Gold Fields Limited (NYSE:GFI) has been downgraded by Morgan Stanley on January 31 which now rates the stock as Underweight compared with Equal-Weight rating suggested in the past. Analysts at HSBC Securities, shed their negative views on August 17 by lifting it fromHold to Buy. The stock won favor of BofA/Merrill analysts who expressed their confidence in it using an upgrade from Underperform to Buy on April 13. Morgan Stanley analysts came out with bullish views on March 20 when the call was made. They think the stock is now Equal-Weight compared to to their prior call for Underweight.
Gold Fields Limited (GFI) hit an intraday high Friday at $3.66. The shares finished at $3.62, after trading as low as $3.53 earlier in the session. It rose 0% in recent trade and currently has a stock-market value of $2.92B. Trading activity significantly improved as the volume at ready counter increased to 6,653,999 shares versus 4,753,975 in average daily trading volume over the past 20 days. So far this year, the volume has averaged about 4,713,352 shares. The stock is now 64.55% above against its bear-market low of $2.2 on September 11, 2018. It has retreated -18.51% since it’s 52-week high of $4.29 reached in March. Now the market price is down -11.27% on the year and up 2.84% YTD.
GFI’s 50 day simple moving average (SMA 50) price is $3.5 and its 200-day simple moving average (SMA 200) price is $3.25. The company’s stock currently has a total float of 723.1M shares. Its weekly volatility is hovering around 2.93% and felt 3.07% volatility in price over a month. On the upside, the share price will test short term resistance at around $3.68. On a downside, the stock is likely to find some support, which begins at $3.55. The failure to get near-term support could push it to $3.47.
Wall Street’s most bullish Gold Fields Limited (NYSE:GFI) analysts are predicting the share price to blow past $7.63 per share during the next 12 months. The current median share price forecast by them is $3.6, suggesting that the stock could increase -0.55% in that time frame. The average price target of $3.86 calls for a nearly 6.63% increase in the stock price.
Moreover, it trades for 17.24 times the next 12 months of expected earnings. Also, it is trading at rather expensive levels at just over 1.09x price/book and 1.04x price/sales. Compared to others, Gold Fields Limited is in a different league with regards to profitability, having net margins of -15.6%. To put some perspective around this, the industry’s average net margin is 4.27%. GFI’s ROE is -14.2%, which is also considerably worse than the industry’s ROE of 14.37%. It’s also very liquid in the near term, with a current ratio of 1.1. The stock has a debt/capital of 0.69.
Revenue for the recent quarter stood at -$20000, down -60% on last year and below the $30000 predicted by analysts. For this quarter, Wall Street analysts forecast revenue in a range of $2.74 billion to $3.03 billion, which should be compared with $3.31 billion generated last year. EPS is seen in a range of $166.67 to $0.05.