AngloGold Ashanti Plc
AngloGold Ashanti Plc Fundamental Analysis
AngloGold Ashanti Plc (AU) shows strong financial fundamentals with a PE ratio of 25.70, profit margin of 26.25%, and ROE of 31.58%. The company generates $8.5B in annual revenue with strong year-over-year growth of 26.43%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 89.5/100 based on profitability, valuation, growth, and balance sheet metrics. The B+ grade reflects solid fundamentals with room for improvement in valuation or growth.
Fundamental Health Score
We analyze AU's fundamental strength across five key dimensions:
Efficiency Score
ExcellentAU demonstrates superior asset utilization.
Valuation Score
ModerateAU shows balanced valuation metrics.
Growth Score
ModerateAU shows steady but slowing expansion.
Financial Health Score
ExcellentAU maintains a strong and stable balance sheet.
Profitability Score
ExcellentAU achieves industry-leading margins.
Key Financial Metrics
Is AU Expensive or Cheap?
P/E Ratio
AU trades at 25.70 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, AU's PEG of 1.22 indicates fair valuation.
Price to Book
The market values AngloGold Ashanti Plc at 7.52 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 15.51 times EBITDA. This signals the market has high growth expectations.
How Well Does AU Make Money?
Net Profit Margin
For every $100 in sales, AngloGold Ashanti Plc keeps $26.25 as profit after all expenses.
Operating Margin
Core operations generate 39.84 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $31.58 in profit for every $100 of shareholder equity.
ROA
AngloGold Ashanti Plc generates $15.17 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
AngloGold Ashanti Plc generates strong operating cash flow of $3.84B, reflecting robust business health.
Free Cash Flow
AngloGold Ashanti Plc generates strong free cash flow of $2.51B, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $4.98 in free cash annually.
FCF Yield
AU converts 4.38% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
25.70
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
1.22
vs 25 benchmark
P/B Ratio
Price to book value ratio
7.52
vs 25 benchmark
P/S Ratio
Price to sales ratio
6.72
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.30
vs 25 benchmark
Current Ratio
Current assets to current liabilities
2.58
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.32
vs 25 benchmark
ROA
Return on assets percentage
0.15
vs 25 benchmark
ROCE
Return on capital employed
0.26
vs 25 benchmark
How AU Stacks Against Its Sector Peers
| Metric | AU Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 25.70 | 27.41 | Neutral |
| ROE | 31.58% | 859.00% | Weak |
| Net Margin | 26.25% | -120873.00% (disorted) | Strong |
| Debt/Equity | 0.30 | 0.51 | Strong (Low Leverage) |
| Current Ratio | 2.58 | 4.80 | Strong Liquidity |
| ROA | 15.17% | -3590.00% (disorted) | Strong |
AU outperforms its industry in 4 out of 6 key metrics, particularly excelling in Net Margin, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews AngloGold Ashanti Plc's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
59.84%
Industry Style: Cyclical, Commodity, Value
High GrowthEPS CAGR
168.27%
Industry Style: Cyclical, Commodity, Value
High GrowthFCF CAGR
82.82%
Industry Style: Cyclical, Commodity, Value
High Growth