Barrick Mining (TSX:ABX) inventory has been glimmering brightly recently, with the Canadian gold inventory surging 26% in August and printing new 52-week highs. It has been an exhilarating experience for buyers with stakes within the gold mining sector. However after such a robust run, is there nonetheless room for ABX inventory to shine in September and past?

Let’s dig in.

What’s behind Barrick Mining inventory’s current run?

Barrick Mining inventory’s August rally didn’t come out of nowhere. The gold mining big’s second-quarter earnings, launched in August, gave buyers loads to cheer about. The corporate reported adjusted internet earnings per share of US$0.47 — a 47% leap yr over yr, and its highest quarterly efficiency since 2013. That’s the type of efficiency that turns heads, particularly when it’s backed by stronger gold costs and operational enhancements throughout the board.

Talking of gold costs, they’ve been on a tear in 2025, up 35% year-to-date. In September, gold has hit new all-time highs above US$3,500 an oz.. That’s greater than a reasonably quantity; it means Barrick is promoting every ounce of manufacturing at a a lot greater value, which flows on to its income, margins, earnings, and in the end, free money move.

Barrick is using the gold wave whereas executing strongly on operational objectives. All areas are on observe to fulfill 2025 manufacturing and price steerage. Its all-in sustaining prices (or AISC, a key trade metric that captures the full price of manufacturing an oz. of gold) truly fell by 5% quarter-over-quarter. That’s an indication of effectivity positive aspects and disciplined administration.

In Nevada, manufacturing was up 11% over the earlier quarter. Within the Dominican Republic, Pueblo Viejo noticed output surge 28%, due to improved throughput and operational debottlenecking. And it’s not nearly gold. Barrick can be a rising copper producer. Copper output rose 34% sequentially, pushed largely by the Lumwana mine in Zambia, the place manufacturing jumped 63% sequentially. Larger volumes imply decrease unit prices, and that’s what we noticed final month.

Is ABX inventory nonetheless undervalued?

Barrick Mining inventory nonetheless seems to be attractively priced even after its current run in August. The Canadian gold inventory trades at a ahead price-to-earnings (P/E) ratio of round 10, which is nicely under the trade’s trailing common of 24. Much more compelling is its ahead price-earnings-to-growth (PEG) ratio, which sits between 0.3 and 0.8. A PEG under 1.0 usually suggests a inventory could also be undervalued relative to its future earnings development potential. That’s a robust sign for long-term buyers to maintain holding, or add extra ABX inventory.

Barrick can be returning loads of money to shareholders. Within the first half of the yr, the corporate spent over US$410 million on share buybacks. That’s a assured transfer, one which alerts administration believes the inventory is price proudly owning.

A copper-charged upside

There’s extra to the story than simply gold, although. Barrick Mining is strategically positioning itself for the longer term with copper. Its Reko Diq venture in Pakistan, as soon as totally developed, is anticipated to change into one of many world’s largest copper mines. As the worldwide transition to renewable power and electrification sustains tempo, copper demand is prone to soar. Barrick’s push into copper isn’t a aspect venture anymore — it’s a core a part of ABX inventory’s future development technique.

Close to-term dangers to evaluate

Barrick’s operations had been in Mali, the place it holds an 80% stake within the Loulo-Gounkoto complicated, are presently underneath provisional administration as a consequence of a authorized dispute. The corporate has deconsolidated the operation whereas it seeks a decision. Geopolitical danger is a actuality in mining, and it’s one thing buyers should take into account.

Nonetheless, Barrick has a protracted historical past of navigating complicated jurisdictions. Its diversified portfolio of mines throughout North America, Latin America, Africa, and the Center East helps unfold that danger. And with about 20 years of gold reserves within the floor, and thrilling development tasks within the pipeline, the gold and copper miner is constructed for the lengthy haul.

Time to purchase Barrick Mining inventory?

So, is Barrick Mining inventory a purchase after a 26% August rally? When you imagine gold costs will maintain robust in September and past, and should you see copper as a extremely valued crucial steel for the longer term, then Barrick inventory gives a compelling method to play each themes. It’s a well-run firm with enhancing operations, engaging valuation metrics, and a shareholder-friendly capital returns coverage. Barrick Mining inventory deserves a more in-depth search for buyers in search of a gold inventory to purchase in September.

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