For those who appreciate growth without the sticker shock, ALAMOS GOLD INC-CLASS A (NYSE:AGI) is worth considering.

ALAMOS GOLD INC-CLASS A (NYSE:AGI) has caught the eye of our stock screener as an affordable growth stock. NYSE:AGI is displaying robust growth metrics and also excels in terms of profitability, solvency, and liquidity. Additionally, it appears to be reasonably priced. Let's delve into the details.

A Closer Look at Growth for NYSE:AGI

ChartMill assigns a proprietary Growth Rating to each stock. The score is computed by evaluating various growth aspects, like EPS and revenue growth. We take into account the history as well as the estimated future numbers. NYSE:AGI was assigned a score of 9 for growth:

• AGI shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 52.83%, 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
• AGI shows a strong growth in Revenue. In the last year, the Revenue has grown by 31.62%.
• The Revenue has been growing by 9.44% on average over the past years. This is quite good.
• Based on estimates for the next years, AGI will show a very strong growth in Earnings Per Share. The EPS will grow by 33.20% on average per year.
• AGI is expected to show a strong growth in Revenue. In the coming years, the Revenue will grow by 20.15% yearly.
• The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.

Looking at the Valuation

ChartMill assigns a proprietary Valuation Rating to each stock. The score is computed by evaluating various valuation aspects, like price to earnings and free cash flow, both absolutely as relative to the market and industry. NYSE:AGI was assigned a score of 5 for valuation:

• AGI's Price/Earnings ratio is a bit cheaper when compared to the industry. AGI is cheaper than 64.00% of the companies in the same industry.
• AGI's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. AGI is cheaper than 62.67% of the companies in the same industry.
• Based on the Price/Free Cash Flow ratio, AGI is valued a bit cheaper than 70.67% of the companies in the same industry.
• The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
• AGI has a very decent profitability rating, which may justify a higher PE ratio.
• AGI's earnings are expected to grow with 35.43% in the coming years. This may justify a more expensive valuation.

How do we evaluate the Health for NYSE:AGI?

ChartMill assigns a proprietary Health Rating to each stock. The score is computed by evaluating various liquidity and solvency ratios and ranges from 0 to 10. NYSE:AGI was assigned a score of 5 for health:

• AGI has an Altman-Z score of 3.89. This indicates that AGI is financially healthy and has little risk of bankruptcy at the moment.
• AGI has a better Altman-Z score (3.89) than 67.33% of its industry peers.
• The Debt to FCF ratio of AGI is 1.18, which is an excellent value as it means it would take AGI, only 1.18 years of fcf income to pay off all of its debts.
• Looking at the Debt to FCF ratio, with a value of 1.18, AGI belongs to the top of the industry, outperforming 87.33% of the companies in the same industry.
• A Debt/Equity ratio of 0.08 indicates that AGI is not too dependend on debt financing.
• AGI has a Debt to Equity ratio of 0.08. This is in the better half of the industry: AGI outperforms 68.00% of its industry peers.

Profitability Insights: NYSE:AGI

ChartMill utilizes a Profitability Rating to assess stocks, scoring them on a scale of 0 to 10. This rating takes into account a variety of profitability ratios and margins, both in absolute terms and in comparison to industry peers. NYSE:AGI has earned a 7 out of 10:

• AGI's Return On Assets of 5.33% is fine compared to the rest of the industry. AGI outperforms 76.67% of its industry peers.
• With a decent Return On Equity value of 7.93%, AGI is doing good in the industry, outperforming 72.67% of the companies in the same industry.
• Looking at the Return On Invested Capital, with a value of 6.59%, AGI is in the better half of the industry, outperforming 72.00% of the companies in the same industry.
• The last Return On Invested Capital (6.59%) for AGI is above the 3 year average (5.13%), which is a sign of increasing profitability.
• AGI has a better Profit Margin (21.11%) than 90.67% of its industry peers.
• In the last couple of years the Profit Margin of AGI has grown nicely.
• With an excellent Operating Margin value of 37.48%, AGI belongs to the best of the industry, outperforming 93.33% of the companies in the same industry.
• In the last couple of years the Operating Margin of AGI has grown nicely.
• AGI's Gross Margin of 44.23% is amongst the best of the industry. AGI outperforms 87.33% of its industry peers.

Every day, new Affordable Growth stocks can be found on ChartMill in our Affordable Growth screener.

Our latest full fundamental report of AGI contains the most current fundamental analsysis.

Disclaimer

Important Note: The content of this article is not intended as trading advice. It is essential to perform your own analysis and exercise caution when making trading decisions. The article presents observations created by automated analysis but does not guarantee any trading or investment outcomes. Always trade responsibly and make independent judgments.