Barrick Gold Corporation (ABX), Goldcorp Inc (GG) & Other Gold Stocks Soar on Chinese Jitters

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Shares of Barrick Gold Corporation (USA) (NYSE:ABX), Goldcorp Inc. (NYSE:GG) and other gold stocks are up big today, continuing a trend from yesterday, as the Chinese Stock Market continues to have trouble. After a couple of stock market freezes due to the market falling too fast over the past two weeks, many investors feel as though the Chinese market may be in for some more rough times ahead.

This concern has translated to concern for other international markets, including those in the United States, as so many companies rely on the Chinese for revenue. Typically when economic concerns arise, investors turn to commodities such as gold to hedge against more future declines. Gold is usually quite steady, and typically goes in the opposite direction of the stock market.

Today Barrick Gold Corporation (USA) (NYSE:ABX) and Goldcorp Inc. (NYSE:GG) are leading the way among gold stocks, as the price of gold has increased another 1.52% to $1108.48 per ounce today. With many experts expecting continued trouble in China, it wouldn’t surprise us if we continue to see both the price of gold itself and those stocks that mine and distribute gold continue to soar. Shares of Barrick Gold (NYSE:ABX) are up 8.69% or $0.69 today, hitting $8.63 per share. About 23.83 million shares traded hands or up 64.12% from the average. ABX has declined 33.78% since June 3, 2015 and is currently downtrending. It has underperformed the S&P500 by 27.92%.

From a total of 9 analysts covering Barrick Gold Corp. (NYSE:ABX) stock, 2 rate it a “Buy”, 1 a “Sell”, and 6 a “Hold”. This means that 22% of the ratings are positive. The highest target price is $15 while the lowest target price is $7.50. The mean of all analyst targets is $10.38 which is 20.28% above today’s ($8.63) stock price. Barrick Gold Corp. was the topic of 16 analyst reports since August 6, 2015 according to the firm StockzIntelligence Inc. RBC Capital Markets maintained shares on September 18 with a “Sector Perform” rating. JP Morgan maintained shares with a”Hold” rating and a $10.50 target share price in their report from an August 12. Sterne Agee CRT maintained ABX stock in a recent report from August 17 with a “Neutral” rating. Finally, Deutsche Bank upgraded the stock to a “Buy” rating in a report they issued on an August 13.

Barrick Gold Corporation is a gold mining company. The company has a market cap of $9.38 billion. The Firm is engaged in the production and sale of gold and copper, as well as related activities, such as exploration and mine development. It currently has negative earnings. The Firm operates in divisions: eight individual gold mines, Acacia and Pascua-Lama project.

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