Barrick Gold Considers North American Spin-Off Amid Analyst Praise

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A potent mix of strategic restructuring rumors and bullish analyst sentiment is driving interest in Barrick Gold shares this week. The mining behemoth is reportedly evaluating an initial public offering for its North American operations, a move seen as an effort to unlock shareholder value. This speculation arrives alongside significant price target upgrades from major financial institutions, fueling the momentum for a stock that has already seen a remarkable rally this year.

The stock's upward trajectory is receiving substantial backing from institutional investors. Recent filings reveal that Gabelli Funds established a major new position in the second quarter, purchasing approximately 1.44 million shares. With institutional ownership now exceeding 90%, sustained interest from large-scale investors provides fundamental support for the equity's performance. Barrick's share price has advanced more than 126% since the start of the year, recently trading just below its 52-week high of 36.47 euros.

This optimism is further bolstered by a favorable environment for the broader gold sector. Precious metals prices have provided a strong tailwind, with futures contracts recently testing levels above $4,200 per troy ounce. While industrial metals like copper have also reached record highs, analysts at Jefferies argue that gold equities currently present a more favorable risk-reward profile heading into the next year, citing more attractive valuations.

Strategic Move to Highlight Premium Assets

According to a weekend report from Mining Engineering Magazine, Barrick Gold is actively contemplating an IPO for its North American assets. Market observers interpret this potential strategic shift as a method to separate and highlight stable, high-margin operations in secure jurisdictions from its global portfolio. The goal is a clearer valuation and enhanced worth for shareholders.

This rumor has gained credibility through concurrent endorsements from Wall Street. In a significant update, investment bank Jefferies raised its price target on Barrick Gold from $46 to $55 on Sunday, reiterating its "Buy" recommendation. Their 2026 outlook expresses a clear preference for gold mining companies over copper producers. This follows an earlier upgrade on Friday from BNP Paribas Exane, which moved its rating from "Neutral" to "Outperform." This concentrated wave of positive analyst revisions suggests a broader reassessment of the company's future prospects.

Investor attention is now firmly fixed on the possibility of an official confirmation regarding the North American IPO plans. Such an announcement could trigger a fundamental re-rating of the stock, drawing parallels to past successful spin-offs within the resources sector. A confirmation of the rumors is seen as a potential catalyst for a decisive technical breakout, given the stock's proximity to its yearly peak.