5 Cheap Gold Stocks To Buy According to Analysts

In this article, we discuss the 5 cheap gold stocks to buy according to analysts. To read the detailed analysis of the gold industry, go directly to the 11 Cheap Gold Stocks To Buy According to Analysts.

5. Barrick Gold Corporation (NYSE:GOLD)

Average Price Target Upside: 42.68%

Average Price Target: $23.60

Barrick Gold Corporation (NYSE:GOLD) is one of the largest gold-producing companies in the world. It was founded in 1983 and is headquartered in Ontario Canada. The company posted its preliminary Q2 production on July 13. Barrick Gold Corporation (NYSE:GOLD) said that it is on track to achieve a production target of 1.01 million ounces of gold and 107 million pounds of copper in the second quarter. The company added that its production is expected to increase throughout the year and expects better production in the second half of 2023 compared to the first half.

On July 6, Barrick Gold Corporation (NYSE:GOLD) announced that its Tongon mine in Ivory Coast, which was expected to close in 2020, will continue operating till 2030. In 2021 and 2022, four new pits were discovered around the mine. In 2023, the mine is expected to produce over 200,000 ounces of gold and the production is expected to increase further till 2026.

Barrick Gold Corporation (NYSE:GOLD) is one of Credit Suisse’s top 10 Canadian stock picks. The analysts covering the company are quite bullish and their average price target represents a 42.68% upside to the company’s stock price of $16.54 on August 2. Out of 11 analysts, 9 maintain a Buy or Outperform rating on Barrick Gold Corporation (NYSE:GOLD)’s stock.

Old West Management made the following comment about Barrick Gold Corporation (NYSE:GOLD) in its Q4 2022 investor letter:

“Barrick Gold Corporation (NYSE:GOLD) is the second largest gold miner in the world, with operations in the U.S., Canada, Africa, South America and more. Barrick is also a major copper producer. Former Goldman Sachs executive John Thornton took control of the company in 2012 and quickly realized he wanted someone with a mining background to run the company. Mark Bristow, at that time CEO of Randgold, was considered one of the best gold mining executives in the world. Thornton wanted Bristow so badly Barrick bought Randgold in 2018. Bristow who is South African, had extensive experience operating mines throughout Africa, and in fact would fly his own single engine plane to visit mines. He has his PhD in Geology, and he has flourished running Barrick the past five years.

Barrick is estimated to have $1.6 billion of net income this year on $11.5 billion of revenue. Net Income has been growing 15% per year. The stock trades at $19.00 per share which is 16 times forward earnings, and the stock has a 3.15% dividend yield. Barrick has a fortress balance sheet with $5.7 billion in cash and $5 billion of long term debt, which is only one time EBITDA”