When gold prices start rising, investors tend to think now is the time to grab hold. Whether it’s buying a start-up gold mining company or those gold bars from Costco (I mean, what?), there are multiple ways to get involved. However, perhaps the best and most stable option is to go big.
In this case, one of the top investments I would consider for gold stocks if you’re looking for a real wealth preserver is to consider Barrick (TSX:ABX). This gold producer has a long history of real growth surrounded by stable production. So, let’s look at what you need to know if you’re considering getting into gold.
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Why now?
Before we get more into Barrick, let’s look at why investors are getting into gold in the first place. The price of gold has ballooned in 2025, hitting and passing a record price of US$3,500! That’s because people, in general, investors or not, tend to flock to gold when times get tough. And right now is the perfect example.
Gold has a long history as a safe haven. When the markets wobble or become risky due to all-time highs, inflation, or high interest rates, investors start to lose confidence — not just in stocks, but even in cash. Gold, however, holds its value and has almost since human existence.
Moving forward, even when other costs rise, such as the cost of living, gold prices climb alongside these price swings. It provides stability when currencies drop, which even helps investors worried about currency weakness. And right now, with interest rate uncertainty, geopolitical tensions, and even recession fears, investors want stability. That’s why Barrick is a superior option.
Into ABX
Barrick is a gold and copper miner founded in 1983. The company has major operations around the world, from North and South America to the Middle East, Zambia, and the Dominican Republic. And all have been performing well, with the gold stock bringing in cash over and over again.
During its second quarter, investors witnessed this once more. Barrick reported net earnings per share (EPS) of $0.47, with a 32% increase in operating cash flow to $2.5 billion. Furthermore, the stock saw an intense 107% increase in free cash flow, hitting $770 million compared to last year!
It wasn’t only the price of gold increasing that helped this along. Gold production was up 5%, while copper production increased 34% just from the first quarter to the second. Nevada Gold Mines in particular saw an 11% increase in production, with Pueblo Viejo rising 28%.
More to come
That’s all well and good, but what about the future? The gold stock continues to advance further projects, including its Reko Diq, which is advancing on schedule. Its Fourmile drill program could also double mineral resources by the end of 2025. Plus, amidst all this, operating margins remain strong with earnings before interest, taxes, depreciation, and amortization margins at 55%.
There’s also income to consider. While not the largest on the TSX, Barrick does offer a dividend. Right now, it holds a dividend of $0.15 per share quarterly, or $0.60 annually. Plus, this quarter included a $0.05 performance dividend. The company repurchased $268 million in shares in the second quarter alone. If that weren’t enough, it’s still aiming at $411 million for the year in buybacks, so more is certainly on the way.
Bottom line
Basically, Barrick has it all. You get the safety and security of being connected to a stellar gold stock during turbulent times. Meanwhile, you’re getting paid to own the stock immediately through dividends. And finally, you can look forward to years and even decades of growth as the company continues to expand its mining activities in locations across the globe. All in all, Barrick is a strong opportunity for those seeking out sustainable and long-term value in the gold sector.
