Andrew Bary

The company formerly known as Barrick Gold has changed its name and its stock ticker, and its investor base is hoping that it ushers in a period of better returns after decades of disappointment.

The company said May 6 it had renamed itself Barrick Mining. It changed its stock ticker to B, rather than GOLD, on Friday, to reflect its diversification into the copper business.

Copper represents about 20% of its output, rising to a projected 30% in 2029 after a huge copper project in Pakistan comes onstream. The company already mines copper in Zambia.

Its CEO, industry veteran Mark Bristow, 66, told Barron's that Barrick is positioned for success in the remainder of the decade.

"We're not just a gold company. We've added a copper leg to our stool," he said. Bristow cited the company's "six tier-one gold" mines globally, including a majority stake in a large project in Nevada in which Barrick is partnered with rival Newmont, the world's largest gold producer.

"What separates us is we have long-lived and high-quality assets," Bristow said, noting the company plans to increase its gold and copper output by a cumulative 30% by 2029. The arithmetic is based on converting copper production into an equivalent amount of gold.

Barrick, based in Toronto, has been synonymous with underperformance.

Barrick's stock was off 5.8% Monday to $18.33, responding to a 2.6% decline in gold prices to $3,238 an ounce. The stock has badly lagged behind its largest gold-mining peers both in the past year and over the last few decades.

The shares are up 9% over the past year, against 20% for industry leader Newmont. Stock in Agnico Eagle, which is now the favored big-cap mining stock among many investors, is up 57%.

Reflecting Barrick's disfavor, the company is valued at about $31 billion, just over half that of Agnico Eagle, even though the two companies have similar annual gold production.

The stock has trailed behind gold, which is near a record high and is up over 36% over the past year.

Several issues have dogged Barrick. The company, like other miners, have been hit by higher costs, which has limited the benefit to profit from sharply higher gold prices.

Barrick also has become embroiled in a dispute with the government of the West African country of Mali over a big gold mine that Barrick has operated there. Barrick has suspended production at the mine, which had produced about 600,000 ounces of gold annually with 80% attributable to Barrick.

With the Mali mine offline, Barrick projects its gold production this year at about 3.3 million ounces, down from nearly four million in 2024.

The company recently reported first-quarter results that showed higher earnings, but also higher costs. Adjusted operating earrings rose 84% year over year to 35 cents a share, but were down from 46 cents in the fourth quarter. A key cost measure rose about $300 an ounce to about $1,775 an ounce. The results impressed one analyst.

"We expect improved performance in H2 2025 with higher production and lower costs across most operations, though the Loulo-Gounkoto dispute (the Mali mine) and commodity price volatility remain key items to watch." wrote CFRA analyst Matthew Miller, who has a Strong Buy rating on the stock.

The stock trades cheaply for about 10 times projected 2025 earnings and yields about 2%. The price/earnings ratio is slightly below that of Newmont and considerably below Agnico's P/E of 18.

Barrick also has a strong balance sheet with just $600 million of net debt. Bristow says the company has replaced all the gold and copper it has mined in the past six years with new reserves.

Bristow says he is "constructive" on gold, which is up over 20% so far this year. He cites a "de-dollarization" among emerging-markets central banks which have been buying gold. He also notes heavy indebtedness in many Western countries, including the U.S., which could benefit gold because it is an alternative to assets denominated in paper currencies.

Bristow said he is also encouraged by the strength in copper prices, now over $4.60 a pound, despite global economic concerns.

Bristow, a swashbuckling South African and big-game hunter, is passionate about mining. He regularly visits all the company's projects.

The company has a depressed stock, a well-defined strategy, exposure to the hottest commodity in the world, low debt, and a CEO determined to deliver for investors. That combination looks like a favorable setup for investors.

Write to Andrew Bary at andrew.bary@barrons.com

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May 12, 2025 13:00 ET (17:00 GMT)

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