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B vs. KGC: Which Gold Mining Stock Is the Better Bet Now?
ZACKS· 2025-08-22 13:30
Core Viewpoint - Barrick Mining Corporation and Kinross Gold Corporation are significant players in the gold mining sector, with favorable gold prices currently above $3,300 per ounce despite recent declines from April 2025 highs, making them attractive for investors seeking exposure to precious metals [1][2]. Barrick Mining Corporation - Barrick is advancing key growth projects, including Goldrush, Pueblo Viejo expansion, Fourmile, Lumwana Super Pit, and Reko Diq, which are expected to enhance production significantly [4][5]. - The Goldrush mine aims for 400,000 ounces of annual production by 2028, while the Fourmile project is anticipated to yield double the grades of Goldrush [5]. - The Reko Diq project in Pakistan is projected to produce 460,000 tons of copper and 520,000 ounces of gold annually by its second development phase, with first production expected by the end of 2028 [5]. - Barrick's Lumwana mine is undergoing a $2 billion expansion, transforming it into a vital copper asset [6]. - As of Q2 2025, Barrick's cash and cash equivalents were approximately $4.8 billion, with operating cash flows of around $1.3 billion, a 15% increase year-over-year [7]. - Barrick returned $1.2 billion to shareholders in 2024 and has a new share repurchase program authorized for up to $1 billion [7]. - The company offers a dividend yield of 1.6% with a payout ratio of 25% and a five-year annualized dividend growth rate of about 3% [8]. - However, Barrick faces challenges with rising costs, with cash costs per ounce increasing by 17% and all-in-sustaining costs (AISC) rising by 12% year-over-year in Q2 [8][9]. - For 2025, Barrick projects cash costs per ounce of $1,050-$1,130 and AISC of $1,460-$1,560, indicating potential year-over-year increases [10]. Kinross Gold Corporation - Kinross has a strong production profile with key development projects like Great Bear and Round Mountain Phase X, which are expected to enhance production and cash flow [11]. - The Tasiast and Paracatu mines are significant contributors to cash flow, with Tasiast being the lowest-cost asset and achieving record production in 2024 [12]. - Kinross ended Q2 2025 with robust liquidity of approximately $2.8 billion, including over $1.1 billion in cash [13]. - The company repaid $800 million of debt in 2024 and improved its net debt position to around $100 million by the end of Q2 2025 [14]. - Kinross offers a dividend yield of 0.6% with a payout ratio of 10% [14]. Price Performance and Valuation - Year-to-date, Barrick's stock has increased by 64.7%, while Kinross's stock has risen by 110.6%, compared to the Zacks Mining – Gold industry's increase of 72.7% [15]. - Barrick is trading at a forward 12-month earnings multiple of 11.31, representing a 16.7% discount to the industry average of 13.57 [17]. - Kinross is trading at a forward earnings multiple of 13.98, slightly above the industry average [19]. Growth Projections - The Zacks Consensus Estimate for Barrick's 2025 sales and EPS implies year-over-year growth of 19% and 54.8%, respectively [21]. - Kinross's 2025 sales and EPS estimates suggest year-over-year growth of 23.4% and 102.9%, respectively [22]. Investment Consideration - Both Barrick and Kinross are well-positioned to benefit from favorable gold prices, with strong development pipelines and solid financial health [23]. - Kinross's higher growth projections may present better investment prospects in the current market environment, with a Zacks Rank of 1 (Strong Buy) compared to Barrick's 3 (Hold) [24].
ARMN vs. EGO: Which Gold Mining Stock is the Better Pick Now?
ZACKS· 2025-07-24 12:16
Core Insights - Aris Mining Corporation (ARMN) and Eldorado Gold Corporation (EGO) are both Vancouver-based gold mining companies focusing on emerging markets with active development pipelines [1][2] - Gold prices have increased approximately 29% this year, reaching a peak of $3,500 per ounce in April 2025, driven by geopolitical tensions and central bank purchases [2] - ARMN is positioned favorably for growth with significant production increases and expansion projects, while EGO has a solid asset portfolio and growth initiatives [4][10] Aris Mining Overview - Aris Mining has shown an 8% year-over-year increase in gold production for Q1 and a 13% increase for the first half of 2025, aiming for a full-year production of 230,000 to 275,000 ounces [4][9] - Key projects include the Segovia Operations in Colombia, which is undergoing a mill expansion to increase processing capacity by 50% to 3,000 tons per day, and the Marmato Lower Mine, targeting 5,000 tons per day by late 2026 [5][6] - The company ended Q1 with a cash balance of $240 million and generated $40 million in cash flow, supporting its development projects [7] Eldorado Gold Overview - Eldorado Gold operates four mines and has a strong pipeline of growth projects, including the Skouries copper-gold project in Greece, expected to start production in Q1 2026 [10][12] - The company aims to increase annual gold production to 660,000-720,000 ounces by 2027, with a target of 460,000-500,000 ounces for 2025 [14] - As of March 31, 2025, Eldorado Gold had $978 million in cash and $241 million in available credit, supporting its growth initiatives [15] Comparative Analysis - ARMN's 2025 sales and EPS are projected to increase by 55.7% and 264.7%, respectively, compared to EGO's 19.3% and 10.2% [9][25] - ARMN trades at a forward earnings multiple of 4.3, significantly lower than EGO's 8.89 and the industry average of 12.8 [9][20] - Year-to-date, ARMN's stock has gained 85.2%, outperforming EGO's 33.3% increase [16] Investment Outlook - Both companies are well-positioned to benefit from favorable gold prices and have solid financial health [26] - ARMN is viewed as a more attractive investment option due to its stronger growth projections and lower valuation [26][27]
突然,黄金拉升!关税又有新消息
Mei Ri Shang Bao· 2025-07-11 12:44
Group 1 - Spot gold prices reached $3,340 per ounce, with silver showing even more significant gains [1] - Domestic gold jewelry brands have increased prices, and related A-share stocks have also seen notable rises, with the gold concept sector up 1.19% and the precious metals sector up 1.35% [1] - COMEX gold futures fluctuated between $3,100 and $3,400 per ounce for over two months after hitting $3,500 in April [3] Group 2 - On July 10, gold prices strengthened due to tariff policy disturbances and the Federal Reserve's consideration of a rate cut, with New York gold futures closing at $3,333 per ounce [5] - As of July 11, international gold prices continued to rise, with spot gold at $3,334.82 per ounce and New York gold futures at $3,346.65 per ounce [5] - Recent economic data from the UK and France showed mixed results, with the UK experiencing a slight economic decline and France's CPI showing higher-than-expected growth [7] Group 3 - Analysts suggest that the recent rebound in gold prices may continue, with the potential for prices to break the $3,500 per ounce mark again this year, forecasting a range of $3,600 to $3,710 as the highest levels [9] - Market sentiment has improved significantly, which typically leads to a decrease in total gold holdings, potentially limiting upward price movement [9] - The re-emergence of tariff policies and economic growth expectations may test market risk appetite, which could support further increases in gold prices [9]
LaFleur Minerals Engages Bumigeme to Complete Valuation Report on Beacon Gold Mill
Newsfile· 2025-07-09 12:00
Core Viewpoint - LaFleur Minerals has engaged Bumigeme Inc. to conduct a valuation report on its Beacon Gold Mill, aiming to facilitate funding and restart operations in the Abitibi gold belt, Canada's largest gold-producing region [1][2]. Group 1: Valuation Report Purpose - The Valuation Report will assess the replacement value of the Beacon Gold Mill and tailings storage facility (TSF) to support the company's near-term re-launch plan for processing mineralized material [2]. - The report will highlight the mill's status as a fully permitted processing facility, which has undergone over $20 million in upgrades by its previous operator in 2022 [2]. - It will also evaluate the costs associated with rehabilitating the mill and TSF, as well as the expenses to permit and construct a similar facility today [2]. Group 2: Strategic Importance - Completion of the Valuation Report is expected to clarify the company's intrinsic value to investors and potential partners, enhancing its ability to monetize production in the current market [3]. - The report will support the company's financing initiatives to secure debt and equity terms for the mill restart, with a comprehensive plan requiring minimal repairs and maintenance [4]. - The independent valuation is seen as an opportunity to emphasize the company's foundational value to current shareholders and potential partners [5]. Group 3: Market Positioning - Analysts at J.P. Morgan Research project gold prices to reach $4,100 per ounce in 2026, positioning LaFleur Minerals to capitalize on high gold prices and investor demand for near-term gold producers in secure jurisdictions [6]. - The company is focused on developing district-scale gold projects in the Abitibi Gold Belt, with significant potential for long-term value [9]. - The Beacon Gold Mill is capable of processing over 750 tonnes per day and is being considered for processing mineralized material from the Swanson Gold Project and custom milling for other nearby projects [9].
B vs. KGC: Which Gold Mining Stock is the Better Pick Now?
ZACKS· 2025-05-20 11:16
Core Viewpoint - Barrick Mining Corporation and Kinross Gold Corporation are two significant players in the gold mining industry, with current gold prices remaining favorable despite recent fluctuations, making them relevant for investors seeking exposure to precious metals [1][2]. Barrick Mining Corporation - Barrick is advancing key growth projects, including Goldrush, Pueblo Viejo expansion, and Reko Diq, which are expected to significantly enhance production [4][5]. - The Goldrush mine aims for a production target of 400,000 ounces per annum by 2028, while the Reko Diq project is projected to produce 460,000 tons of copper and 520,000 ounces of gold annually in its second phase [5]. - The Lumwana Super Pit expansion in Zambia, costing $2 billion, is expected to double throughput and yield 240,000 tons of copper annually [6]. - Barrick's liquidity position is strong, with cash and cash equivalents around $4.1 billion and operating cash flows of approximately $1.2 billion in Q1 2025, marking a 59% year-over-year increase [7]. - The company returned $1.2 billion to shareholders in 2024 and has a dividend yield of 2.2% with a payout ratio of 28% [8]. - Barrick's stock has gained 17.4% year-to-date, trading at a forward earnings multiple of 9.74, which is a 28% discount to the industry average [14][15]. Kinross Gold Corporation - Kinross has a robust production profile and a promising pipeline of projects, including Great Bear and Round Mountain Phase X, which are expected to enhance production and cash flow [9]. - The Tasiast and Paracatu mines are key contributors to cash flow, with Tasiast being the lowest-cost asset and achieving record production in 2024 [11]. - Kinross ended Q1 2025 with liquidity of approximately $2.3 billion and generated record free cash flows of around $1.3 billion in 2024 [12]. - The company repaid $800 million of debt in 2024, reducing net debt to around $540 million, with a long-term debt-to-capitalization ratio of 14.4% [13]. - Kinross offers a dividend yield of 0.9% with a payout ratio of 14% and a five-year annualized dividend growth rate of about -0.1% [13]. - Kinross stock has rallied 50.6% year-to-date, trading at a forward earnings multiple of 12.88, which is below the industry average [14][18]. Comparative Analysis - Both companies are well-positioned to benefit from the current gold price environment, with strong development pipelines and financial health [24]. - Barrick is viewed as a more attractive investment due to its higher dividend yield, lower leverage, and favorable valuation compared to Kinross [24]. - Barrick holds a Zacks Rank 1 (Strong Buy), while Kinross has a Zacks Rank 2 (Buy) [25].