A Rare Bargain in a Top Gold Stock

By
A A A

Barrick Gold Corporation (NYSE: ABX ) - This gold, silver and copper miner gives investors few opportunities to buy it at a bargain price.

In early December, ABX pulled back from a high of almost $56, bottoming at just under the 200-day moving average at $46, and then rebounded to a new high on Thursday at $55.74.

Yesterday, ABX fell $3.77, or almost 7%, to $51.86 on news that it made a bid for Australian copper miner Equinox Minerals. As the Wall Street Journal said, "That isn't what gold bugs signed up for."


But copper's long-term value could offset Barrick's dependence upon the yellow metal. So far, Barrick's management has been superb, and this pullback looks like a great time to pick up more shares, which now rest smack on the 50-day moving average (blue line) - a good area of support.

S&P rates ABX a "four-star buy" with a 12-month target of $70.

Trade of the Day - Barrick Gold Corporation (NYSE: ABX) Trade of the Day Chart Key

If you have questions or comments for Sam Collins, please e-mail him at samailc@cox.net .



The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of The NASDAQ OMX Group, Inc.




This article appears in: Investing , Investing Ideas , Stocks

Referenced Stocks: ABX

Sam Collins

Sam Collins

More from Sam Collins:

Related Videos

Stocks

Referenced

79%

Most Active by Volume

64,655,493
  • $17.88 ▼ 1.38%
53,363,101
  • $18.51 ▼ 6.98%
42,787,995
  • $94.01 ▼ 1.26%
40,818,762
  • $121.30 ▼ 0.87%
38,086,152
  • $23.28 ▼ 9.17%
36,103,930
  • $14.20 ▼ 0.77%
31,870,696
  • $14.83 ▼ 1.79%
29,019,850
  • $46.70 ▼ 0.38%
As of 7/31/2015, 04:15 PM

Find a Credit Card

Select a credit card product by:
Select an offer:
Search
Data Provided by BankRate.com