(MENAFN- Baystreet.ca) Barrick Gold Corp. (TSX:ABX) is increasing its dividend by 14% as the company benefits from the run up in gold prices.
Barrick Chief Executive Officer Mark Bristow said gold has more room to go higher on a real-dollar basis, but the company will continue to make decisions based on a long-term price of $1,200 U.S. an ounce.
Barrick is the world's second-largest producer of gold, and the price of gold has shot past its record set in September 2011 and is currently trading above $2,000 U.S. an ounce.
Barrick said in its second-quarter earnings statement that it will increase its quarterly cash dividend by 14% to eight cents a share. Barrick's stock price is up 56% this year to just under $30 per share.
On an earnings call, Bristow said Barrick will continue to pursue deal-making, but its overall acquisition strategy won't change because of higher gold prices. The company's adjusted earnings came in at 23 cents a share versus the average analyst estimate of 18 cents. Barrick reiterated it's on track to meet its guidance for 2020 production estimated at a range of 4.6 million to five million ounces of gold.
MENAFN1108202002120000ID1100618554
Legal Disclaimer:
MENAFN provides the information “as is” without warranty of any kind. We do not accept any responsibility or liability for the accuracy, content, images, videos, licenses, completeness, legality, or reliability of the information contained in this article. If you have any complaints or copyright issues related to this article, kindly contact the provider above.