- Analysts project a 118% year-over-year increase in earnings for NYSE:AU, with an earnings per share forecast of $1.31.
- The company’s performance is buoyed by elevated gold prices and strong production levels, particularly from the Sukari mine.
- Despite a history of earnings surprises, AngloGold Ashanti’s financial ratios such as the P/E ratio of 17.19 and a debt-to-equity ratio of 0.33 indicate a stable financial position.
AngloGold Ashanti, trading as NYSE:AU, is a prominent player in the gold mining industry. The company is set to release its quarterly earnings on August 1, 2025. Analysts expect earnings per share to be $1.31, with projected revenue of approximately $2.32 billion. This release is highly anticipated, given the company’s recent performance and market conditions.
The expected increase in earnings is largely attributed to elevated gold prices and strong production levels. Analysts project a 118% year-over-year increase in earnings, with the Zacks Consensus Estimate for AU’s earnings rising by 2% over the past month to $1.31 per share. The Sukari mine, contributing 117,000 ounces in the first quarter, is expected to further boost second-quarter results.
Despite the positive outlook, an earnings beat remains uncertain. The company has a history of a trailing four-quarter negative earnings surprise averaging 8.26%. However, AngloGold Ashanti has managed to maintain tight control over its cash costs, with only a 1% increase over four years, outperforming many of its major gold mining peers.
Financially, AU has a price-to-earnings (P/E) ratio of approximately 17.19, indicating the price investors are willing to pay for each dollar of earnings. Its price-to-sales ratio is about 3.25, reflecting the value placed on each dollar of the company’s sales. The enterprise value to sales ratio is around 3.34, suggesting the company’s total value relative to its sales.
The enterprise value to operating cash flow ratio is approximately 9.64, showing how the company’s valuation compares to its cash flow from operations. With an earnings yield of 5.82%, AU offers a return on investment relative to its share price. The debt-to-equity ratio is 0.33, indicating a relatively low level of debt compared to equity. Additionally, the current ratio is 2.34, suggesting the company has a strong ability to cover its short-term liabilities with its short-term assets.
