Gold Fields Limited
Gold Fields Limited Fundamental Analysis
Gold Fields Limited (GFI) shows strong financial fundamentals with a PE ratio of 13.38, profit margin of 40.76%, and ROE of 49.28%. The company generates $8.9B in annual revenue with strong year-over-year growth of 15.57%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 80.3/100 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 GFI's fundamental strength across five key dimensions:
Efficiency Score
ExcellentGFI demonstrates superior asset utilization.
Valuation Score
ExcellentGFI trades at attractive valuation levels.
Growth Score
ExcellentGFI delivers strong and consistent growth momentum.
Financial Health Score
ExcellentGFI maintains a strong and stable balance sheet.
Profitability Score
ExcellentGFI achieves industry-leading margins.
Key Financial Metrics
Is GFI Expensive or Cheap?
P/E Ratio
GFI trades at 13.38 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, GFI's PEG of 0.15 indicates potential undervaluation.
Price to Book
The market values Gold Fields Limited at 5.68 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 8.71 times EBITDA. This is generally considered low.
How Well Does GFI Make Money?
Net Profit Margin
For every $100 in sales, Gold Fields Limited keeps $40.76 as profit after all expenses.
Operating Margin
Core operations generate 49.38 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $49.28 in profit for every $100 of shareholder equity.
ROA
Gold Fields Limited generates $23.49 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Gold Fields Limited generates strong operating cash flow of $4.59B, reflecting robust business health.
Free Cash Flow
Gold Fields Limited generates strong free cash flow of $3.15B, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $3.52 in free cash annually.
FCF Yield
GFI converts 6.46% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
13.38
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.15
vs 25 benchmark
P/B Ratio
Price to book value ratio
5.68
vs 25 benchmark
P/S Ratio
Price to sales ratio
5.50
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.43
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.75
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.49
vs 25 benchmark
ROA
Return on assets percentage
0.23
vs 25 benchmark
ROCE
Return on capital employed
0.32
vs 25 benchmark
How GFI Stacks Against Its Sector Peers
| Metric | GFI Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 13.38 | 27.41 | Better (Cheaper) |
| ROE | 49.28% | 859.00% | Weak |
| Net Margin | 40.76% | -120873.00% (disorted) | Strong |
| Debt/Equity | 0.43 | 0.51 | Neutral |
| Current Ratio | 1.75 | 4.80 | Neutral |
| ROA | 23.49% | -3590.00% (disorted) | Strong |
GFI outperforms its industry in 3 out of 6 key metrics, particularly excelling in Net Margin, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Gold Fields Limited's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
61.98%
Industry Style: Cyclical, Commodity, Value
High GrowthEPS CAGR
611.86%
Industry Style: Cyclical, Commodity, Value
High GrowthFCF CAGR
66.33%
Industry Style: Cyclical, Commodity, Value
High Growth