AngloGold Ashanti PLC (NYSE:AU) Given Average Recommendation of "Moderate Buy" by Brokerages

Key Points

• Analysts have issued a consensus “Moderate Buy” on AngloGold Ashanti from eight covering firms (5 buys, 2 holds, 1 sell) with an average 1‑year price target of $100.50 and several firms (JPMorgan, Citi, Roth MKM) raising targets into the $120–$131 range.
• AngloGold reported quarterly EPS of $1.90 (in line) and revenue of $3.07 billion (above estimates), with strong profitability (ROE 29.7%, net margin 26.65%); the stock trades at a market cap of $53.8B and a P/E of 20.54, with a 52‑week range of $30.19–$129.14.
• Dividend cut: the company declared a quarterly dividend of $0.173 ($0.69 annualized, 0.6% yield) and a payout ratio of 133.3%; institutional investors have been increasing stakes (Vanguard, VanEck, Arrowstreet among buyers), with 36.09% of shares held by institutions.

AngloGold Ashanti PLC (NYSE:AU - Get Free Report) has been assigned a consensus rating of "Moderate Buy" from the eight ratings firms that are covering the stock, MarketBeat reports. One investment analyst has rated the stock with a sell recommendation, two have assigned a hold recommendation and five have assigned a buy recommendation to the company. The average 1 year price target among analysts that have covered the stock in the last year is $100.50.

AU has been the topic of a number of analyst reports. Roth Mkm reiterated a "buy" rating and issued a $122.00 price target on shares of AngloGold Ashanti in a research report on Friday, February 20th. Scotiabank reaffirmed an "outperform" rating on shares of AngloGold Ashanti in a research note on Wednesday, February 25th. Citigroup upped their target price on AngloGold Ashanti from $105.00 to $120.00 and gave the company a "buy" rating in a report on Tuesday, January 20th. JPMorgan Chase & Co. increased their target price on shares of AngloGold Ashanti from $128.00 to $131.00 and gave the company an "overweight" rating in a research report on Wednesday, December 3rd. Finally, Wall Street Zen upgraded shares of AngloGold Ashanti from a "hold" rating to a "buy" rating in a research report on Saturday, December 13th.

Hedge Funds Weigh In On AngloGold Ashanti

Institutional investors have recently added to or reduced their stakes in the business. Vanguard Group Inc. grew its position in shares of AngloGold Ashanti by 1.1% during the 4th quarter. Vanguard Group Inc. now owns 23,001,047 shares of the mining company's stock worth $1,979,174,000 after buying an additional 252,307 shares during the period. Van ECK Associates Corp lifted its position in shares of AngloGold Ashanti by 10.0% during the 3rd quarter. Van ECK Associates Corp now owns 19,847,932 shares of the mining company's stock valued at $1,395,905,000 after acquiring an additional 1,804,620 shares during the period. Ninety One SA Pty Ltd bought a new position in AngloGold Ashanti during the fourth quarter worth $1,380,472,000. Arrowstreet Capital Limited Partnership grew its holdings in AngloGold Ashanti by 406.9% in the fourth quarter. Arrowstreet Capital Limited Partnership now owns 6,288,253 shares of the mining company's stock worth $539,119,000 after purchasing an additional 5,047,686 shares during the period. Finally, State Street Corp grew its holdings in AngloGold Ashanti by 0.5% in the fourth quarter. State Street Corp now owns 5,731,937 shares of the mining company's stock worth $488,820,000 after purchasing an additional 26,421 shares during the period. 36.09% of the stock is owned by institutional investors and hedge funds.

AngloGold Ashanti Price Performance

AU stock opened at $106.58 on Monday. The company has a market capitalization of $53.81 billion, a P/E ratio of 20.54 and a beta of 0.55. The company has a fifty day moving average price of $104.19 and a 200-day moving average price of $84.02. The company has a debt-to-equity ratio of 0.21, a quick ratio of 1.98 and a current ratio of 2.58. AngloGold Ashanti has a 52-week low of $30.19 and a 52-week high of $129.14.

AngloGold Ashanti (NYSE:AU - Get Free Report) last posted its quarterly earnings data on Friday, February 20th. The mining company reported $1.90 earnings per share for the quarter, meeting analysts' consensus estimates of $1.90. The business had revenue of $3.07 billion during the quarter, compared to the consensus estimate of $2.99 billion. AngloGold Ashanti had a return on equity of 29.70% and a net margin of 26.65%. As a group, equities analysts expect that AngloGold Ashanti will post 3.83 EPS for the current year.

AngloGold Ashanti Cuts Dividend

The company also recently announced a quarterly dividend, which will be paid on Friday, March 27th. Investors of record on Friday, March 13th will be paid a dividend of $0.173 per share. This represents a $0.69 dividend on an annualized basis and a yield of 0.6%. The ex-dividend date of this dividend is Friday, March 13th. AngloGold Ashanti's dividend payout ratio (DPR) is currently 133.33%.

AngloGold Ashanti Company Profile

AngloGold Ashanti is a global gold mining company engaged in the exploration, development, production, processing and sale of gold. Headquartered in Johannesburg, South Africa, the company’s core activities span the full mining value chain from greenfield exploration and mine development through to ore processing and rehabilitation. Gold is the primary commodity produced, with individual operations sometimes yielding other by‑products depending on local geology and processing methods.

The company was formed in 2004 through the merger of AngloGold and Ashanti Goldfields, creating a diversified international gold producer.

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