Should I Buy Gold Fields Limited (GFI)? Finance YouTuber Analysis

The YouTuber recommends Gold Fields Limited, another gold miner, for its potential to beat inflation. Similar to Barrick, it benefits from high gold prices and low production costs, leading to strong cash flow. The company is forecasted for significant earnings growth, which, combined with a very low projected payout ratio, suggests a substantial future dividend increase, building on its strong historical dividend growth.

“The company does have a slightly higher payout ratio on earnings reported over the last 12 months compared to what we saw with baric but applying that 39 cents per share dividend to the $191 in forecasted profits and again we get a huge drop in the payout ratio.”

The YouTuber suggests Gold Fields Limited, noting its 2.8% dividend yield but strong 30% annual dividend growth over five years. He highlights the company's cash flow positive status due to record high gold prices, a low 42% payout ratio, and a 40% expected earnings growth over the next two years, indicating significant potential for future dividend increases.

“40% earnings growth I guarantee you they are going to be increasing that dividend uh especially more than they they actually did cut the dividend over the last year”

The YouTuber recommends Gold Fields Limited as a gold miner that pays a dividend. Its low all-in sustaining cost per ounce means it's already profitable and stands to benefit further if inflation drives gold prices higher.

“Shares of gold fields limited ticker gfi are down this year but only after a solid run over the last few years and pay a 3.8 percent dividend yield.”