The 10-second takeaway
For the quarter ended March 31 (Q1), Barrick Gold met expectations on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue contracted. Non-GAAP earnings per share shrank significantly. GAAP earnings per share contracted significantly.
Margins contracted across the board.
Barrick Gold tallied revenue of $3.44 billion. The six analysts polled by S&P Capital IQ anticipated a top line of $3.48 billion on the same basis. GAAP reported sales were 5.7% lower than the prior-year quarter's $3.64 billion.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
EPS came in at $0.92. The 19 earnings estimates compiled by S&P Capital IQ forecast $0.88 per share. Non-GAAP EPS of $0.92 for Q1 were 16% lower than the prior-year quarter's $1.09 per share. GAAP EPS of $0.85 for Q1 were 17% lower than the prior-year quarter's $1.03 per share.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 46.3%, 550 basis points worse than the prior-year quarter. Operating margin was 40.5%, 340 basis points worse than the prior-year quarter. Net margin was 24.6%, 360 basis points worse than the prior-year quarter. (Margins calculated in GAAP terms.)
Next quarter's average estimate for revenue is $3.56 billion. On the bottom line, the average EPS estimate is $0.86.
Next year's average estimate for revenue is $14.30 billion. The average EPS estimate is $3.56.
The stock has a three-star rating (out of five) at Motley Fool CAPS, with 2,049 members out of 2,174 rating the stock outperform, and 125 members rating it underperform. Among 287 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 250 give Barrick Gold a green thumbs-up, and 37 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Barrick Gold is outperform, with an average price target of $45.01.
Is Barrick Gold the right gold stock for you? Find out what one TMF analyst thinks is the best way to profit from inflation and gold with a little-known company we profile in, "The Tiny Gold Stock Digging Up Massive Profits." Click here for instant access to this free report.
- Add Barrick Gold to My Watchlist.
Seth Jayson had no position in any company mentioned here at the time of publication. You can view his stock holdings here. He is co-advisor of Motley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. The Motley Fool has no position in any of the stocks mentioned. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.