Essential Guide for Gold Fields Investors

It hasn't been a great morning session for Gold Fields investors, who have watched their shares sink by -4.4% to a price of $16.88. Some of you might be wondering if it's time to buy the dip. If you are considering this, make sure to check the company's fundamentals first to determine if the shares are fairly valued at today's prices.

Gold Fields's P/B and P/E Ratios Are Higher Than Average:

Gold Fields Limited operates as a gold producer with reserves and resources in Chile, South Africa, Ghana, Canada, Australia, and Peru. The company belongs to the Basic Materials sector, which has an average price to earnings (P/E) ratio of 16.53 and an average price to book (P/B) ratio of 2.07. In contrast, Gold Fields has a trailing 12 month P/E ratio of 21.4 and a P/B ratio of 3.37.

Gold Fields has moved 14.5% over the last year compared to 20.1% for the S&P 500 — a difference of -5.5%. Gold Fields has a 52 week high of $18.97 and a 52 week low of $10.31.

Growing Revenues With No Capital Eexpenditures:

2017 2018 2019 2020 2021 2022
Revenue (M) $2,762 $2,578 $2,967 $3,892 $4,195 $4,287
Gross Margins 24% 21% 31% 45% 43% 39%
Net Margins -1% -14% 5% 19% 19% 17%
Net Income (M) -$19 -$348 $162 $723 $789 $711
Earnings Per Share n/a -$0.42 $0.19 $0.81 $0.88 $0.78
Free Cash Flow (M) $732 $569 $232 $528 $142 $310
Total Debt (M) $1,588 $1,814 $1,161 $1,443 $1,078 $1,079
Current Ratio 1.3 1.73 0.78 1.89 7.21 7.05
The above analysis is intended for educational purposes only and was performed on the basis of publicly available data. It is not to be construed as a recommendation to buy or sell any security. Any buy, sell, or other recommendations mentioned in the article are direct quotations of consensus recommendations from the analysts covering the stock, and do not represent the opinions of Market Inference or its writers. Past performance, accounting data, and inferences about market position and corporate valuation are not reliable indicators of future price movements. Market Inference does not provide financial advice. Investors should conduct their own review and analysis of any company of interest before making an investment decision.