AU - AngloGold Ashanti Limited

NYSE - NYSE Delayed Price. Currency in USD
17.79
+0.07 (+0.40%)
At close: 4:02PM EDT
Stock chart is not supported by your current browser
Previous Close17.72
Open17.90
Bid17.75 x 800
Ask17.76 x 1000
Day's Range17.48 - 18.65
52 Week Range11.29 - 23.85
Volume3,348,165
Avg. Volume4,135,063
Market Cap7.388B
Beta (5Y Monthly)0.06
PE Ratio (TTM)N/A
EPS (TTM)-0.03
Earnings DateN/A
Forward Dividend & Yield0.09 (0.56%)
Ex-Dividend DateMar 11, 2020
1y Target Est21.74
  • Moody's

    Growthpoint Properties Limited -- Moody's takes rating actions on South African corporates following sovereign downgrade

    Rating Action: Moody's takes rating actions on South African corporates following sovereign downgrade. Global Credit Research- 04 Apr 2020. DIFC- Dubai, April 04, 2020-- Moody's Investors Service, has ...

  • Hedge Funds Were Selling AngloGold Ashanti Limited (AU)  Before The Coronavirus
    Insider Monkey

    Hedge Funds Were Selling AngloGold Ashanti Limited (AU) Before The Coronavirus

    Coronavirus is probably the 1 concern in investors' minds right now. It should be. On February 27th we published an article with the title Recession is Imminent: We Need A Travel Ban NOW. We predicted that a US recession is imminent and US stocks will go down by at least 20% in the next 3-6 […]

  • Reuters

    AngloGold Ashanti worker in Ghana tests positive for coronavirus

    A worker at AngloGold Ashanti's Obuasi gold mine in Ghana tested positive for coronavirus on Sunday, the mining company said, the second known case of the new virus at a mine site in Africa. AngloGold Ashanti said operations at the Obuasi mine, where gold production is ramping up, would continue. The infected employee - a Ghanaian recently returned from travel abroad - is in self-isolation at his home and the company is working with Ghana's ministry of health to trace all contacts, AngloGold Ashanti said in a statement.

  • Why You Should Hold AngloGold Ashanti
    GuruFocus.com

    Why You Should Hold AngloGold Ashanti

    The South African miner is well positioned to benefit from rising gold price Continue reading...

  • CNW Group

    Zonte Metals provides update on the Fall 2019 drilling at the Cross Hill IOCG project

    HALIFAX , March 3, 2020 /CNW/ - Two drill holes were completed on both the K6 and Dunns Mountain targets during November - December of 2019. The present drill program, which is in progress on Dunns Mountain, will allow testing of the targets that were not easily accessible during 2019 program. The fall 2019 drill holes tested various areas of interest utilizing ground gravity data in combination with magnetic and Induced Polarization data.

  • Reuters

    Congo civil society groups demand transparency in SOKIMO deal with AJN

    Civil society groups and a member of Parliament in Congo are raising concerns that state-owned gold company SOKIMO failed to follow an open and transparent bidding process before agreeing to sell its stakes in six gold assets, including 10% of Congo's biggest gold mine, Kibali, to Canada's AJN Resources. The criticism follows action by Barrick Gold Corp to block the proposed sale to AJN, after AJN on Feb. 6 said it had reached a memorandum of understanding with SOKIMO.

  • Reuters

    Gold miners fret about long-term supply even as they boost dividends

    Gold miners have largely been boosting dividends to appease long-suffering shareholders rather than funding fresh exploration projects needed to grow production, a strategy that executives are warning may pose long-term risk to the industry. The tension comes as gold prices are at the highest in seven years, near $1,650 an ounce, a surge in part fueled by a flight to safe-haven assets amid rising global concern about the coronavirus. "If you start moving out a number of years, it'll be a challenge" for supply to keep up with demand, AngloGold Ashanti Ltd CEO Kelvin Dushinsky said Tuesday on the sidelines of the BMO Global Metals and Mining Conference.

  • ACCESSWIRE

    AngloGold Ashanti Ltd. to Host Earnings Call

    NEW YORK, NY / ACCESSWIRE / February 21, 2020 / AngloGold Ashanti Ltd. (NYSE:AU) will be discussing their earnings results in their 2019 Second Half Earnings call to be held on February 21, 2020 at 8:00 ...

  • The Interview That Should Terrify Owners of Freeport-McMoRan Stock
    InvestorPlace

    The Interview That Should Terrify Owners of Freeport-McMoRan Stock

    On paper, there's an intriguing bull case for miner Freeport-McMoRan (NYSE:FCX). Freeport-McMoRan stock looks cheap. Copper prices have dipped of late, but have at least one important long-term tailwind. And Freeport has steadily improved its balance sheet in recent years, cutting net debt by over $12 billion between the end of 2015 and the end of 2019.Source: MICHAEL A JACKSON FILMS / Shutterstock.com But the key phrase is "on paper." In practice, there's a huge stumbling block to the bull case for FCX stock. Even if Freeport-McMoRan can drive higher free cash flow, as bulls and the company itself project, there's a long-running concern as to where that cash flow is going to go.The answer, according to a recent interview with Freeport-McMoRan's chief executive officer, is not to shareholders. Given the history not just of Freeport but the entire mining industry, that's a significant problem.InvestorPlace - Stock Market News, Stock Advice & Trading Tips The Case for Freeport-McMoRan StockFCX stock already has been a solid investment in the last few years. Shares bottomed in January 2016 below $4, as pressure on the company's since-divested oil and gas assets weighed on the stock. From that bottom, Freeport-McMoRan stock has more than tripled -- and there's a case for more upside ahead. * 20 Stocks to Buy From the Law of Accelerating Returns After all, production should increase nicely in the next two years. After its fourth-quarter report last month, Freeport guided for copper sales to reach 3.5 billion pounds in 2020, up from 3.3 billion in 2019. In 2021, however, the figure should spike to 4.3 billion, as the Grasberg mine in Indonesia, of which FCX owns 49%, returns to normalized output after a shift to underground mining.From there, copper prices need to cooperate, and that's always a risk. Copper prices are notoriously sensitive to the global economy; the commodity has been nicknamed "Dr. Copper" for its ability to provide a leading indicator of macroeconomic strength. A poorly-timed recession -- or even continued softness in key markets in Asia -- could pressure prices and thus Freeport's earnings and cash flow.But there's one potential long-term driver for copper demand: electric vehicles. EVs are "copper hogs," meaning growth from the likes of Tesla (NASDAQ:TSLA) can boost copper prices. and those prices drop almost straight to Freeport's bottom line. It's not as if shares are expensive even in the current moderate-price environment; should copper spike higher from here, Freeport stock likely does the same. Balance Sheet and Cash FlowFinally, Freeport's balance sheet is in much better shape. As noted, debt has come down dramatically in a matter of years. The company has over $5 billion in liquidity, and a higher stock price if it wants to make an acquisition. If Freeport doesn't make a deal, free cash flow should impress -- particularly if copper prices rise.Indeed, with its fourth-quarter presentation, Freeport-McMoRan modeled solid free cash flow in a higher-price environment. At $3 per pound, up from a current ~$2.60, operating cash flow in 2021-2022 would be in the range of $5 billion.Capital expenditures currently estimated at $2.4 billion for 2021 suggest free cash flow around $2.6 billion. Put even a 10x multiple on that figure and FCX gains over 50%; increase the multiple, and the upside could be even higher. Where Does the Cash Go?To be sure, that paper case does require some help from copper prices. Models for 2021-2022 at $2.75 a pound suggest free cash flow under $2 billion. A market capitalization currently near $19 billion thus likely doesn't see that much upside without pricing help. But investors in mining stocks are looking for leveraged returns on gains the underlying commodity -- and on paper FCX stock is set up to provide precisely those returns if copper gains.But that gets to the practical problem, and the interview CEO Richard Adkerson gave to Reuters at the end of last month. Adkerson noted the potential for higher cash flow and a higher stock price which would allow the company to make acquisitions."I'm looking forward to having a new experience in my career toward accessing alternatives and deciding which way we go…We don't have a clear directive now on what that direction could be, but we will be attractively situated and will have an opportunity to add value through investments," he told Reuters.Those investments could include not just acquisitions but the construction of new mines.In other words, the incremental free cash flow Freeport-McMoRan hopes to drive isn't going back to shareholders. It's going back into the business under Adkerson's direction. And that should worry, if not terrify, FCX shareholders. Adkerson's HistoryAdkerson was named CEO on Dec. 10, 2003. Under his watch, Freeport-McMoRan stock has declined by 42%.There isn't an external reason for the pressure. Copper prices, according to data from YCharts, have increased 174% over that span. Meanwhile, diversified miner BHP Group (NYSE:BHP), which has significant copper holdings, has seen its stock more than triple. Including dividends, BHP has posted a total return of more than 450%. For Freeport-McMoRan stock, total returns remain modestly negative.One big reason for the decline was the aforementioned move into oil and gas, spearheaded by Adkerson. Freeport-McMoRan spent $20 billion on two acquisitions in 2012 at the height of the oil boom. The moves were instantly criticized by Wall Street and by investors; Freeport stock dropped 16% in a single day on the announcement. Allegations of self-dealing soon followed.Less than four years later, Freeport managed to get less than $4 billion for its assets at the nadir of the oil bust. Over $16 billion in shareholder value was destroyed.An investor might believe -- or want to believe -- that Adkerson and the Freeport board have learned their lesson from the disastrous acquisitions. There's no evidence they have.The Freeport-McMoRan dividend was slashed in 2014; the board hasn't hiked the payout since despite a paltry 1.6% yield and the expected growth in free cash flow. Adkerson, at least per his interview, is looking to spend more shareholder money after the company spent the last four years recovering from its foray into oil and gas.There are thus two scenarios here. Copper prices fall or stay roughly flat, and Freeport-McMoRan stock likely does the same. Or copper prices rise, giving Adkerson free reign to go and spend billions of dollars more of shareholder funds. Neither sounds particularly attractive. The Mining ProblemTo be somewhat fair, this is not a Freeport-only problem. As I detailed back in 2018, gold miners like Barrick Gold (NYSE:GOLD) have done a disastrous job of fulfilling their mission of providing leverage to the gold price. Barrick, Kinross Gold (NYSE:KGC) and AngloGold Ashanti (NYSE:AU) all saw their shares fall by over 60% even in a rising-price environment.Recent performance for mining stocks has been better, but it's still not as good as it should be in theory. Even the gains in Freeport stock over the last few years are more a case of the stock rallying sharply from 2016 lows than any real improvement on the ground. FCX stock actually is down 20% over the past three years despite basically flat copper prices. The Bottom Line on Freeport-McMoRan StockWhat makes a stock like FCX particularly problematic is that the exchange-traded fund revolution has created far better alternatives. An investor who is bullish on copper can simply buy copper through an ETF. She can lever up that bet through the use of margin or a 2x or 3x ETF. Those trades have risk if copper prices decline of course; so does FCX.But if copper prices rise, that investor doesn't have to let Adkerson determine what to do with her gains. ETFs do have fees, but they're generally minimal; meanwhile, Adkerson's pay packages from 2016 to 2018 alone totaled over $50 million, according to Freeport's most recent proxy statement.If Freeport-McMoRan and Adkerson truly had learned their lesson and were looking to use potentially higher cash flow for increased shareholder returns, that would be one thing. Clearly, they're not. History, and the -42% returns under Adkerson's 16-year tenure, both suggest that it is a real problem for Freeport-McMoRan stock.As of this writing, Vince Martin has no positions in any securities mentioned. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 20 Stocks to Buy From the Law of Accelerating Returns * 10 Strong Lottery Ticket Stocks That Could Soar in 2020 * 7 U.S. Stocks to Buy on Coronavirus Weakness The post The Interview That Should Terrify Owners of Freeport-McMoRan Stock appeared first on InvestorPlace.

  • EMERGING MARKETS-Surge in coronavirus cases, deaths bog down EM assets
    Reuters

    EMERGING MARKETS-Surge in coronavirus cases, deaths bog down EM assets

    Emerging market stocks and currencies came under pressure on Thursday after a jump in coronavirus cases and deaths reported under a new diagnostic method in China hammered investors' hopes that the outbreak might soon peak. The death toll from the outbreak in China had reached 1,367 as of the end of Wednesday, up 254 from the previous day, the country's National Health Commission said.

  • B2Gold Reports Upbeat Results for Gramalote JV, Eyes Growth
    Zacks

    B2Gold Reports Upbeat Results for Gramalote JV, Eyes Growth

    B2Gold (BTG) believes Gramalote has the potential to become a large, low-cost open-pit gold mine.

  • Reuters

    Mali's new mining code sets "stability period" at 20 years

    Under a new mining code, companies operating in Mali will be protected from fiscal changes for 20 years, down from the previous "stability period" of 30 years, the mines minister said late on Thursday. Mali had previously proposed a 10-year stability period. "We have to consider that the research phase can take at least seven, eight or nine years," said Mines Minister Lelenta Hawa Baba Bah.

  • New Strong Sell Stocks for January 13th
    Zacks

    New Strong Sell Stocks for January 13th

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  • AngloGold Ashanti is Overbought: Is A Drop Coming?
    Zacks

    AngloGold Ashanti is Overbought: Is A Drop Coming?

    AngloGold Ashanti has moved higher as of late, but there could definitely be trouble on the horizon for this company.

  • CNW Group

    Zonte Metals Completes Non-Brokered Private Placement

    Each Unit will consist of one common share and one-half (½) of one share purchase warrant, with each whole warrant entitling the holder to acquire one additional common share at a price of $0.35 until June 20, 2021 . If the closing share price of the common shares on the TSX Venture Exchange is greater than $0.50 per common share for a period of 20 consecutive trading days at any time following the issuance of the Warrants, the Company may accelerate the expiry date of the Warrants by issuing a press release announcing the reduced warrant term whereupon the Warrants will expire on the 30th calendar day after the date of the press release.

  • CNW Group

    Zonte Metals Increases the Size of Its Non-Brokered Private Placement

    Each Unit will consist of one common share and one-half (½) of one share purchase warrant, with each whole warrant entitling the holder to acquire one additional common share at a price of $0.35 for a period of 18 months from the date of issuance. If the closing share price of the common shares on the TSX Venture Exchange is greater than $0.50 per common share for a period of 20 consecutive trading days at any time following the issuance of the Warrants, the Company may accelerate the expiry date of the Warrants by issuing a press release announcing the reduced warrant term whereupon the Warrants will expire on the 30th calendar day after the date of the press release.

  • New Strong Sell Stocks for December 30th
    Zacks

    New Strong Sell Stocks for December 30th

    Here are 5 stocks added to the Zacks Rank 5 (Strong Sell) List today

  • CNW Group

    Zonte Metals Completes a $1.25 Million Non-Brokered Private Placement

    In connection with the private placement, Zonte will pay finders' fees to Eligible Finders of $75,000 in cash, equal to 6% of the aggregate gross subscription proceeds received from the sale of securities from Eligible Finders; and will issue 250,000 Finders' Warrants. Each Finders' Warrant is exercisable at any time up to 18 months following its date of issuance to purchase one common share of the Company at an exercise price of $0.35 per share, subject to Exchange approval. If the closing share price of the common shares on the TSX Venture Exchange is greater than $0.70 per common share for a period of 20 consecutive trading days at any time following the issuance of the Finders' Warrants, the Company may accelerate the expiry date of the Finders' Warrants by issuing a press release announcing the reduced warrant term whereupon the Finders' Warrants will expire on the 30th calendar day after the date of the press release.

  • GlobeNewswire

    Appointment of New Chief Operating Officer

    Patagonia Gold Corp. (“Patagonia” or the “Company”) (PGDC.V) is pleased to announce the appointment of Mr. Jorge Sanguin as Chief Operating Officer (“COO”) of the Company, effective January 1, 2020. Mr. Sanguin will succeed Mr. Leon Hardy, who was appointed COO on July 22, 2019. On August 14, 2019, Mr. Sanguin was appointed Operations Director of the Company and it was anticipated that Leon Hardy would step down in his role as COO to join the Board of Directors.

  • Moody's

    AngloGold Ashanti Holdings plc -- Moody's announces completion of a periodic review of ratings of AngloGold Ashanti Limited

    Moody's Investors Service ("Moody's") has completed a periodic review of the ratings of AngloGold Ashanti Limited and other ratings that are associated with the same analytical unit. The review was conducted through a portfolio review in which Moody's reassessed the appropriateness of the ratings in the context of the relevant principal methodology(ies), recent developments, and a comparison of the financial and operating profile to similarly rated peers. This publication does not announce a credit rating action and is not an indication of whether or not a credit rating action is likely in the near future.

  • Is AngloGold Ashanti Limited  (AU) Going to Burn These Hedge Funds?
    Insider Monkey

    Is AngloGold Ashanti Limited (AU) Going to Burn These Hedge Funds?

    Many investors, including Paul Tudor Jones or Stan Druckenmiller, have been saying before last year's Q4 market crash that the stock market is overvalued due to a low interest rate environment that leads to companies swapping their equity for debt and focusing mostly on short-term performance such as beating the quarterly earnings estimates. In the […]