Core Viewpoint - Harmony Gold Mining Co. Ltd. (HMY) experienced a significant increase in all-in-sustaining costs (AISC) and total cash operating costs due to rising labor and electricity expenses, which are expected to impact margins in the near term [1][2][3]. Cost Structure - AISC rose approximately 20% to $1,806 per ounce in fiscal 2025, driven by a 19% year-over-year increase in total cash operating costs to $1,499 per ounce [1][7]. - Labor and electricity costs are the largest components of HMY's cost structure, with electricity and water expenses increasing by 16% due to higher tariffs from Eskom [2][3][7]. Industry Comparison - Among peers, AngloGold Ashanti plc (AU) reported an 8% increase in total cash costs per ounce and a 7% rise in AISC, while Gold Fields Limited (GFI) saw a slight decline in AISC by 0.7% to $1,739 per ounce [4][5]. Price Performance and Valuation - HMY shares have increased by 61.8% year to date, although this is below the Zacks Mining – Gold industry's rise of 85.4% [6]. - HMY is trading at a forward 12-month earnings multiple of 4.61, which represents a 67.9% discount to the industry average of 14.36X [9]. Earnings Estimates - The Zacks Consensus Estimate for HMY's fiscal 2026 earnings indicates a year-over-year increase of 127.6%, with EPS estimates trending higher over the past 60 days [8].

Core Insights - Barrick Mining Corporation experienced a profit increase in Q2 due to higher gold prices, but faces challenges from rising unit costs [1][2] - The company's all-in-sustaining costs (AISC) rose 12% year-over-year to $1,684 per ounce, influenced by lower production and the suspension of operations at the Loulo-Gounkoto mine [6][1] - Barrick's 2025 AISC guidance indicates a potential rise, with projections between $1,460 and $1,560 per ounce [2][6] Cost Metrics - Barrick's cash costs per ounce of gold increased approximately 17% year-over-year, while AISC rose 12% [1][2] - The company anticipates total cash costs per ounce in the range of $1,050-$1,130 for 2025, suggesting a year-over-year increase at the midpoint [2] - Comparatively, Newmont Corporation's AISC increased by around 2% year-over-year, with expectations of $1,630 per ounce in 2025 [3] Peer Comparisons - Agnico Eagle Mines Limited reported a 10% year-over-year increase in AISC, with total cash costs per ounce rising 7% [4] - Agnico Eagle forecasts AISC per ounce between $1,250 and $1,300 for 2025, indicating a year-over-year increase at the midpoint [4] Stock Performance and Valuation - Barrick's shares have increased by 51.6% year-to-date, compared to a 72.2% rise in the Zacks Mining – Gold industry [5] - The company is currently trading at a forward 12-month earnings multiple of 10.43, which is approximately 22.3% below the industry average of 13.42 [8] - The Zacks Consensus Estimate for Barrick's earnings implies a year-over-year increase of 55.6% for 2025 and 24.1% for 2026 [7]

Core Insights - Aris Mining Corporation (ARMN) reported an increase in its first-quarter all-in-sustaining costs (AISC) per ounce, indicating a deterioration in cost efficiency [1][3] - The Segovia Operations in Colombia showed AISC of $1,570 per ounce, up from $1,485 per ounce in the previous quarter and $1,434 per ounce in the same quarter last year [1] - Consolidated AISC rose approximately 6% year over year to $1,667 per ounce [1][7] Cost Drivers - The year-over-year increase in ARMN's costs was attributed to higher costs in purchased mill feed from Contract Mining Partners (CMPs), increased royalty and social contributions costs, and rising processing and mining costs [2][3] - High inflation rates in Colombia have significantly impacted Aris Mining's operating costs [3] Peer Comparison - B2Gold Corp. (BTG) reported a roughly 14% year-over-year increase in consolidated AISC to $1,533 per ounce, facing similar cost inflation pressures [4] - AngloGold Ashanti plc's (AU) first-quarter total AISC increased by 1% year over year to $1,640 per ounce, with a notable 37% surge in AISC for non-managed joint ventures [5] Stock Performance and Valuation - ARMN shares have surged 95.7% year to date, outperforming the Zacks Mining – Gold industry's rise of 55.4% [6][7] - The company is currently trading at a forward 12-month earnings multiple of 4.63, which is approximately 67.1% lower than the industry average of 14.08X [8] - The Zacks Consensus Estimate for ARMN's earnings in 2025 and 2026 implies significant year-over-year growth of 226.5% and 80.6%, respectively [9]

Core Insights - Equinox Gold Corp. (EQX) reported a significant increase in all-in-sustaining costs (AISC) to $2,065 per ounce, a rise of approximately 6% from $1,950 per ounce in the same quarter last year, despite a 76% increase in revenues driven by a 38% rise in realized gold prices and a 27% increase in ounces sold [1][7] Financial Performance - Revenues surged by 76% due to higher gold prices and increased sales volume [1] - AISC excluding the Los Filos mine, which is indefinitely suspended, increased by 9% to $1,979 per ounce, indicating ongoing operational cost inflation [2] - The company anticipates around $35 million in charges related to the suspension and maintenance of the Los Filos mine in the second quarter [3] Operational Challenges - Higher operational costs are attributed to the suspension of the Los Filos mine and unplanned maintenance at the Greenstone mine in Canada, which faced winter challenges [2][3] - The company expects to achieve cost efficiency through increased production in the second half of 2025 and synergies from the merger with Calibre Mining Corp. [3] Industry Comparison - B2Gold Corp. (BTG) reported AISC of $1,533 per ounce, reflecting a 14% increase year-over-year due to cost inflation across all sites [4] - Agnico Eagle Mines Limited (AEM) experienced a slight decline in AISC by 0.6% in the first quarter, but forecasts an increase for the remainder of 2025 [5] Valuation Metrics - EQX is currently trading at a forward 12-month earnings multiple of 6.51, which is approximately 52.2% lower than the industry average of 13.62 [9] - The Zacks Consensus Estimate projects a year-over-year earnings increase of 230% for 2025 and 106% for 2026, although EPS estimates have been trending lower recently [10]

Core Insights - Barrick Mining Corporation is facing challenges due to rising unit costs, with cash costs per ounce of gold increasing approximately 16% and all-in-sustaining costs (AISC) rising around 20% year over year in the first quarter [1][6] - The company projects total cash costs per ounce for 2025 to be between $1,050 and $1,130, and AISC to range from $1,460 to $1,560, indicating a year-over-year increase at the midpoint of these ranges [2][6] - Barrick's stock has increased by 31% year to date, although this is below the Zacks Mining – Gold industry's rise of 49% [5] Cost Analysis - The increase in AISC is attributed to higher total cash costs per ounce and increased minesite sustaining capital expenditures, along with lower production due to the suspension of operations at the Loulo-Gounkoto mine [1][2] - Newmont Corporation, a major peer, also reported a 15% year-over-year increase in AISC, projecting gold AISC for 2025 to be $1,630 per ounce, up from $1,516 in 2024 [3] - Agnico Eagle Mines Limited reported a modest increase in total cash costs per ounce to $903, with AISC declining 0.6% in the first quarter but expected to rise in the remainder of 2025 [4] Earnings Estimates - The Zacks Consensus Estimate for Barrick's earnings implies a year-over-year increase of 34.1% for 2025 and 26.6% for 2026, with EPS estimates trending higher over the past 60 days [8] - Current EPS estimates for Barrick are $1.69 for 2025 and $2.14 for 2026, reflecting stability in earnings expectations [9] Valuation Metrics - Barrick is currently trading at a forward 12-month earnings multiple of 10.75, which is approximately 20% lower than the industry average of 13.49 [10] - The company holds a Value Score of A, indicating favorable valuation metrics [10]

Core Insights - Contango ORE, Inc. announced a cash distribution of $9 million from the Peak Gold JV, bringing total distributions from gold sales in 2025 to $33 million [1] - The Peak JV has produced approximately 20,000 ounces of gold year to date, with expectations of 60,000 ounces for the entire year at an all-in-sustaining cost of $1,625 per ounce [2] - The company has reduced its credit facility balance to $30.1 million after prepaying $8.2 million in principal and continues to deliver against hedge contracts [2] Company Overview - Contango ORE, Inc. is engaged in gold exploration in Alaska, holding a 30% interest in the Peak Gold JV, which covers approximately 675,000 acres [3] - The company also has leases on the Johnson Tract and Lucky Shot projects, along with 100% ownership of additional mining claims in Alaska [3] - Financial results for Q1-2025 are expected to be released on May 14, 2025 [2]