Israel's recent massive strike on Iran's nuclear and military installations caused many investors to flee to safe-haven assets such as gold. It's why gold stock and Big Cap 20 component BarrickMining (B) still trades inside a 5% buy zone from a heavy-volume breakout that occurred late last week.

The conflict spurred breakouts in gold and gold-related names like Barrick. Shares of the company have formed a 33-week cup-with-handle basewith a 21.11 buy point over the past several months. The pattern could also be interpreted as a cup base.

The gold stock broke out above the entry last Friday and has stayed within the 5% buy zone, which tops out at 22.16. Barrick shares have pulled back within the buy zone and remain actionable now as they trade near the entry.

On May 7, the company reported earnings for its March-ended quarter. Barrick stock briefly crossed below support at its 50-day and 200-day moving averages. But in recent weeks, the stock has retaken both levels of support and its moving averages are properly stacked. This means the 21-day line is above the 50-day line, which is above the 200-day line.

Meanwhile, Barrick Mining's relative strength line has continued to drift higher but remains off recent highs. Shares have been stuck trading sideways since mid-2022. However, the stock could be on the brink of breaking this rangebound trading action.

Barrick ranks fourth in the highly ranked gold, silver and gems mining industry group, as the stock has seen a rise of more than 25% so far this year. The group itself ranks a terrific No. 3 out of IBD's 197 groups. Barrick stock maintains an ideal 99 Composite Rating, making it one of the top stocks to watch in the IBD Big Cap 20.

Gold Stock Shows Earnings Growth Despite Operational Setback

The Toronto-based company managed to produce strong financial results in 2024, despite operational setbacks. Barrick has mining operations and projects in a vast array of locations, including Argentina, Canada, Dominican Republic, Mali, Peru, Saudi Arabia and the U.S., to name a few.

In recent years, the company ran into trouble with the Malian government over its Loulo-Gounkoto mine complex. A court ruling placed the complex under provisional administration, which led to operational disruptions and employee detentions. The company had been operating there for nearly three decades.

The Loulo-Gounkoto gold complex had been a major contributor to Barrick's global production. However, despite this setback, the company has maintained impressive growth on its top and bottom lines.

Barrick earned 35 cents a share on revenue of $3.1 billion in its most recent March-ended quarter. That represented year-over-year increases of 84% and 14%, respectively. The gold miner also has managed to accelerate year-over-year earnings growth the past three quarters, from 25% to 70% to 84%.