Barrick Mining's (B) shares have "deep value," however, there is no clear near-term catalyst for a meaningful upside, RBC Dominion Securities said in a note Monday.

Analysts, including Josh Wolfson, said Barrick Mining shares are currently trading at a notably large discount to their peers. They added that this discount reflects a combination of lowered long-term targets, geopolitical setbacks, and a capital allocation strategy that has prioritized high-cost, copper-focused projects.

The analysts said that one of the key concerns is the Reko Diq copper-gold project in Pakistan, which adds to Barrick's geopolitical risk, especially following setbacks in Mali that led to the suspension of the Loulo mine. This "underpins the company's above-average geopolitical risk at an inopportune time," they added.

The analysts said they believe execution and share buybacks are key to unlocking shareholder value. Barrick repurchased about $500 million in shares in 2024 and has authorized another $1 billion in buybacks for 2025. The analysts said that this is a smart use of capital, especially if the company can free up liquidity by selling non-core assets, such as Hemlo and possibly Tongon and Zaldivar. Additionally, reordering its copper development projects could reduce risk.

RBC is keeping its outperform and $26 price target on Barrick Mining.

Price: 20.25, Change: +0.42, Percent Change: +2.12