Activist investor Elliott joins top 10 shareholders in gold miner Barrick - FT
Over the past five years, Barrick's stock price has risen about 43%, while competitors have performed at least three times better
Activist investor Elliott Management has accumulated a large stake in Barrick Gold and entered the top 10 shareholders of the world's second largest gold miner, the Financial Times reports, citing sources. The investment came at a time when the company after the resignation of the CEO is preparing for a possible division or sale of African and Pakistani assets. However, such a scenario, according to sources FT, is very satisfied with Elliott. Quotes Barrick at the auction on November 18 jumped by 3%.
Details
Hedge fund Elliott Management, known as an activist investor seeking changes in the companies in which it owns stakes, has accumulated a large stake in Barrick Mining, the Financial Times reports, citing sources. The exact size of Elliott's stake, as well as the fund's claims on the company, could not be ascertained, but the FT sources added that Elliott is now one of Barrick's ten largest shareholders. This means that the hedge fund's stake is worth at least $700 million, the newspaper estimated.
Elliott and Barrick declined to comment to the FT.
An activist investor has racked up a stake in Barrick Gold amid the company's pledge to focus on its highly profitable North American business following the sudden resignation of legendary CEO Mark Bristow in September 2025, the FT wrote. This has sparked rumors of a possible split of the group or sale of troubled assets, the newspaper noted.
Reuters reported on November 16, citing its sources, that Barrick's board of directors did discuss two key scenarios: splitting the company into two independent entities or a direct sale of African mines and the Reko Diq project in Pakistan. Elliott is enthusiastic about the idea of a possible separation of Barrick's fast-growing North American assets from mines in the riskier regions of Asia and Africa, the FT sources emphasized.
What about the stock
Barrick shares jumped nearly 3% to $38 in New York trading on Nov. 18, but then slowed slightly. Since the beginning of 2025, the market value of the company with a primary listing in Toronto and a secondary listing in New York has increased by about 140%. By comparison, the main U.S. stock index, the S&P 500, has added just over 12.5% over the same period.
In recent months, Barrick has been trading near a 13-year high thanks to a major gold discovery at its Fourmile project in Nevada, which is estimated to be capable of producing up to 750,000 ounces of gold a year, the FT notes. The company calls it one of the largest deposits of the precious metal in the 21st century.
However, over the past five years, Barrick's securities have risen only 43%, while competitors like Kinross Gold and Agnico Eagle have seen increases of 228% and 143%, respectively, the newspaper added.
What analysts advise
November 18 investment firm William O'Neil initiated coverage on Barrick shares with a "buy" recommendation (Buy rating). On November 17, analysts at RBC also reiterated a Buy recommendation (Outperform rating) and a $40 target price - up 8% from the previous close.
The vast majority of analysts - 18 out of 23 - advise investors to buy the company's shares (Buy and Overweight ratings), according to MarketWatch. Four more are neutral with a Hold rating and only one suggests traders get rid of Barrick securities in their portfolios (Underweight).
Wall Street's average target price is $41.8, which implies the gold miner's market value is up another 13% from the close of trading on Nov. 17.
This article was AI-translated and verified by a human editor
