GOLD FIELDS LTD-SPONS ADR (GFI) Stock Fundamental Analysis
NYSE:GFI - New York Stock Exchange, Inc. - US38059T1060 - ADR - Currency: USD
We assign a fundamental rating of 7 out of 10 to GFI. GFI was compared to 153 industry peers in the Metals & Mining industry. GFI has an excellent profitability rating, but there are some minor concerns on its financial health. An interesting combination arises when we look at growth and value: GFI is growing strongly while it also seems undervalued.
1. Profitability
1.1 Basic Checks
GFI had positive earnings in the past year.
GFI had a positive operating cash flow in the past year.
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
With an excellent Return On Assets value of 12.27%, GFI belongs to the best of the industry, outperforming 90.85% of the companies in the same industry.
Looking at the Return On Equity, with a value of 23.94%, GFI belongs to the top of the industry, outperforming 94.12% of the companies in the same industry.
GFI has a better Return On Invested Capital (17.69%) than 96.73% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for GFI is significantly above the industry average of 8.57%.
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
The Profit Margin of GFI (23.93%) is better than 92.16% of its industry peers.
In the last couple of years the Profit Margin of GFI has grown nicely.
Looking at the Operating Margin, with a value of 45.33%, GFI belongs to the top of the industry, outperforming 95.42% of the companies in the same industry.
GFI's Operating Margin has improved in the last couple of years.
With an excellent Gross Margin value of 45.33%, GFI belongs to the best of the industry, outperforming 86.27% of the companies in the same industry.
In the last couple of years the Gross Margin of GFI has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 45.33% | ||
| PM (TTM) | 23.93% | ||
| GM | 45.33% |
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.
The number of shares outstanding for GFI has been increased compared to 5 years ago.
Compared to 1 year ago, GFI has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 4.21 indicates that GFI is not in any danger for bankruptcy at the moment.
The Altman-Z score of GFI (4.21) is better than 69.28% 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 has a Debt to FCF ratio of 7.04. This is in the better half of the industry: GFI outperforms 66.67% 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.
Looking at the Debt to Equity ratio, with a value of 0.41, GFI is doing worse than 69.28% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.41 | ||
| Debt/FCF | 7.04 | ||
| Altman-Z | 4.21 |
ROIC/WACC1.11
WACC15.87%
2.3 Liquidity
A Current Ratio of 1.13 indicates that GFI should not have too much problems paying its short term obligations.
With a Current ratio value of 1.13, GFI is not doing good in the industry: 80.39% of the companies in the same industry are doing better.
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 79.74% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.13 | ||
| Quick Ratio | 0.72 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 77.80% over the past year.
The Earnings Per Share has been growing by 48.07% on average over the past years. This is a very strong growth
GFI shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 15.57%.
The Revenue has been growing by 11.88% on average over the past years. This is quite good.
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
The Earnings Per Share is expected to grow by 27.09% on average over the next years. This is a very strong growth
The Revenue is expected to grow by 13.01% on average over the next years. This is quite good.
EPS Next Y110.74%
EPS Next 2Y56.12%
EPS Next 3Y27.09%
EPS Next 5YN/A
Revenue Next Year41.19%
Revenue Next 2Y26.56%
Revenue Next 3Y13.01%
Revenue Next 5YN/A
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past 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 stable.
4. Valuation
4.1 Price/Earnings Ratio
GFI is valuated correctly with a Price/Earnings ratio of 15.68.
Based on the Price/Earnings ratio, GFI is valued cheaper than 82.35% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 28.79. GFI is valued slightly cheaper when compared to this.
A Price/Forward Earnings ratio of 8.09 indicates a reasonable valuation of GFI.
Based on the Price/Forward Earnings ratio, GFI is valued cheaply inside the industry as 93.46% of the companies are valued more expensively.
The average S&P500 Price/Forward Earnings ratio is at 21.38. GFI is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.68 | ||
| Fwd PE | 8.09 |
4.2 Price Multiples
GFI's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. GFI is cheaper than 75.82% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, GFI is valued a bit cheaper than 65.36% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 46.63 | ||
| EV/EBITDA | 7.23 |
4.3 Compensation for Growth
GFI'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 GFI may justify a higher PE ratio.
GFI's earnings are expected to grow with 27.09% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.14
PEG (5Y)0.33
EPS Next 2Y56.12%
EPS Next 3Y27.09%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.38%, GFI has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 2.94, GFI pays a better dividend. On top of this GFI pays more dividend than 82.35% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.47, GFI has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.38% |
5.2 History
On average, the dividend of GFI grows each year by 56.48%, which is quite nice.
GFI has paid a dividend for at least 10 years, which is a reliable track record.
The dividend of GFI decreased recently.
Dividend Growth(5Y)56.48%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
GFI's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DPN/A
EPS Next 2Y56.12%
EPS Next 3Y27.09%
21.8
-0.62 (-2.77%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryMetals & Mining
Earnings (Last)
Earnings (Next)
Inst Owners61.53%
Inst Owner Change0.18%
Ins Owners0.09%
Ins Owner ChangeN/A
Market Cap19.51B
Analysts74.55
Price Target21.01 (-3.62%)
Short Float %0.59%
Short Ratio1.23
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.38% |
Yearly DividendN/A
Dividend Growth(5Y)56.48%
DPN/A
Div Incr Years1
Div Non Decr Years1
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)19.03%
PT rev (3m)35.29%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)68.03%
EPS NY rev (3m)22.61%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)7.57%
Revenue NY rev (3m)12.85%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.68 | ||
| Fwd PE | 8.09 | ||
| P/S | 3.75 | ||
| P/FCF | 46.63 | ||
| P/OCF | 12.14 | ||
| P/B | 3.75 | ||
| P/tB | 3.75 | ||
| EV/EBITDA | 7.23 |
EPS(TTM)1.39
EY6.38%
EPS(NY)2.7
Fwd EY12.36%
FCF(TTM)0.47
FCFY2.14%
OCF(TTM)1.8
OCFY8.24%
SpS5.81
BVpS5.81
TBVpS5.81
PEG (NY)0.14
PEG (5Y)0.33
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 | 45.33% | ||
| 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 | 4.21 |
F-Score5
WACC15.87%
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 Y110.74%
EPS Next 2Y56.12%
EPS Next 3Y27.09%
EPS Next 5YN/A
Revenue 1Y (TTM)15.57%
Revenue growth 3Y7.43%
Revenue growth 5Y11.88%
Sales Q2Q%37.74%
Revenue Next Year41.19%
Revenue Next 2Y26.56%
Revenue Next 3Y13.01%
Revenue Next 5YN/A
EBIT growth 1Y34.45%
EBIT growth 3Y9.01%
EBIT growth 5Y20.36%
EBIT Next Year114.55%
EBIT Next 3Y33.19%
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%