Eldorado Gold Corporation
Eldorado Gold Corporation Fundamental Analysis
Eldorado Gold Corporation (EGO) shows moderate financial fundamentals with a PE ratio of 23.72, profit margin of 22.17%, and ROE of 9.22%. The company generates $1.7B in annual revenue with strong year-over-year growth of 31.14%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 70.3/100 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 EGO's fundamental strength across five key dimensions:
Efficiency Score
WeakEGO struggles to generate sufficient returns from assets.
Valuation Score
ExcellentEGO trades at attractive valuation levels.
Growth Score
ModerateEGO shows steady but slowing expansion.
Financial Health Score
ExcellentEGO maintains a strong and stable balance sheet.
Profitability Score
WeakEGO struggles to sustain strong margins.
Key Financial Metrics
Is EGO Expensive or Cheap?
P/E Ratio
EGO trades at 23.72 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, EGO's PEG of -2.38 indicates potential undervaluation.
Price to Book
The market values Eldorado Gold Corporation at 2.15 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 11.06 times EBITDA. This signals the market has high growth expectations.
How Well Does EGO Make Money?
Net Profit Margin
For every $100 in sales, Eldorado Gold Corporation keeps $22.17 as profit after all expenses.
Operating Margin
Core operations generate 37.64 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $9.22 in profit for every $100 of shareholder equity.
ROA
Eldorado Gold Corporation generates $5.72 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Eldorado Gold Corporation generates strong operating cash flow of $663.30M, reflecting robust business health.
Free Cash Flow
Eldorado Gold Corporation generates weak or negative free cash flow of $-109.35M, restricting financial flexibility.
FCF Per Share
Each share generates $-0.54 in free cash annually.
FCF Yield
EGO converts -1.26% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
23.72
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-2.38
vs 25 benchmark
P/B Ratio
Price to book value ratio
2.15
vs 25 benchmark
P/S Ratio
Price to sales ratio
5.24
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.31
vs 25 benchmark
Current Ratio
Current assets to current liabilities
2.79
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.09
vs 25 benchmark
ROA
Return on assets percentage
0.06
vs 25 benchmark
ROCE
Return on capital employed
0.11
vs 25 benchmark
How EGO Stacks Against Its Sector Peers
| Metric | EGO Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 23.72 | 27.41 | Better (Cheaper) |
| ROE | 9.22% | 859.00% | Weak |
| Net Margin | 22.17% | -120873.00% (disorted) | Strong |
| Debt/Equity | 0.31 | 0.51 | Strong (Low Leverage) |
| Current Ratio | 2.79 | 4.80 | Strong Liquidity |
| ROA | 5.72% | -3590.00% (disorted) | Weak |
EGO 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 Eldorado Gold Corporation's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
67.23%
Industry Style: Cyclical, Commodity, Value
High GrowthEPS CAGR
179.40%
Industry Style: Cyclical, Commodity, Value
High GrowthFCF CAGR
203.03%
Industry Style: Cyclical, Commodity, Value
High Growth