Barrick Gold Corp (USA) (ABX)

rlvanegdom (89.34) Submitted: 5/08/08 2:49 PM : Start Price: $39.12 ABX Score: 21.69

I purchased this stock on April 29 at @38.48 per share. I have decided to invest 10% of my portfolio in gold stocks and this stock will be one of three stocks that will eventually make up that amount. I also own shares in Goldcorp and Fidelity Select Gold mutual fund. At some point I expect to sell the mutual fund and buy another gold stock probably NEM. Barrick Gold is the largest gold company so it is a logical choice for one of my three stocks in the gold sector. It has outperformed the S&P over the last 5yr,3yr,and 1yr time frames. The last 3 months it has underperformed and thus has provided a good entry point for me to get into the stock. I expect the Dollar to continue to fall in value and therefore wish to protect myself from the probable bout of inflation I see on the horizon. The downside I see is a commodities correction happening which would be difficult for gold in the short term but longer term I would expect it to do well. I expect the overall market to decline by another 10 to 15% and when that happens I will be ready to put the rest of my money back in the market.

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