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AngloGold Ashanti: Surging Free Cash Flow As Gold Consolidates
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AngloGold Ashanti: Surging Free Cash Flow As Gold Consolidates

Seeking Alpha·Mike Zaccardi, CFA, CMT·27 days ago
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Home Stock Ideas Long Ideas Basic Materials Summary AngloGold Ashanti remains a "Buy," supported by robust Q1 results and a strong technical setup. AU posted Q1 non-GAAP EPS of $2.52 (beat), $3.15 billion in revenue (miss), and 190% YoY FCF growth to $1.17 billion. Balance sheet strength is evident with $868 million net cash; management targets $1 billion net cash and a $2 billion share repurchase. Valuation is attractive with a 6.9% dividend yield, 6% FCF yield, and shares trading slightly below the long-term average P/E. Igor Barilo/iStock via Getty Images AngloGold Ashanti ( AU ) reported decent Q1 earnings on Friday, May 8. Shares lifted in the morning trade, all while gold staged a small recovery after what has been a tough stretch since the yellow metal’s January record high. Indeed, both the metal and shares Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours.…

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