DRDGOLD LTD's gross profit margin for the fourth quarter of its fiscal year 2014 has significantly increased when compared to the same period a year ago. The company grew its sales and net income significantly quarter versus same quarter a year prior, and was able to outpace the average competitor in the industry when comparing revenue growth, but not when comparing net income growth. DRDGOLD LTD has weak liquidity. Currently, the Quick Ratio is 0.99 which shows a lack of ability to cover short-term cash needs. The company's liquidity has decreased from the same period last year, indicating deteriorating cash flow.
During the same period, stockholders' equity ("net worth") has decreased by 18.60% from the same quarter last year. Overall, the key liquidity measurements indicate that the company is in a position in which financial difficulties could develop in the future.
STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12-months. To learn more visit www.TheStreetRatings.com.
|Income Statement||Q4 FY14||Q4 FY13|
|Net Sales ($mil)||40.94||32.62|
|Net Income ($mil)||-0.36||-19.34|
|Balance Sheet||Q4 FY14||Q4 FY13|
|Cash & Equiv. ($mil)||19.67||38.18|
|Total Assets ($mil)||229.74||270.36|
|Total Debt ($mil)||14.0||16.97|
|Profitability||Q4 FY14||Q4 FY13|
|Gross Profit Margin||5.89||-31.22|
|Return on Assets||-1.87||2.21|
|Return on Equity||-3.66||4.14|
|Debt||Q4 FY14||Q4 FY13|
|Share Data||Q4 FY14||Q4 FY13|
|Shares outstanding (mil)||37.92||37.92|
|Div / share||0.0||0.0|
|Book value / share||3.1||3.81|
|Institutional Own %||n/a||n/a|
|Avg Daily Volume||197039.0||152037.0|
SELL. This stock?s P/E ratio is negative, making its value useless in the assessment of premium or discount valuation, only displaying that the company has negative earnings per share. Conducting a second comparison, its price-to-book ratio of 0.57 indicates a significant discount versus the S&P 500 average of 2.76 and a discount versus the industry average of 1.58. The price-to-sales ratio is well below both the S&P 500 average and the industry average, indicating a discount. After reviewing these and other key valuation criteria, DRDGOLD LTD proves to trade at a discount to investment alternatives within the industry.
|DRD NM||Peers 22.53||DRD 8.79||Peers 9.29|
Neutral. The absence of a valid P/E ratio happens when a stock can not be valued on the basis of a negative stream of earnings.
DRD's P/E is negative making this valuation measure meaningless.
Average. The P/CF ratio, a stock’s price divided by the company's cash flow from operations, is useful for comparing companies with different capital requirements or financing structures.
DRD is trading at a valuation on par to its peers.
|DRD NA||Peers 18.13||DRD NA||Peers 0.46|
Neutral. A lower price-to-projected earnings ratio than its peers can signify a less expensive stock or lower future growth potential.
Ratio not available.
Neutral. The PEG ratio is the stock’s P/E divided by the consensus estimate of long-term earnings growth. Faster growth can justify higher price multiples.
Ratio not available.
|DRD 0.57||Peers 1.58||DRD -168.75||Peers -91.05|
Discount. A lower price-to-book ratio makes a stock more attractive to investors seeking stocks with lower market values per dollar of equity on the balance sheet.
DRD is trading at a significant discount to its peers.
Lower. Elevated earnings growth rates can lead to capital appreciation and justify higher price-to-earnings ratios.
However, DRD is expected to significantly trail its peers on the basis of its earnings growth rate.
|DRD 0.39||Peers 2.28||DRD -18.97||Peers 1000.85|
Discount. In the absence of P/E and P/B multiples, the price-to-sales ratio can display the value investors are placing on each dollar of sales.
DRD is trading at a significant discount to its industry on this measurement.
Lower. A sales growth rate that trails the industry implies that a company is losing market share.
DRD significantly trails its peers on the basis of sales growth
Select the service that is right for you!COMPARE ALL SERVICES
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV