As a value investor, billionaire Warren Buffett usually picks out beaten up companies that are out of favor in the market and have suffered large pullbacks as a result.
And over the years, he has been a harsh critic of gold – often calling it a “pet rock”.
He doesn’t understand why anyone would put their money in a “shiny metal” that produces zero income.
But that may have changed on Monday…
With investment income near impossible to find nowadays and the U.S. Federal Reserve printing trillions of dollars, Buffett must finally be seeing the value of gold’s finite supply.
How do I know?
On Monday, Buffett’s Berkshire Hathaway revealed a $562 million stake in a single gold mining stock – Barrick Gold Corp. (NYSE: GOLD).
The timing of this move is curious…
GOLD shares have already surged more than 62% this year as investors have rushed into safe havens amid massive amounts of uncertainty about their health and their wealth.
So what does Buffett see?
Let’s dive into Barrick a bit more and see if it’s worth buying now that the stock popped 11% after Buffett announced his stake in the company…
Barrick Gold Corp. (NYSE: GOLD)
Based in Toronto, Barrick Gold is the world's second largest gold producer.
Barrick Gold has gold and copper mining operations in 13 countries located in North America, South America, Australia, and Africa.
In fiscal 2019, the firm produced nearly 5.5 million attributable ounces of gold and more than 430 million pounds of copper.
The company went on to profit nearly $4 billion in 2019 – a $5.5 billion increase from 2018.
That staggering growth makes Barrick worth a total of $53.5 billion today.
It’s established. It’s well-known. And after an 11% pop Monday, it already got the “post-Buffett-bounce.”
Since Barrick is already so large, the chances the company doubles from here are slim.
But I have researched another gold mining stock trading for just $1 that could easily double by the end of the year.
Hurry: Tiny $1 gold stock going vertical
By August 31, a critical announcement will reveal the biggest gold mine in America.
Sending the $1 miner that owns it down a path for up to 100-fold gains.
Its real gold windfall has been kept hidden from the public. But that’s about to change for reasons you can see here.
You need to position yourself immediately.
Not only is the announcement coming…
But gold is approaching record prices… and as you'll see, a well-known billionaire who made $4 billion shorting the housing market in 2008 just went all-in on this tiny gold stock that's poised to become the biggest in America.