Gold Fields Limited

LSE:0IYR Stock Report

Market Cap: US$13.9b

Gold Fields Valuation

Is 0IYR undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

4/6

Valuation Score 4/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of 0IYR when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 0IYR ($15.28) is trading below our estimate of fair value ($26.78)

Significantly Below Fair Value: 0IYR is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 0IYR?

Key metric: As 0IYR is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 0IYR. This is calculated by dividing 0IYR's market cap by their current earnings.
What is 0IYR's PE Ratio?
PE Ratio20.7x
EarningsUS$670.70m
Market CapUS$13.91b

Price to Earnings Ratio vs Peers

How does 0IYR's PE Ratio compare to its peers?

The above table shows the PE ratio for 0IYR vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average28.4x
CEY Centamin
25.5x21.7%UK£1.7b
HOC Hochschild Mining
49.4x53.0%UK£1.2b
PAF Pan African Resources
11.6x27.2%UK£735.0m
ANTO Antofagasta
26.9x18.3%UK£16.4b
0IYR Gold Fields
20.7x39.4%US$252.1b

Price-To-Earnings vs Peers: 0IYR is good value based on its Price-To-Earnings Ratio (20.7x) compared to the peer average (28.4x).

Price to Earnings Ratio vs Industry

How does 0IYR's PE Ratio compare vs other companies in the GB Metals and Mining Industry?

9 CompaniesPrice / EarningsEstimated GrowthMarket Cap
ENPL En+ Group International
2.2x8.0%US$4.67b
NLMK Novolipetsk Steel
0.8xn/aUS$4.08b
EVR EVRAZ
0.4xn/aUS$1.42b
MTL Metals Exploration
0.9x-60.3%US$124.52m
0IYR 20.7xIndustry Avg. 10.3xNo. of Companies9PE01020304050+
9 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: 0IYR is expensive based on its Price-To-Earnings Ratio (20.7x) compared to the UK Metals and Mining industry average (10.3x).

Price to Earnings Ratio vs Fair Ratio

What is 0IYR's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

0IYR PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio20.7x
Fair PE Ratio37.5x

Price-To-Earnings vs Fair Ratio: 0IYR is good value based on its Price-To-Earnings Ratio (20.7x) compared to the estimated Fair Price-To-Earnings Ratio (37.5x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Insufficient data to show price forecast.

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