Barrick Gold Now Rated at “Buy” at Deutsche Bank (ABX)

in Barrick Gold Barrick Gold Corp dividend Gold Gold Investing Gold Investment Gold Mining shares by admin — May 25, 2010 6:09 am | no comments

Gold mining giant Barrick Gold Corporation ( ABX ) saw its rating and price target boosted on Tuesday by analysts at Deutsche Bank, who cited an expected run-up in precious metal prices. The firm raised its rating on ABX to “Buy” from “Hold,” and boosted its price target on the stock to $53 from $45. Barrick shares had closed at $41.14 on Monday. Deutsche raised its gold price forecasts for 2011 and 2012 to $1,450 (+16% from prior view) and $1,600/oz (+60% from prior view). The analyst also said Barrick is one of a few “value” gold plays, compared to some other “growth” names in the sector. Barrick Gold shares fell 72 cents, or -1.8%, in premarket trading Tuesday. The Bottom Line We have avoided shares of ABX since our early June 2008 coverage began, when the stock was trading at $42.07. The company has a .97% dividend yield, based on last night’s closing stock price of $41.12. The stock has technical support in the $38 price area. If the shares can firm up, we see overhead resistance around the $42-$44 a share. We would remain on the sidelines for now. Barrick Gold Corporation ( ABX ) is not recommended at this time, holding a Dividend.com DARS™ Rating of 3.4 out of 5 stars. Be sure to visit our complete recommended list of the Best Dividend Stocks , as well as a detailed explanation of our ratings system here .