Bull of the Day: Gold Fields (GFI)

Gold Fields Ltd. GFI is benefiting from record gold prices. This Zacks Rank #1 (Strong Buy) is expected to grow earnings by 107.6% this year.

Gold Fields is one of the world’s largest gold producers with a market cap of $37.4 billion. Headquartered in South Africa, it has 10 mines and projects in Australia, Canada, Chile, Peru, and South Africa.

Gold Fields Reports a Bullish H1 2025

On Aug 22, 2025, Gold Fields reported its first half 2025 results, which ended on June 30, 2025.

Attributable production was up 24% to 1,136koz. Salares Norte is on track to achieve commercial production levels during Q3 2025 and steady state throughput in Q4 2025, as planned.

All-in sustaining costs (AISC) were US$1,682/oz while all-in costs (AIC) were US$1,957.

Adjusted free cash flow jumped to $952 million from an outflow of $58 million in H1 2024.

Gold Fields expects costs to decrease in H2 2025.

GFI is on Track to Meet Full Year Guidance

In Feb 2025, Gold Fields provided full year guidance. In August, the company said it was on track for that guidance. Attributable gold-equivalent production is expected to be between 2.250Moz to 2.450Moz.

AISC is expected to be between US$1,500/oz and $1650/oz. While AIC is expected in the range of US$1,780/oz to $1,930/oz.

Reminder, gold is trading near $3800/oz in Sep 2025.

Analysts Raise Gold Fields Full Year Earnings Estimates

In the last month, one earnings estimate has been raised for both 2025 and 2026 but that’s enough to get the coveted Strong Buy rank.

The 2025 Zacks Consensus has jumped to $2.74 from $2.56 in the last 30 days. That’s earnings growth of 107.6% as the company made just $1.32 last year.

The growth is expected to continue in 2026. The Zacks Consensus has risen to $3.39 from $3.15 in the last month. That’s another 23.7% earnings growth.

With gold at new highs, the analysts are having a hard time keeping up.

Gold Fields Dividend Yields 1.5%

Gold Fields’ dividend policy is to pay 30% to 45% of normalized earnings. In the first half of 2025, the interim dividend, which was paid on Sep 15, 2025, was at 34%.

Shares of GFI Soar in 2025

Gold Fields shares have soared more than the Gold ETF this year. Yet gold stocks remain cheap on a fundamental basis.

Gold Fields has a forward price-to-earnings (P/E) ratio of 15.3. A P/E of 15 or under usually indicates value.

It also has a PEG ratio, which is the P/E divided by growth, of just 0.4. A PEG ratio under 1.0 can signal a company has both growth and value. That’s a rare combination.

With gold hitting new highs in 2025, investors should keep Gold Fields on their short list.

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This article originally published on Zacks Investment Research (zacks.com).

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