m)-6.37%
EPS NY rev (3m)-11.72%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)-5.85%
Revenue NY rev (3m)-8.96%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.93 | ||
| Fwd PE | 11.44 | ||
| P/S | 2.36 | ||
| P/FCF | 23.2 | ||
| P/OCF | 6.8 | ||
| P/B | 1.26 | ||
| P/tB | 1.45 | ||
| EV/EBITDA | 5.01 |
EPS(TTM)1.27
EY7.18%
EPS(NY)1.55
Fwd EY8.74%
FCF(TTM)0.76
FCFY4.31%
OCF(TTM)2.6
OCFY14.7%
SpS7.48
BVpS14.06
TBVpS12.19
PEG (NY)0.64
PEG (5Y)0.71
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.5% | ||
| ROE | 8.83% | ||
| ROCE | 9.65% | ||
| ROIC | 6.58% | ||
| ROICexc | 7.24% | ||
| ROICexgc | 7.86% | ||
| OM | 33.59% | ||
| PM (TTM) | 16.59% | ||
| GM | 38.39% | ||
| FCFM | 10.19% |
ROA(3y)2.74%
ROA(5y)3.51%
ROE(3y)5.39%
ROE(5y)6.92%
ROIC(3y)5.32%
ROIC(5y)5.94%
ROICexc(3y)5.89%
ROICexc(5y)6.64%
ROICexgc(3y)6.46%
ROICexgc(5y)7.43%
ROCE(3y)7.8%
ROCE(5y)8.7%
ROICexcg growth 3Y-3.04%
ROICexcg growth 5Y11.36%
ROICexc growth 3Y-1.4%
ROICexc growth 5Y12.6%
OM growth 3Y-2.73%
OM growth 5Y7.55%
PM growth 3Y-0.55%
PM growth 5Y-16.49%
GM growth 3Y-2.05%
GM growth 5Y5.86%
F-Score8
Asset Turnover0.27
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.19 | ||
| Debt/FCF | 3.59 | ||
| Debt/EBITDA | 0.75 | ||
| Cap/Depr | 165.74% | ||
| Cap/Sales | 24.56% | ||
| Interest Coverage | 11.42 | ||
| Cash Conversion | 71.8% | ||
| Profit Quality | 61.43% | ||
| Current Ratio | 2.89 | ||
| Quick Ratio | 2.15 | ||
| Altman-Z | 1.33 |
F-Score8
WACC9.37%
ROIC/WACC0.7
Cap/Depr(3y)156.49%
Cap/Depr(5y)135.67%
Cap/Sales(3y)26.44%
Cap/Sales(5y)23.19%
Profit Quality(3y)70.74%
Profit Quality(5y)90.6%
High Growth Momentum
Growth
EPS 1Y (TTM)51.19%
EPS 3Y2.77%
EPS 5Y19.55%
EPS Q2Q%70.37%
EPS Next Y21.74%
EPS Next 2Y13.36%
EPS Next 3Y12.23%
EPS Next 5Y-2.21%
Revenue 1Y (TTM)13.38%
Revenue growth 3Y2.54%
Revenue growth 5Y5.87%
Sales Q2Q%19.16%
Revenue Next Year9.16%
Revenue Next 2Y5.31%
Revenue Next 3Y5.29%
Revenue Next 5Y-4.58%
EBIT growth 1Y50.9%
EBIT growth 3Y-0.26%
EBIT growth 5Y13.86%
EBIT Next Year92.59%
EBIT Next 3Y27.08%
EBIT Next 5Y4.7%
FCF growth 1Y103.87%
FCF growth 3Y-12.16%
FCF growth 5Y3.07%
OCF growth 1Y20.34%
OCF growth 3Y0.85%
OCF growth 5Y9.65%