Barrick Mining (TSX:ABX) just reported solid Q2 2025 results, but the stock continues to underperform many of its peers. Contrarian investors are wondering if Barrick Mining is now undervalued and good to buy for metals exposure in a self-directed RRSP portfolio.
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Barrick Mining share price
Barrick Mining trades near $33 per share at the time of writing. The stock is up 48% in 2025.
Soaring gold and copper prices are driving up margins for mining companies. Barrick is a major producer of both metals, which should be attractive for investors who like gold for its hedge against currency fluctuations and copper for its role as a core component in the expansion of renewable energy infrastructure.
Gold trades near US$3,400 per ounce right now compared to US$2,500 at this time last year. Copper trades near US$4.50 per pound. It was recently as high as US$5.80 before the U.S. announced a 50% tariff on copper imports. A few days ago the U.S. president also said gold would be hit by tariffs, but then changed his mind.
Metals investors should brace for ongoing volatility as markets adjust to the tariff announcements and subsequent adjustments, along with shifts in U.S. green energy policy. This not only impacts the price of the commodities, but in the case of copper, it can also have a large impact on demand. Major offshore wind projects in the United States, for example, are on hold after the new administration suspended licensing earlier this year.
Barrick Mining earnings
Barrick Mining reported a 15% increase in revenues in the first half of 2025 compared to the same period last year. Adjusted net earnings increased 58% to US$1.4 billion. Free cash flow rose 107% to US$770 million.
Higher gold prices offset lower production, reduced sales, and produced higher costs. Barrick’s gold production fell 18% in the first six months of 2025 compared to the first two quarters of 2024. All-in sustaining costs (AISC), a measure of efficiency, rose by 16% to US$1,728 per ounce.
The copper business performed better. Production rose 24% year-over-year for the first six months. Sales increased 30% and the realized sale price rose 4%. AISC fell by 18% to US$2.98 per pound.
Barrick Mining has a strong balance sheet. The company reported cash and cash equivalents of US$4.8 billion at the end of Q2 and total debt of US$4.7 billion.
The company recently declared a US$0.15 per share dividend, which includes the base quarterly dividend of US$0.10 plus a $0.05 performance bonus. Barrick is also buying back stock with excess cash. The company repurchased US$860 million in stock over the past 12 months.
Growth
Barrick has a number of new mines under development.
Goldrush and Fourmile in Nevada are targeting 400,000 ounces of gold annually by 2028 and 500,000 ounces of gold annually over two decades, respectively.
An expansion project at the Pueblo Viejo mine in the Dominican Republic will increase gold production to more than 800,000 ounces per year by 2040.
In Pakistan, Barrick is seeking US$3.5 billion in financing to progress its US$9 billion Reko Diq copper-gold mine. The project is considered to be one of the largest copper-gold deposits on the planet.
Risks
Barrick operates mines around the globe, including in some countries where disputes with the governments can result in shutdowns and losses. In Mali, for example, Barrick just booked a US$1 billion writedown on its Loulo-Gounkoto operations in the country after suspending activity at the mine in January due to the seizure of three tonnes of gold by government authorities. Loulo-Gounkoto is one of the world’s largest gold operations.
Time to buy?
Market volatility should be expected in the near term and Barrick needs to lower its gold AISC, so I wouldn’t back up the truck.
That being said, the company has attractive growth potential and any deal to get the Mali operations back on track could put a new tailwind behind the stock. If you have a contrarian investing style and are a gold and copper bull, Barrick deserves to be on your radar. Otherwise, a metals ETF might be the way to go.
