Seek Returns logo

AU vs. IAG: A Head-to-Head Stock Comparison

Updated on

Here’s a clear look at AU and IAG, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Overview

AU’s market capitalization of 23.52 billion USD is substantially larger than IAG’s 4.30 billion USD, indicating a significant difference in their market valuations.

IAG carries a higher beta at 1.23, indicating it’s more sensitive to market moves, while AU (beta: 0.49) exhibits greater stability.

SymbolAUIAG
Company NameAngloGold Ashanti PlcIAMGOLD Corporation
CountryGBCA
SectorBasic MaterialsBasic Materials
IndustryGoldGold
CEOAlberto Calderon Zuleta BA Econ, Econ, Law, M Phil Econ,Renaud Adams
Price46.71 USD7.48 USD
Market Cap23.52 billion USD4.30 billion USD
Beta0.491.23
ExchangeNYSENYSE
IPO DateAugust 5, 1998July 15, 2003
ADRNoNo

Historical Performance

This chart compares the performance of AU and IAG by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period.

Data is adjusted for dividends and splits.

AU vs. IAG: Growth of a $10,000 investment over the past one year.

Profitability

Return on Equity

AU

25.86%

Gold Industry

Max
25.86%
Q3
12.48%
Median
8.15%
Q1
2.34%
Min
-3.82%

In the upper quartile for the Gold industry, AU’s Return on Equity of 25.86% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.

IAG

25.48%

Gold Industry

Max
25.86%
Q3
12.48%
Median
8.15%
Q1
2.34%
Min
-3.82%

In the upper quartile for the Gold industry, IAG’s Return on Equity of 25.48% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.

AU vs. IAG: A comparison of their ROE against the Gold industry benchmark.

Return on Invested Capital

AU

12.23%

Gold Industry

Max
20.84%
Q3
9.90%
Median
5.11%
Q1
1.36%
Min
-10.62%

In the upper quartile for the Gold industry, AU’s Return on Invested Capital of 12.23% signifies a highly effective use of its capital to generate profits when compared to its peers.

IAG

16.79%

Gold Industry

Max
20.84%
Q3
9.90%
Median
5.11%
Q1
1.36%
Min
-10.62%

In the upper quartile for the Gold industry, IAG’s Return on Invested Capital of 16.79% signifies a highly effective use of its capital to generate profits when compared to its peers.

AU vs. IAG: A comparison of their ROIC against the Gold industry benchmark.

Net Profit Margin

AU

17.91%

Gold Industry

Max
26.48%
Q3
21.01%
Median
16.48%
Q1
8.22%
Min
-6.63%

AU’s Net Profit Margin of 17.91% is aligned with the median group of its peers in the Gold industry. This indicates its ability to convert revenue into profit is typical for the sector.

IAG

45.27%

Gold Industry

Max
26.48%
Q3
21.01%
Median
16.48%
Q1
8.22%
Min
-6.63%

IAG’s Net Profit Margin of 45.27% is exceptionally high, placing it well beyond the typical range for the Gold industry. This demonstrates outstanding operational efficiency and a strong competitive advantage in converting revenue into profit.

AU vs. IAG: A comparison of their Net Profit Margin against the Gold industry benchmark.

Operating Profit Margin

AU

29.67%

Gold Industry

Max
67.43%
Q3
40.39%
Median
30.64%
Q1
19.83%
Min
-9.84%

AU’s Operating Profit Margin of 29.67% is around the midpoint for the Gold industry, indicating that its efficiency in managing core business operations is typical for the sector.

IAG

54.56%

Gold Industry

Max
67.43%
Q3
40.39%
Median
30.64%
Q1
19.83%
Min
-9.84%

An Operating Profit Margin of 54.56% places IAG in the upper quartile for the Gold industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.

AU vs. IAG: A comparison of their Operating Margin against the Gold industry benchmark.

Profitability at a Glance

SymbolAUIAG
Return on Equity (TTM)25.86%25.48%
Return on Assets (TTM)10.37%14.93%
Return on Invested Capital (TTM)12.23%16.79%
Net Profit Margin (TTM)17.91%45.27%
Operating Profit Margin (TTM)29.67%54.56%
Gross Profit Margin (TTM)35.78%32.72%

Financial Strength

Current Ratio

AU

2.34

Gold Industry

Max
4.98
Q3
3.76
Median
2.34
Q1
1.51
Min
0.52

AU’s Current Ratio of 2.34 aligns with the median group of the Gold industry, indicating that its short-term liquidity is in line with its sector peers.

IAG

1.41

Gold Industry

Max
4.98
Q3
3.76
Median
2.34
Q1
1.51
Min
0.52

IAG’s Current Ratio of 1.41 falls into the lower quartile for the Gold industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.

AU vs. IAG: A comparison of their Current Ratio against the Gold industry benchmark.

Debt-to-Equity Ratio

AU

0.33

Gold Industry

Max
0.67
Q3
0.34
Median
0.17
Q1
0.06
Min
0.00

AU’s Debt-to-Equity Ratio of 0.33 is typical for the Gold industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

IAG

0.34

Gold Industry

Max
0.67
Q3
0.34
Median
0.17
Q1
0.06
Min
0.00

IAG’s leverage is in the upper quartile of the Gold industry, with a Debt-to-Equity Ratio of 0.34. While this approach can boost equity growth, it also exposes the company to greater financial vulnerability.

AU vs. IAG: A comparison of their D/E Ratio against the Gold industry benchmark.

Interest Coverage Ratio

AU

14.20

Gold Industry

Max
45.23
Q3
25.79
Median
13.44
Q1
2.91
Min
-6.26

AU’s Interest Coverage Ratio of 14.20 is positioned comfortably within the norm for the Gold industry, indicating a standard and healthy capacity to cover its interest payments.

IAG

25.79

Gold Industry

Max
45.23
Q3
25.79
Median
13.44
Q1
2.91
Min
-6.26

IAG’s Interest Coverage Ratio of 25.79 is positioned comfortably within the norm for the Gold industry, indicating a standard and healthy capacity to cover its interest payments.

AU vs. IAG: A comparison of their Interest Coverage against the Gold industry benchmark.

Financial Strength at a Glance

SymbolAUIAG
Current Ratio (TTM)2.341.41
Quick Ratio (TTM)1.570.83
Debt-to-Equity Ratio (TTM)0.330.34
Debt-to-Asset Ratio (TTM)0.170.21
Net Debt-to-EBITDA Ratio (TTM)0.250.68
Interest Coverage Ratio (TTM)14.2025.79

Growth

The following charts compare key year-over-year (YoY) growth metrics for AU and IAG. These metrics are based on the companies’ annual financial reports.

Revenue Growth

AU vs. IAG: A comparison of their annual year-over-year Revenue Growth.

Earnings Per Share (EPS) Growth

AU vs. IAG: A comparison of their annual year-over-year Earnings Per Share (EPS) Growth.

Free Cash Flow Growth

AU vs. IAG: A comparison of their annual year-over-year Free Cash Flow Growth.

Dividend

Dividend Yield

AU

0.27%

Gold Industry

Max
3.65%
Q3
1.37%
Median
0.47%
Q1
0.00%
Min
0.00%

AU’s Dividend Yield of 0.27% is consistent with its peers in the Gold industry, providing a dividend return that is standard for its sector.

IAG

0.00%

Gold Industry

Max
3.65%
Q3
1.37%
Median
0.47%
Q1
0.00%
Min
0.00%

IAG currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.

AU vs. IAG: A comparison of their Dividend Yield against the Gold industry benchmark.

Dividend Payout Ratio

AU

45.43%

Gold Industry

Max
110.70%
Q3
42.09%
Median
15.45%
Q1
0.00%
Min
0.00%

AU’s Dividend Payout Ratio of 45.43% is in the upper quartile for the Gold industry. This indicates a strong commitment to shareholder returns but also suggests that a smaller portion of earnings is retained for reinvestment compared to many peers.

IAG

0.00%

Gold Industry

Max
110.70%
Q3
42.09%
Median
15.45%
Q1
0.00%
Min
0.00%

IAG has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.

AU vs. IAG: A comparison of their Payout Ratio against the Gold industry benchmark.

Dividend at a Glance

SymbolAUIAG
Dividend Yield (TTM)0.27%0.00%
Dividend Payout Ratio (TTM)45.43%0.00%

Valuation

Price-to-Earnings Ratio

AU

16.93

Gold Industry

Max
64.00
Q3
46.06
Median
29.03
Q1
16.74
Min
1.00

AU’s P/E Ratio of 16.93 is within the middle range for the Gold industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

IAG

5.32

Gold Industry

Max
64.00
Q3
46.06
Median
29.03
Q1
16.74
Min
1.00

In the lower quartile for the Gold industry, IAG’s P/E Ratio of 5.32 suggests the stock may be undervalued compared to its peers, potentially presenting an attractive entry point for investors.

AU vs. IAG: A comparison of their P/E Ratio against the Gold industry benchmark.

Forward P/E to Growth Ratio

AU

-0.86

Gold Industry

Max
14.01
Q3
6.52
Median
3.33
Q1
0.82
Min
0.05

The Forward PEG Ratio is often not a primary valuation metric in the Gold industry.

IAG

-0.33

Gold Industry

Max
14.01
Q3
6.52
Median
3.33
Q1
0.82
Min
0.05

The Forward PEG Ratio is often not a primary valuation metric in the Gold industry.

AU vs. IAG: A comparison of their Forward PEG Ratio against the Gold industry benchmark.

Price-to-Sales Ratio

AU

3.03

Gold Industry

Max
15.12
Q3
7.63
Median
3.25
Q1
2.30
Min
0.79

AU’s P/S Ratio of 3.03 aligns with the market consensus for the Gold industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

IAG

2.42

Gold Industry

Max
15.12
Q3
7.63
Median
3.25
Q1
2.30
Min
0.79

IAG’s P/S Ratio of 2.42 aligns with the market consensus for the Gold industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

AU vs. IAG: A comparison of their P/S Ratio against the Gold industry benchmark.

Price-to-Book Ratio

AU

3.47

Gold Industry

Max
6.10
Q3
3.60
Median
2.02
Q1
1.35
Min
0.26

AU’s P/B Ratio of 3.47 is within the conventional range for the Gold industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.

IAG

1.26

Gold Industry

Max
6.10
Q3
3.60
Median
2.02
Q1
1.35
Min
0.26

IAG’s P/B Ratio of 1.26 is in the lower quartile for the Gold industry. From a value investing perspective, this is favorable, as it suggests the stock is trading at a discount to its net asset value and may offer a greater margin of safety.

AU vs. IAG: A comparison of their P/B Ratio against the Gold industry benchmark.

Valuation at a Glance

SymbolAUIAG
Price-to-Earnings Ratio (P/E, TTM)16.935.32
Forward PEG Ratio (TTM)-0.86-0.33
Price-to-Sales Ratio (P/S, TTM)3.032.42
Price-to-Book Ratio (P/B, TTM)3.471.26
Price-to-Free Cash Flow Ratio (P/FCF, TTM)18.13-105.74
EV-to-EBITDA (TTM)7.944.19
EV-to-Sales (TTM)3.132.89