HARMONY GOLD MNG-SPON ADR (HMY) Stock Fundamental Analysis
NYSE:HMY - New York Stock Exchange, Inc. - US4132163001 - ADR - Currency: USD
We assign a fundamental rating of 7 out of 10 to HMY. HMY was compared to 154 industry peers in the Metals & Mining industry. HMY gets an excellent profitability rating and is at the same time showing great financial health properties. HMY scores decently on growth, while it is valued quite cheap. This could make an interesting combination. These ratings would make HMY suitable for value and quality investing!
1. Profitability
1.1 Basic Checks
HMY had positive earnings in the past year.
HMY had a positive operating cash flow in the past year.
In multiple years HMY reported negative net income over the last 5 years.
HMY had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of HMY (14.20%) is better than 92.52% of its industry peers.
The Return On Equity of HMY (21.06%) is better than 93.20% of its industry peers.
HMY has a Return On Invested Capital of 19.48%. This is amongst the best in the industry. HMY outperforms 97.28% of its industry peers.
The Average Return On Invested Capital over the past 3 years for HMY is above the industry average of 8.76%.
The 3 year average ROIC (12.70%) for HMY is below the current ROIC(19.48%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 14.2% | ||
| ROE | 21.06% | ||
| ROIC | 19.48% |
ROA(3y)6.79%
ROA(5y)5.77%
ROE(3y)10.48%
ROE(5y)8.8%
ROIC(3y)12.7%
ROIC(5y)10.76%
1.3 Margins
HMY has a Profit Margin of 13.99%. This is amongst the best in the industry. HMY outperforms 85.03% of its industry peers.
In the last couple of years the Profit Margin of HMY has grown nicely.
HMY has a better Operating Margin (22.82%) than 81.63% of its industry peers.
In the last couple of years the Operating Margin of HMY has grown nicely.
HMY has a Gross Margin of 27.74%. This is in the better half of the industry: HMY outperforms 67.35% of its industry peers.
In the last couple of years the Gross Margin of HMY has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 22.82% | ||
| PM (TTM) | 13.99% | ||
| GM | 27.74% |
OM growth 3Y13.59%
OM growth 5Y39.42%
PM growth 3Y4.7%
PM growth 5YN/A
GM growth 3Y14.56%
GM growth 5Y27.88%
2. Health
2.1 Basic Checks
HMY has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
The number of shares outstanding for HMY has been increased compared to 1 year ago.
The number of shares outstanding for HMY has been increased compared to 5 years ago.
The debt/assets ratio for HMY has been reduced compared to a year ago.
2.2 Solvency
HMY has an Altman-Z score of 5.76. This indicates that HMY is financially healthy and has little risk of bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 5.76, HMY is in the better half of the industry, outperforming 72.79% of the companies in the same industry.
The Debt to FCF ratio of HMY is 0.25, which is an excellent value as it means it would take HMY, only 0.25 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of HMY (0.25) is better than 92.52% of its industry peers.
A Debt/Equity ratio of 0.04 indicates that HMY is not too dependend on debt financing.
With a decent Debt to Equity ratio value of 0.04, HMY is doing good in the industry, outperforming 67.35% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.04 | ||
| Debt/FCF | 0.25 | ||
| Altman-Z | 5.76 |
ROIC/WACC1.16
WACC16.73%
2.3 Liquidity
A Current Ratio of 1.56 indicates that HMY should not have too much problems paying its short term obligations.
The Current ratio of HMY (1.56) is worse than 72.11% of its industry peers.
HMY has a Quick Ratio of 1.07. This is a normal value and indicates that HMY is financially healthy and should not expect problems in meeting its short term obligations.
The Quick ratio of HMY (1.07) is worse than 65.99% of its industry peers.
The current and quick ratio evaluation for HMY is rather negative, while it does have excellent solvency and profitability. These ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.56 | ||
| Quick Ratio | 1.07 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 75.94% over the past year.
The Earnings Per Share has been growing by 18.22% on average over the past years. This is quite good.
HMY shows a strong growth in Revenue. In the last year, the Revenue has grown by 24.56%.
The Revenue has been growing by 17.93% on average over the past years. This is quite good.
EPS 1Y (TTM)75.94%
EPS 3Y18.22%
EPS 5YN/A
EPS Q2Q%-13.45%
Revenue 1Y (TTM)24.56%
Revenue growth 3Y13.72%
Revenue growth 5Y17.93%
Sales Q2Q%15.18%
3.2 Future
The Earnings Per Share is expected to grow by 15.04% on average over the next years. This is quite good.
HMY is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.97% yearly.
EPS Next Y37.18%
EPS Next 2Y16.09%
EPS Next 3Y15.04%
EPS Next 5YN/A
Revenue Next Year12.18%
Revenue Next 2Y8.72%
Revenue Next 3Y4.97%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 13.94, HMY is valued correctly.
Based on the Price/Earnings ratio, HMY is valued a bit cheaper than 77.55% of the companies in the same industry.
HMY is valuated cheaply when we compare the Price/Earnings ratio to 28.19, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 7.86 indicates a rather cheap valuation of HMY.
Based on the Price/Forward Earnings ratio, HMY is valued cheaper than 84.35% of the companies in the same industry.
HMY's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 24.37.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.94 | ||
| Fwd PE | 7.86 |
4.2 Price Multiples
HMY's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. HMY is cheaper than 76.19% of the companies in the same industry.
HMY's Price/Free Cash Flow ratio is rather cheap when compared to the industry. HMY is cheaper than 80.27% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 16.84 | ||
| EV/EBITDA | 6.39 |
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 HMY may justify a higher PE ratio.
A more expensive valuation may be justified as HMY's earnings are expected to grow with 15.04% in the coming years.
PEG (NY)0.37
PEG (5Y)N/A
EPS Next 2Y16.09%
EPS Next 3Y15.04%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.30%, HMY has a reasonable but not impressive dividend return.
HMY's Dividend Yield is a higher than the industry average which is at 3.21.
Compared to an average S&P500 Dividend Yield of 2.28, HMY's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.3% |
5.2 History
The dividend of HMY is nicely growing with an annual growth rate of 47.94%!
HMY has paid a dividend for at least 10 years, which is a reliable track record.
The dividend of HMY decreased in the last 3 years.
Dividend Growth(5Y)47.94%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
HMY pays out 16.73% of its income as dividend. This is a sustainable payout ratio.
HMY's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP16.73%
EPS Next 2Y16.09%
EPS Next 3Y15.04%
HARMONY GOLD MNG-SPON ADR
NYSE:HMY (1/23/2025, 12:28:06 PM)
10.455
+0.01 (+0.05%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryMetals & Mining
Earnings (Last)
Earnings (Next)
Inst Owners59.19%
Inst Owner Change0.2%
Ins Owners0.13%
Ins Owner ChangeN/A
Market Cap6.61B
Analysts47.14
Price Target8.87 (-15.16%)
Short Float %1.73%
Short Ratio1.85
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.3% |
Yearly Dividend2.32
Dividend Growth(5Y)47.94%
DP16.73%
Div Incr Years2
Div Non Decr Years2
Ex-DateN/A
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)-1.95%
PT rev (3m)2.34%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)-0.62%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0.97%
Revenue NY rev (3m)2.91%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.94 | ||
| Fwd PE | 7.86 | ||
| P/S | 1.99 | ||
| P/FCF | 16.84 | ||
| P/OCF | 7.81 | ||
| P/B | 3 | ||
| P/tB | 3 | ||
| EV/EBITDA | 6.39 |
EPS(TTM)0.75
EY7.17%
EPS(NY)1.33
Fwd EY12.73%
FCF(TTM)0.62
FCFY5.94%
OCF(TTM)1.34
OCFY12.81%
SpS5.25
BVpS3.49
TBVpS3.49
PEG (NY)0.37
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 14.2% | ||
| ROE | 21.06% | ||
| ROCE | 26.37% | ||
| ROIC | 19.48% | ||
| ROICexc | 21.37% | ||
| ROICexgc | 21.38% | ||
| OM | 22.82% | ||
| PM (TTM) | 13.99% | ||
| GM | 27.74% | ||
| FCFM | 11.82% |
ROA(3y)6.79%
ROA(5y)5.77%
ROE(3y)10.48%
ROE(5y)8.8%
ROIC(3y)12.7%
ROIC(5y)10.76%
ROICexc(3y)13.71%
ROICexc(5y)11.71%
ROICexgc(3y)13.72%
ROICexgc(5y)11.76%
ROCE(3y)17.19%
ROCE(5y)14.57%
ROICexcg growth 3Y21.3%
ROICexcg growth 5Y51.35%
ROICexc growth 3Y21.65%
ROICexc growth 5Y51.84%
OM growth 3Y13.59%
OM growth 5Y39.42%
PM growth 3Y4.7%
PM growth 5YN/A
GM growth 3Y14.56%
GM growth 5Y27.88%
F-Score8
Asset Turnover1.02
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.04 | ||
| Debt/FCF | 0.25 | ||
| Debt/EBITDA | 0.1 | ||
| Cap/Depr | 180.91% | ||
| Cap/Sales | 13.68% | ||
| Interest Coverage | 27.62 | ||
| Cash Conversion | 83.93% | ||
| Profit Quality | 84.45% | ||
| Current Ratio | 1.56 | ||
| Quick Ratio | 1.07 | ||
| Altman-Z | 5.76 |
F-Score8
WACC16.73%
ROIC/WACC1.16
Cap/Depr(3y)190.28%
Cap/Depr(5y)161.27%
Cap/Sales(3y)14.59%
Cap/Sales(5y)13.68%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)75.94%
EPS 3Y18.22%
EPS 5YN/A
EPS Q2Q%-13.45%
EPS Next Y37.18%
EPS Next 2Y16.09%
EPS Next 3Y15.04%
EPS Next 5YN/A
Revenue 1Y (TTM)24.56%
Revenue growth 3Y13.72%
Revenue growth 5Y17.93%
Sales Q2Q%15.18%
Revenue Next Year12.18%
Revenue Next 2Y8.72%
Revenue Next 3Y4.97%
Revenue Next 5YN/A
EBIT growth 1Y76.14%
EBIT growth 3Y29.18%
EBIT growth 5Y64.42%
EBIT Next Year61.79%
EBIT Next 3Y18.75%
EBIT Next 5YN/A
FCF growth 1Y214.21%
FCF growth 3Y21.56%
FCF growth 5YN/A
OCF growth 1Y57.32%
OCF growth 3Y19.46%
OCF growth 5Y27.31%