Don't overlook NYSE:AGI—a stock with solid growth prospects and a reasonable valuation.

Last update: Sep 13, 2024

Take a closer look at ALAMOS GOLD INC-CLASS A (NYSE:AGI), an affordable growth stock uncovered by our stock screener. NYSE:AGI boasts strong growth prospects and excels in financial health indicators, all while maintaining a reasonable valuation. Let's break it down further.

Assessing Growth for NYSE:AGI

ChartMill assigns a Growth Rating to every stock. This score ranges from 0 to 10 and evaluates the different growth aspects like EPS and Revenue, both in the past as in the future. NYSE:AGI scores a 8 out of 10:

AGI shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 46.51%, which is quite impressive.
The Earnings Per Share has been growing by 60.35% on average over the past years. This is a very strong growth
The Revenue has grown by 17.01% in the past year. This is quite good.
Measured over the past years, AGI shows a quite strong growth in Revenue. The Revenue has been growing by 9.44% on average per year.
AGI is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 27.38% yearly.
Based on estimates for the next years, AGI will show a quite strong growth in Revenue. The Revenue will grow by 13.43% on average per year.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.

Assessing Valuation for NYSE:AGI

ChartMill provides a Valuation Rating to every stock, ranging from 0 to 10. This rating assesses various valuation aspects, comparing price to earnings and cash flows, while considering factors like profitability and growth. NYSE:AGI boasts a 5 out of 10:

Based on the Price/Free Cash Flow ratio, AGI is valued a bit cheaper than the industry average as 63.06% of the companies are valued more expensively.
AGI's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The excellent profitability rating of AGI may justify a higher PE ratio.
A more expensive valuation may be justified as AGI's earnings are expected to grow with 22.09% in the coming years.

Health Insights: NYSE:AGI

ChartMill assigns a Health Rating to every stock. This score ranges from 0 to 10 and evaluates the different health aspects like liquidity and solvency, both absolutely, but also relative to the industry peers. NYSE:AGI scores a 7 out of 10:

AGI has an Altman-Z score of 5.01. This indicates that AGI is financially healthy and has little risk of bankruptcy at the moment.
AGI has a better Altman-Z score (5.01) than 71.34% of its industry peers.
AGI has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
A Current Ratio of 3.04 indicates that AGI has no problem at all paying its short term obligations.
With a decent Current ratio value of 3.04, AGI is doing good in the industry, outperforming 63.06% of the companies in the same industry.
AGI has a better Quick ratio (1.97) than 61.78% of its industry peers.

Understanding NYSE:AGI's Profitability

ChartMill assigns a proprietary Profitability Rating to each stock. The score is computed by evaluating various profitability ratios and margins and ranges from 0 to 10. NYSE:AGI was assigned a score of 8 for profitability:

AGI has a Return On Assets of 4.77%. This is in the better half of the industry: AGI outperforms 75.80% of its industry peers.
AGI's Return On Equity of 6.49% is fine compared to the rest of the industry. AGI outperforms 68.79% of its industry peers.
The Return On Invested Capital of AGI (7.50%) is better than 75.16% of its industry peers.
The last Return On Invested Capital (7.50%) for AGI is above the 3 year average (5.43%), which is a sign of increasing profitability.
AGI has a better Profit Margin (17.73%) than 91.08% of its industry peers.
AGI's Profit Margin has improved in the last couple of years.
The Operating Margin of AGI (33.43%) is better than 91.72% of its industry peers.
In the last couple of years the Operating Margin of AGI has grown nicely.
AGI has a better Gross Margin (58.01%) than 92.36% of its industry peers.
AGI's Gross Margin has improved in the last couple of years.

Our Affordable Growth screener lists more Affordable Growth stocks and is updated daily.

For an up to date full fundamental analysis you can check the fundamental report of AGI

Keep in mind

This article should in no way be interpreted as advice. The article is based on the observed metrics at the time of writing, but you should always make your own analysis and trade or invest at your own responsibility.