Barrick Mining (ABX.TO)

Ran into a real meat grinder with an African government (a military dictatorship). Shows the difference between those jurisdictions that are safe and those that aren't. Has NA holdings too, so it's not the end of the world. Stock's cheap. Not a bad buy if gold keeps on moving (which he expects).

Compare this to the chart of gold prices or XGD, and ABX is very different, lagging. Instead of Barrick, look at leaders like Agnico Eagle.

If you're bullish on gold, a good strategy. He'd prefer to do it with AEM, but hard to do given that the stock price is so high.

Fine company, good assets, above-average quality base. Really good optionality to grow. Very cheap at 11.2x PE for 2025. Recent problems in different jurisdictions. Gold has suffered with the USD screaming higher. Might even be subject to tax-loss selling.

You could make $19-20 the strike price, and get paid a nice premium, but the trouble often is that you're right about the direction of the stock, but you don't end up owning it. If it goes to $30, you miss out on making the big money. Options are a great tool that can add to your portfolio, but not always the way to go.

He's been lightening up on gold. With a strong USD, and interest rates possibly being higher, gold may take a few steps back. The two biggest names, NGT and ABX, have really shown miserable production growth. Underperformed the group for a number of years now. They don't have the growth assets and their size means they can't accelerate as much. 

Would recommend buying at the current share price. Has good list of projects, strong balance sheet and good management. Gold prices have been strong which is good for earnings. Margins continue to remain stable. Expecting better performance in Q4. Share price is at a good place to buy. 

Gold prices strong lately. Overall, commodities very strong. Would recommend holding for the long term. Technically - chart could be better - but fundamentals very strong for this business. 

Pretty big strength in the last 6 months. If you look at the chart, seeing pretty big moves within a band. It wants to get above $24.50 before it takes a shot at $31, which is the peak from 2022. Want to see it break out and then keep momentum going.

Sometimes the biggest in any sector, especially gold, can be kind of mushy. Can be safe, but sometimes acts like dead money. The risk/reward may not be there.

Laggard compared to other stocks and to gold itself. Mystery as to why it's not breaking out, but it's probably something fundamental. A wall around $19-20, needs to break that. 

Good news is that the lows aren't getting lower. It's in a trading band. You can buy when it moves to the bottom and trade the bands, or you can buy on a breakout.

One of the better companies in the gold area. Started growing its copper business. Good balance sheet, nice dividend. Companies themselves have to contend with rising expenses. Under pressure to increase production, it's easier to make an acquisition. Geopolitical risk. 

If you like gold, so easy to buy as an ETF and that would be better. 

Gold a difficult metal to value. Recent strength in gold price good for overall business. Weakness in share price due to inflation concerns from investors (costs a lot to produce gold). ABX is one of the best companies in sector, but is a commodity style business. Overall is a hold for long term investors. 

He doesn't own gold stocks. Bad balance sheet, restructuring. Gold exploration is expensive, easier to just take over another company. Environmentally unfriendly, in bad parts of the world.

Underperforming TSX since 2020. For him, owning the bullion makes a bit more sense, though he doesn't own that either.

He hasn't owned mining companies in a very long time. Shocking to see what's happened to FM with that mine, as it's a great asset. Shows how risky it is to invest in foreign countries outside NA. 

ABX knows how to allocate capital very well. If he were interested in a mining company, this would be the one, as the CEO certainly knows what to do. Eventually, the FM mine has to be up and running. If ABX can run it properly, there's a lot of value that can be created.

Small companies can't exist anymore in this new age of mining, oil/gas. We're going to see a lot of M&A.

Has underperformed the gold price, but so have gold stocks in general. ABX has an unusual good collection of high-quality gold assets. He's done well investing in companies that the CEO has run. Continues to be long this.

Earnings should pick up given the rise in gold prices in recent weeks. This should continue. Guidance says that production side won't be strong in 2024, though copper will see more opportunities than gold. Overall, he sees a little more upside in 2024.