BYD in the fast lane! The gold rally is boosting Benton Resources and Barrick Gold

BYD – Dominating the transformation

BYD is cementing its pioneering role in China's rapidly growing zero-emission vehicles (NEVs) market. According to the latest CPCA data, NEVs reached a record 47% of wholesale sales in February 2025. BYD alone contributed nearly 18% of total sales, with over 318,000 plug-in hybrids (PHEVs) and battery electric models (BEVs). By comparison, Tesla contributed 1.7%. BYD sold 4.27 million vehicles worldwide in 2024, closing in on Ford's 4.47 million. With a 29% increase in revenue to around EUR 99 billion and a net profit of EUR 5.17 billion in 2024, BYD is underlining its profitability in a highly competitive market.

Innovation is the secret of BYD's success. With the "God's Eye" assistance system, which offers up to 600 TOPS of computing power depending on the version, the Company is setting new standards in driver assistance – a strategic move. At the same time, the "Super e-Platform" charging standard is revolutionizing EV charging: 400 km of range in 5 min at 1,000 kW of power outperforms Tesla's technology. The plan is to build 4,000 ultra-fast charging stations in China to reduce range anxiety. Morgan Stanley sees this as a crucial factor in increasing NEV penetration to 75% by 2030. The former battery manufacturer is now also active in the energy storage market.

While the domestic market is booming, BYD is pushing ahead with internationalization. In 2025, 800,000 vehicles are to be exported, twice as many as in 2024. Plants are being built in Brazil, Thailand, and Europe to avoid tariffs. At the same time, the Yangwang brand is entering the luxury segment. The new U7 combines an electric drive with 1,300 hp, a top speed of 270 km/h and an electromagnetic chassis at prices starting at EUR 79,500. This puts it well below European premium models. With such initiatives, BYD is showing how it combines technology, economies of scale, and global strategies to become a global automotive giant. The stock is currently trading at EUR 46.96.

Benton Resources – A focus on copper and gold

Benton Resources is positioning itself as a dynamic player in resource exploration. The Company is focusing on polymetallic projects, including the highly promising Great Burnt project in Newfoundland. With an estimated resource base of 667,000 t of copper at a grade of 3.21% and 482,000 t at 2.35% copper, as well as 6 identified historical zones of mineralization over 25 km of strike length, the project offers scalable potential. Benton is the project operator and owns 70% of the project, while Homeland Nickel holds the remaining 30%. In addition, the Company owns other projects such as the Dominion Gold VMS, Bark Lake, and Abernethy projects. Benton has also secured joint ventures and negotiated royalty agreements for sold projects, further enhancing its strategic positioning.

On March 3, 2025, Benton reported significant progress in the Great Burnt Main and North Stringer Zone (NSZ). Drill hole GB-25-60 intersected 15 m of mineralization, including 10.4 m of massive sulfide ore with high chalcopyrite content – an indicator of copper richness. This expanded the Main Zone. In the NSZ, drill hole GB-25-59 identified two mineralized zones at a depth of over 170 m. These results indicate untapped areas that will now be further explored using geophysical tests. The current 3,220-metre drill program is focused on near-surface anomalies for which assay results are expected soon. The pause in drilling to allow time for data evaluation underlines the team's methodical approach.

On February 13, 2025, Benton announced the extension of the Great Burnt Main Zone to 950 m of strike length. Holes like GB-25-53 confirmed high-grade copper mineralization in previously underrated areas. CEO Stephen Stares emphasizes the "tremendous discovery potential" of the 25 km project. For investors, Benton is of dual interest. On the one hand, the Company benefits from the growing global copper shortage, as the raw material is indispensable for electrification and AI systems. On the other hand, the historic gold price of over USD 3,100 per ounce is driving up the valuations of exploration companies. At a current share price of CAD 0.08, the Company has a market capitalization of around CAD 16.5 million. Given the increasing difficulties in discovering profitable copper deposits, large corporations in the industry are now intensifying their search for promising takeover candidates. Benton Resources could be a potential target.

Barrick Gold - Between record profits and geopolitical turbulence

Barrick Gold faces an ambivalent outlook in 2025. Although the Company increased its net profit by 69% to USD 2.14 billion in 2024 and generated a free cash flow of USD 1.31 billion, current challenges are dampening sentiment. The temporary closure of the Loulo-Gounkoto mine in Mali – responsible for 10% of Mali's GDP – costs Barrick over 500,000 ounces of gold production annually. At the same time, high production costs of USD 1,484 per ounce are putting pressure on margins, well above competitor Agnico Eagle. Barrick lowered its gold production forecast to 3.15 – 3.5 million ounces for 2025, with Mali remaining a factor of uncertainty.

Despite short-term setbacks, Barrick is focusing on long-term projects. The Reko Diq mine in Pakistan, with a planned output of 45 million tons of ore per year from 2030, and the Lumwana copper mine in Zambia are expected to increase production by 30% by 2029. Financially, the Company remains robust. With USD 4.07 billion in net cash and a newly announced USD 1 billion share buyback program, management is signaling confidence in the undervalued stock. In addition, 2024 saw the full replacement of mined reserves – an industry-wide unique selling point.

Barrick Gold's strong fundamentals are convincing despite geopolitical tensions. A price-to-earnings ratio of around 16 and a free cash flow yield of 4% stand out positively in an industry comparison. Analysts emphasize the significant upside potential and rate the stock as a "Strong Buy". The current challenges in Mali and Pakistan are considered temporary, while key projects such as Reko Diq – with an expected free cash flow generation of USD 74 billion over the term – offer long-term growth prospects. Combined with the record gold price and the increasing importance of copper production, Barrick is well-positioned for the future, especially if operational risks are eliminated. The stock is currently trading at USD 19.14.

Inflation and mountains of debt are fueling gold as a safe haven and, ultimately, copper as a key raw material for the energy transition. BYD dominates e-mobility with a pioneering technological role, record sales, and global expansion – a growth path with disruptive potential. Benton Resources scores with high-grade copper discoveries at the Great Burnt project and benefits as an explorer from takeover fantasies in a tight market. Barrick Gold is defying geopolitical risks with robust projects such as Reko Diq and taking advantage of the gold rally thanks to a solid balance sheet. While BYD and Barrick offer stability, Benton could become a high-flyer if further discoveries are made. The electrification story continues to write exciting chapters.