Although Barrick Gold currently trades at its most attractive valuation since the end of 2015, but the company is in much stronger shape than it was 7 years ago.
Take a look at the following numbers:
Year 2015 2016 2017 2018 2019 2020 2021
Total Assets: 26.31B 25.68B 25.31B 22.63B 44.39B 46.51B 46.83B Tick Mark
Total Liabilities: 16.89B 14.99B 14.28B 13.25B 14.56B 14.80B 14.56B Tick Mark
Total Common Shares Outstanding: 1.17B 1.17B 1.17B 1.17B 1.17B 1.17B 1.17B Tick Mark (No shares dilution)
Based on above numbers I see a company with sharply declining costs and improving margins even in a weak gold price environment.
While the Market Cap is 25.091B, The EV is standing at 36.03B & Book value per share is at 13.39. It literally means if this company gets liquidated which I don’t think so, I will get my money back at 13.39 per share. Only Ali Baba has similar metrics. In short these metrics mean I'm buying this company for free and this shall be our bottom.
Take a look at the following numbers:
Year 2015 2016 2017 2018 2019 2020 2021
Total Assets: 26.31B 25.68B 25.31B 22.63B 44.39B 46.51B 46.83B Tick Mark
Total Liabilities: 16.89B 14.99B 14.28B 13.25B 14.56B 14.80B 14.56B Tick Mark
Total Common Shares Outstanding: 1.17B 1.17B 1.17B 1.17B 1.17B 1.17B 1.17B Tick Mark (No shares dilution)
Based on above numbers I see a company with sharply declining costs and improving margins even in a weak gold price environment.
While the Market Cap is 25.091B, The EV is standing at 36.03B & Book value per share is at 13.39. It literally means if this company gets liquidated which I don’t think so, I will get my money back at 13.39 per share. Only Ali Baba has similar metrics. In short these metrics mean I'm buying this company for free and this shall be our bottom.
Comment:
16 is a nice place to add more
