Can Barrick Mining's Cash Strength Power Bigger Returns Ahead?

Barrick Mining Corporation B is leveraging its robust cash generation and solid balance sheet to consistently return value to its shareholders, reinforcing its standing as a capital return-focused gold producer. Barrick’s cash and cash equivalents were around $5 billion at the end of the third quarter of 2025. It generated strong operating cash flows of roughly $2.4 billion in the quarter, up 105% year over year. Free cash flow surged to around $1.5 billion in the third quarter from $444 million in the prior-year quarter. 

B’s board, in February 2025, authorized a new program for the repurchase of up to $1 billion of its outstanding common shares. It repurchased shares worth $1 billion under this program during the first nine months of 2025, including $589 million in the third quarter. Barrick’s board, in November 2025, authorized an increase in the share buyback program for the repurchase of up to an additional $500 million of its shares. 

Notably, Barrick generated strong operating cash flows of roughly $4.5 billion in 2024, with a significant portion funneled back to investors. Barrick returned about $1.2 billion to its shareholders last year through dividends and repurchases. 

The company’s commitment to a sustainable base dividend, bolstered by performance-linked distributions, also reflects a disciplined approach to capital allocation. The performance-linked dividend policy enhances shareholder returns when its liquidity is strong. Barrick, in November 2025, raised its quarterly base dividend by 25% to 12.5 cents per share. It offers a dividend yield of 1.6% at the current stock price with a payout ratio of 32%. A ratio below 60% is a good indicator that the dividend will be sustainable. 

Backed by strong liquidity and reliable cash flows, the company is well placed to pursue compelling exploration and development opportunities while sustaining shareholder returns and supporting organic growth.

Among its major peers, Newmont Corporation NEM has distributed more than $5.7 billion to its shareholders through dividends and share repurchases over the past two years. Newmont has repurchased shares worth $2.1 billion this year, executing $3.3 billion from $6 billion of authorization. Newmont generated a record free cash flow of $1.6 billion in the third quarter, reflecting strong financial health supporting growth initiatives and shareholder returns.  

Agnico Eagle Mines Limited AEM is capitalizing on its strong free cash flow to boost shareholder value through dividends and share buybacks. Agnico Eagle returned around $350 million to its shareholders in the third quarter, bringing the cumulative return to roughly $900 million for the first nine months of 2025. Agnico Eagle returned around one-third of its free cash flow through dividends and buybacks in the first nine months.

B’s Price Performance, Valuation & Estimates

Barrick’s shares have surged 120.7% in the past six months compared with the Zacks Mining – Gold industry’s rise of 70.1%, courtesy of the gold price rally.

From a valuation standpoint, B is currently trading at a forward 12-month earnings multiple of 13.52, a roughly 3.5% discount when stacked up with the industry average of 14.01X. It carries a Value Score of B.

The Zacks Consensus Estimate for B’s 2025 and 2026 earnings implies a year-over-year rise of 79.4% and 51.4%, respectively. The EPS estimates for 2025 and 2026 have been trending higher over the past 60 days.

B stock currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

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This article originally published on Zacks Investment Research (zacks.com).

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