GOLD FIELDS LTD-SPONS ADR (GFI) Stock Fundamental Analysis
NYSE:GFI - US38059T1060 - ADR
34.36 USD
+0.96 (+2.87%)
34.32 USD
-0.04 (-0.12%)
We assign a fundamental rating of 7 out of 10 to GFI. GFI was compared to 156 industry peers in the Metals & Mining industry. GFI scores excellent on profitability, but there are some minor concerns on its financial health. GFI is growing strongly while it also seems undervalued. This is an interesting combination
1. Profitability
1.1 Basic Checks
In the past year GFI was profitable.
In the past year GFI had a positive cash flow from operations.
GFI had positive earnings in each of the past 5 years.
GFI had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
GFI has a better Return On Assets (12.27%) than 92.31% of its industry peers.
GFI has a better Return On Equity (23.94%) than 96.15% of its industry peers.
With an excellent Return On Invested Capital value of 17.69%, GFI belongs to the best of the industry, outperforming 96.15% of the companies in the same industry.
GFI had an Average Return On Invested Capital over the past 3 years of 16.80%. This is above the industry average of 13.00%.
The last Return On Invested Capital (17.69%) for GFI is above the 3 year average (16.80%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.27% | ||
| ROE | 23.94% | ||
| ROIC | 17.69% |
ROA(3y)10.17%
ROA(5y)10.19%
ROE(3y)18.85%
ROE(5y)19.22%
ROIC(3y)16.8%
ROIC(5y)16.97%
1.3 Margins
GFI's Profit Margin of 23.93% is amongst the best of the industry. GFI outperforms 89.74% of its industry peers.
GFI's Profit Margin has improved in the last couple of years.
GFI has a better Operating Margin (45.33%) than 94.23% of its industry peers.
In the last couple of years the Operating Margin of GFI has grown nicely.
Looking at the Gross Margin, with a value of 51.51%, GFI belongs to the top of the industry, outperforming 89.10% of the companies in the same industry.
GFI's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 45.33% | ||
| PM (TTM) | 23.93% | ||
| GM | 51.51% |
OM growth 3Y1.47%
OM growth 5Y7.58%
PM growth 3Y8.35%
PM growth 5Y34.46%
GM growth 3Y1.47%
GM growth 5Y7.58%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so GFI is still creating some value.
The number of shares outstanding for GFI remains at a similar level compared to 1 year ago.
GFI has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, GFI has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 5.47 indicates that GFI is not in any danger for bankruptcy at the moment.
GFI has a Altman-Z score of 5.47. This is in the better half of the industry: GFI outperforms 73.72% of its industry peers.
GFI has a debt to FCF ratio of 7.04. This is a slightly negative value and a sign of low solvency as GFI would need 7.04 years to pay back of all of its debts.
GFI's Debt to FCF ratio of 7.04 is fine compared to the rest of the industry. GFI outperforms 67.31% of its industry peers.
GFI has a Debt/Equity ratio of 0.41. This is a healthy value indicating a solid balance between debt and equity.
GFI has a worse Debt to Equity ratio (0.41) than 71.15% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.41 | ||
| Debt/FCF | 7.04 | ||
| Altman-Z | 5.47 |
ROIC/WACC1.11
WACC15.9%
2.3 Liquidity
A Current Ratio of 1.13 indicates that GFI should not have too much problems paying its short term obligations.
Looking at the Current ratio, with a value of 1.13, GFI is doing worse than 79.49% of the companies in the same industry.
A Quick Ratio of 0.72 indicates that GFI may have some problems paying its short term obligations.
The Quick ratio of GFI (0.72) is worse than 80.13% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.13 | ||
| Quick Ratio | 0.72 |
3. Growth
3.1 Past
GFI shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 77.80%, which is quite impressive.
The Earnings Per Share has been growing by 48.07% on average over the past years. This is a very strong growth
The Revenue has grown by 15.57% in the past year. This is quite good.
GFI shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 11.88% yearly.
EPS 1Y (TTM)77.8%
EPS 3Y16.47%
EPS 5Y48.07%
EPS Q2Q%253.74%
Revenue 1Y (TTM)15.57%
Revenue growth 3Y7.43%
Revenue growth 5Y11.88%
Sales Q2Q%37.74%
3.2 Future
GFI is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 31.16% yearly.
The Revenue is expected to grow by 15.98% on average over the next years. This is quite good.
EPS Next Y146.76%
EPS Next 2Y70.64%
EPS Next 3Y31.16%
EPS Next 5YN/A
Revenue Next Year49.75%
Revenue Next 2Y32.32%
Revenue Next 3Y15.98%
Revenue Next 5YN/A
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 24.72 indicates a rather expensive valuation of GFI.
Compared to the rest of the industry, the Price/Earnings ratio of GFI indicates a somewhat cheap valuation: GFI is cheaper than 73.72% of the companies listed in the same industry.
When comparing the Price/Earnings ratio of GFI to the average of the S&P500 Index (27.06), we can say GFI is valued inline with the index average.
GFI is valuated reasonably with a Price/Forward Earnings ratio of 10.89.
80.77% of the companies in the same industry are more expensive than GFI, based on the Price/Forward Earnings ratio.
GFI's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 22.69.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.72 | ||
| Fwd PE | 10.89 |
4.2 Price Multiples
70.51% of the companies in the same industry are more expensive than GFI, based on the Enterprise Value to EBITDA ratio.
64.10% of the companies in the same industry are more expensive than GFI, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 73.5 | ||
| EV/EBITDA | 10.71 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The excellent profitability rating of GFI may justify a higher PE ratio.
A more expensive valuation may be justified as GFI's earnings are expected to grow with 31.16% in the coming years.
PEG (NY)0.17
PEG (5Y)0.51
EPS Next 2Y70.64%
EPS Next 3Y31.16%
5. Dividend
5.1 Amount
GFI has a Yearly Dividend Yield of 2.45%.
GFI's Dividend Yield is rather good when compared to the industry average which is at 2.66. GFI pays more dividend than 88.46% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.32, GFI has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.45% |
5.2 History
On average, the dividend of GFI grows each year by 56.48%, which is quite nice.
GFI has been paying a dividend for at least 10 years, so it has a reliable track record.
Dividend Growth(5Y)56.48%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
GFI's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DPN/A
EPS Next 2Y70.64%
EPS Next 3Y31.16%
34.36
+0.96 (+2.87%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryMetals & Mining
Earnings (Last)
Earnings (Next)
Inst Owners57.63%
Inst Owner Change-4.08%
Ins Owners0.1%
Ins Owner ChangeN/A
Market Cap30.75B
Analysts70.91
Price Target26.84 (-21.89%)
Short Float %0.52%
Short Ratio1.57
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.45% |
Yearly DividendN/A
Dividend Growth(5Y)56.48%
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)8.98%
PT rev (3m)19.74%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)17.09%
EPS NY rev (3m)17.09%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0.77%
Revenue NY rev (3m)7.71%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.72 | ||
| Fwd PE | 10.89 | ||
| P/S | 5.91 | ||
| P/FCF | 73.5 | ||
| P/OCF | 19.14 | ||
| P/B | 5.91 | ||
| P/tB | 5.91 | ||
| EV/EBITDA | 10.71 |
EPS(TTM)1.39
EY4.05%
EPS(NY)3.16
Fwd EY9.18%
FCF(TTM)0.47
FCFY1.36%
OCF(TTM)1.8
OCFY5.23%
SpS5.81
BVpS5.81
TBVpS5.81
PEG (NY)0.17
PEG (5Y)0.51
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.27% | ||
| ROE | 23.94% | ||
| ROCE | 27.96% | ||
| ROIC | 17.69% | ||
| ROICexc | 19.7% | ||
| ROICexgc | 19.7% | ||
| OM | 45.33% | ||
| PM (TTM) | 23.93% | ||
| GM | 51.51% | ||
| FCFM | 8.04% |
ROA(3y)10.17%
ROA(5y)10.19%
ROE(3y)18.85%
ROE(5y)19.22%
ROIC(3y)16.8%
ROIC(5y)16.97%
ROICexc(3y)18.78%
ROICexc(5y)18.99%
ROICexgc(3y)18.78%
ROICexgc(5y)18.99%
ROCE(3y)26.56%
ROCE(5y)26.83%
ROICexcg growth 3Y0.88%
ROICexcg growth 5Y7.72%
ROICexc growth 3Y0.88%
ROICexc growth 5Y9.31%
OM growth 3Y1.47%
OM growth 5Y7.58%
PM growth 3Y8.35%
PM growth 5Y34.46%
GM growth 3Y1.47%
GM growth 5Y7.58%
F-Score5
Asset Turnover0.51
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.41 | ||
| Debt/FCF | 7.04 | ||
| Debt/EBITDA | 0.72 | ||
| Cap/Depr | 189.45% | ||
| Cap/Sales | 22.85% | ||
| Interest Coverage | 18.08 | ||
| Cash Conversion | 53.83% | ||
| Profit Quality | 33.61% | ||
| Current Ratio | 1.13 | ||
| Quick Ratio | 0.72 | ||
| Altman-Z | 5.47 |
F-Score5
WACC15.9%
ROIC/WACC1.11
Cap/Depr(3y)149.57%
Cap/Depr(5y)138.14%
Cap/Sales(3y)23.74%
Cap/Sales(5y)22.47%
Profit Quality(3y)32.28%
Profit Quality(5y)37.35%
High Growth Momentum
Growth
EPS 1Y (TTM)77.8%
EPS 3Y16.47%
EPS 5Y48.07%
EPS Q2Q%253.74%
EPS Next Y146.76%
EPS Next 2Y70.64%
EPS Next 3Y31.16%
EPS Next 5YN/A
Revenue 1Y (TTM)15.57%
Revenue growth 3Y7.43%
Revenue growth 5Y11.88%
Sales Q2Q%37.74%
Revenue Next Year49.75%
Revenue Next 2Y32.32%
Revenue Next 3Y15.98%
Revenue Next 5YN/A
EBIT growth 1Y34.45%
EBIT growth 3Y9.01%
EBIT growth 5Y20.36%
EBIT Next Year121.73%
EBIT Next 3Y32.08%
EBIT Next 5YN/A
FCF growth 1Y202.97%
FCF growth 3Y43.53%
FCF growth 5Y12.47%
OCF growth 1Y34.73%
OCF growth 3Y9.32%
OCF growth 5Y13.72%