Why Harmony Gold Mining Co Ltd's Stock Skyrocketed 23% in a Quarter

Harmony Gold Mining Co Ltd (HMY, Financial) has seen a significant surge in its stock price over the past three months, with a notable increase of 22.58%. Despite a minor dip of 0.21% over the past week, the overall performance of the stock remains strong. The current GF Value of the stock stands at $4.44, indicating that it is fairly valued. This is a slight decrease from the past GF Value of $4.79 three months ago, suggesting that the stock was modestly undervalued at that time.

Unveiling Harmony Gold Mining Co Ltd

Harmony Gold Mining Co Ltd is a renowned gold mining and exploration company with operations in South Africa and Papua New Guinea. The company's projects include Bambanani, Joel, Masimong, Phakisa, Target 1, Tshepong, Unisel, Doornkop, and Kusasalethu. These projects form the backbone of the company's operations and contribute significantly to its revenue generation. 1720460361846550528.png

Profitability Analysis

Harmony Gold Mining Co Ltd has a Profitability Rank of 5/10, indicating average profitability. The company's Operating Margin of 16.21% is better than 78.57% of companies in the same industry. Furthermore, the company's ROE, ROA, and ROIC are all higher than the majority of companies in the same industry. Over the past 10 years, the company has demonstrated profitability for 4 years, which is better than 65.04% of companies in the same industry. 1720460382415417344.png

Growth Prospects

The company's Growth Rank stands at 5/10, indicating average growth. However, the company's 3-year and 5-year revenue growth rates per share are better than the majority of companies in the same industry. Moreover, the company's 3-year EPS without NRI growth rate is better than 95.09% of companies in the same industry, indicating strong growth potential. 1720460401239453696.png

Major Stock Holders

Jim Simons (Trades, Portfolio) and Steven Cohen (Trades, Portfolio) are the top two holders of the company's stock, holding 0.32% and 0% of the company's shares, respectively. Their investment in the company signifies their confidence in the company's performance and future prospects.

Competitive Landscape

Harmony Gold Mining Co Ltd faces competition from Sibanye Stillwater Ltd, Randgold & Exploration Co Ltd, and Gold Fields Ltd, which have market caps of $3.52 billion, $2.177 million, and $11.52 billion, respectively. Despite the competition, Harmony Gold Mining Co Ltd has managed to maintain a strong position in the market.

Conclusion

In conclusion, Harmony Gold Mining Co Ltd has demonstrated strong stock performance, profitability, and growth potential. The company's stock has seen a significant increase over the past three months, and its profitability and growth ranks indicate a promising future. Despite facing competition from other companies in the industry, Harmony Gold Mining Co Ltd continues to hold a strong position in the market. The company's current position and future prospects make it a potential investment opportunity for value investors.

This article, generated by GuruFocus, is designed to provide general insights and is not tailored financial advice. Our commentary is rooted in historical data and analyst projections, utilizing an impartial methodology, and is not intended to serve as specific investment guidance. It does not formulate a recommendation to purchase or divest any stock and does not consider individual investment objectives or financial circumstances. Our objective is to deliver long-term, fundamental data-driven analysis. Be aware that our analysis might not incorporate the most recent, price-sensitive company announcements or qualitative information. GuruFocus holds no position in the stocks mentioned herein.

Disclosures

I/We may personally own shares in some of the companies mentioned above. However, those positions are not material to either the company or to my/our portfolios.