Globe says Barrick excellent value at current levels

2008-11-20 07:02 ET - In the News

The Globe and Mail reports in its Thursday edition that Strategic Analysis chairman Ross Healy believes Barrick Gold is worth betting on.

Lois Lee writes in the BNN Market Call column that Barrick stock jumped 74 cents to finish Wednesday on the Toronto Stock Exchange at $26.49. The stock has a 52-week range of $22 to $54.11.

Mr. Healy says: "Barrick Gold's stock is an excellent value at current levels. The outlook for gold is positive as the longer-term trend for the U.S. dollar should be downward." In his general outlook Mr. Healy says: "Until earnings forecasts develop a sense of reality ... investors will be doomed to lose money in surprising ways. For the first time, the majority of economists are looking at a slowdown next year. ... We remain very cautious at this time." Mr. Healy says: "There should be no rush to add new money into this market. Until this extreme volatility subsides, sitting in cash seems to be the prudent move."

Desjardins Securities vice-chairman Peter Gibson recommended buying Barrick stock in the BNN column on Nov. 4 when it was trading at $26.32. Maison Placements Canada president John Ing said Barrick was good for gold bugs in The Globe on Oct. 6 when it was trading at $34.95.