Gold miners earnings surge but valuations remain low
Key Questions
How are gold miner earnings and valuations trending?
Earnings and free cash flow are booming while multiples remain low, with Barrick trading at a 10.2x P/E. This undervaluation theme is reinforced by Steve Cohen's GDX bet and ASX crash.
What analyst targets have been set for AngloGold Ashanti?
Freedom Broker initiated coverage with a $114 target price, implying 39% upside, highlighting a fair value gap.
What buyback or index actions support the sector?
SSR Mining added a $500M buyback, Coeur was added to the S&P MidCap 400, and historical management restraint versus past overpaying M&A supports a resilience thesis.
Earnings/FCF boom vs low multiples. CDE up 9.6%, Electrum Group opens $8.6M position. Agnico record margins. Undervaluation theme reinforced by Barrick P/E 10.2x, Steve Cohen GDX bet, ASX crash. Avino DCF shows 41.7% undervaluation. AngloGold fair value gap; Freedom Broker initiates with $114 target (39% upside). SSR Mining added $500M buyback. Harmony Gold P/E 11.4 vs industry median 18. CDE added to S&P MidCap 400. Historical parallel: current management restraint vs past overpaying M&A reinforces resilience thesis.