Here's How to Play Barrick Mining Stock Before Q3 Earnings Release

Barrick Mining Corporation B is slated to come up with third-quarter 2025 results before the opening bell on Nov. 10. The company’s performance is expected to reflect higher gold prices and strong production amid cost headwinds.The Zacks Consensus Estimate for third-quarter earnings has been stable in the past 60 days. The consensus estimate for earnings is pegged at 57 cents per share, suggesting an 83.9% year-over-year rise.  Image Source: Zacks Investment ResearchB beat the Zacks Consensus Estimate for earnings in two of the last four quarters, missed once and reported in line results on the other occasion. In this timeframe, it delivered an earnings surprise of roughly 6.7%, on average. Image Source: Zacks Investment ResearchQ3 Earnings Whispers for B StockOur proven model predicts an earnings beat for Barrick this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the chances of an earnings beat. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.B has an Earnings ESP of +3.06% and a Zacks Rank #3. You can see the complete list of today’s Zacks #1 Rank stocks here.Factors Shaping B’s Q3 ResultsHigher gold prices are likely to have supported the company’s performance in the September quarter. Gold prices have seen a record-setting upswing this year as worries over the global trade war have boosted safe-haven demand for bullion. Prices hit new highs driven by a surge in safe-haven demand amid the intense trade tussle, global economic uncertainties and a weaker U.S. dollar. The Federal Reserve’s interest rate reduction, hopes of more rate cuts amid concerns over the labor market, along with concerns over a protracted U.S. government shutdown and U.S.-China trade tensions, triggered the recent rally, driving prices north of $4,000 per ton for the first time. Prices of the yellow metal closed nearly 17% higher in the third quarter and have surged roughly 52% this year.Higher production is also expected to continued to have driven B’s sales volumes in the third quarter. Barrick saw higher gold production in the second quarter, delivering 797,000 ounces, a 5% increase from the prior quarter. It is expected to have continued the production momentum in the to-be-reported quarter. B expects 2025 production to be 54% weighted in the second half, with the strongest output expected in the fourth quarter. The consensus estimate for production for the to-be-reported quarter stands at 858,000 ounces, reflecting a rise of around 7% sequentially. Higher year-over-year production costs are likely to have weighed on the company’s third-quarter results. Its cash costs per ounce of gold and all-in-sustaining costs (AISC) — a critical cost metric for miners — increased around 17% and 12% year over year, respectively, in the second quarter. AISC of $1,684 increased from the year-ago quarter due to higher total cash costs per ounce, although declining 5% from the previous quarter. Lower year-over-year production, partly due to the suspension of operations at the Loulo-Gounkoto mine, also contributed to the rise in its unit costs. Cost pressures are likely to have continued in the third quarter.For 2025, Barrick continues to see total cash costs per ounce of $1,050-$1,130 and AISC in the range of $1,460-$1,560 per ounce. These projections suggest a year-over-year increase at the midpoint of the respective ranges.Barrick Stock’s Price Performance and ValuationB’s shares have shot up 77.4% over the past year, outperforming the Zacks Mining – Gold industry’s 72.8% increase and the S&P 500’s rise of 16.4%. Among its peers, Newmont Corporation NEM, Kinross Gold Corporation KGC and Agnico Eagle Mines Limited AEM have rallied 83.2%, 144.1% and 92%, respectively, over the same period.B’s One-year Stock Price Performance Image Source: Zacks Investment ResearchFrom a valuation standpoint, B is currently trading at a forward 12-month earnings multiple of 11.71. This represents a roughly 1.6% discount when stacked up with the industry average of 11.9X. B is trading at a discount to Kinross Gold, Newmont and Agnico Eagle. Barrick Mining, Newmont and Kinross Gold have a Value Score of B, each, while Agnico Eagle has a Value Score of C.  B’s P/E F12M Vs. Industry, NEM, KGC & AEM Image Source: Zacks Investment ResearchInvestment Thesis for B StockBarrick is well-positioned to benefit from the progress in key growth projects that should significantly contribute to its production. Its major gold and copper growth projects are advancing per schedule and within budget, which underpins the next generation of profitable production. B has a robust liquidity position and generates healthy cash flows, which positions it well to take advantage of attractive development, exploration and acquisition opportunities, as well as drive shareholder value and reduce debt. Higher gold prices should translate into strong profit margins and free cash flow generation.Barrick is challenged by higher costs, which may eat into its margins. Increased mine-site sustaining capital spending, higher labor costs and potentially steeper energy costs may lead to higher costs.Final Thoughts: Hold Onto B SharesBarrick is well-placed with a strong pipeline of growth projects, solid financial health, a healthy growth trajectory and favorable gold market conditions. The strength in gold prices should also boost its profitability and drive cash flow generation. Despite these positives, its high production costs warrant caution. Holding onto the B stock will be prudent for investors who already own it, awaiting more clarity on the company’s prospects following its forthcoming earnings release. Zacks' Research Chief Names "Stock Most Likely to Double"Our team of experts has just released the 5 stocks with the greatest probability of gaining +100% or more in the coming months. Of those 5, Director of Research Sheraz Mian highlights the one stock set to climb highest.This top pick is a little-known satellite-based communications firm. Space is projected to become a trillion dollar industry, and this company's customer base is growing fast. Analysts have forecasted a major revenue breakout in 2025. Of course, all our elite picks aren't winners but this one could far surpass earlier Zacks' Stocks Set to Double like Hims & Hers Health, which shot up +209%.Free: See Our Top Stock And 4 Runners UpWant the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Newmont Corporation (NEM): Free Stock Analysis Report Kinross Gold Corporation (KGC): Free Stock Analysis Report Agnico Eagle Mines Limited (AEM): Free Stock Analysis Report Barrick Mining Corporation (B): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks