DRD (DRDGold) Earnings Yield % : 9.02% (As of Dec. 14, 2024)

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What is DRDGold Earnings Yield %?

The earnings yield is an indication of how much return shareholders' investment in the company earned over the past 12 months. The higher the earnings yield is, the better.

As of today (2024-12-14), the stock price of DRDGold is $9.24. DRDGold's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Jun. 2024 was $0.83. Therefore, DRDGold's earnings yield of today is 9.02%.

The earnings yield does not consider the growth of the business. A better indicator of the attractiveness of an investment which takes growth into account is the Forward Rate of Return (Yacktman) %. DRDGold's Forward Rate of Return (Yacktman) % for the quarter that ended in Jun. 2024 was 23.00%. The Forward Rate of Return uses the normalized Free Cash Flow of the past seven years, and considers growth. The forward rate of return can be thought of as the return that investors buying the stock today can expect from it in the future.

DRDGold Earnings Yield % Calculation

Earnings yield is the reciprocal of the P/E Ratio.

DRDGold's Earnings Yield for today is calculated as

Earnings Yield	=	Earnings per Share (Diluted) (TTM)	/	Share Price
	=	0.833	/	9.24
	=	9.02 %

For company reported semi-annually, GuruFocus uses latest annual data as the TTM data. DRDGold's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Jun. 2024 was $0.833 Mil.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

It can also be calculated from the numbers for the whole company:

Earnings Yield

Net Income

Market Cap

The earnings in the calculation is the Trailing Twelve Months earnings.

DRDGold (NYSE:DRD) Earnings Yield % Explanation

If the P/E ratio is an indication of how many years it takes for the company to earn back the stock price shareholders pay to buy the shares, the earnings yield is an indication of how much return shareholders' investment in the company earned over the past 12 months. The higher the earnings yield is, the better.

If a company loses money, the earnings yield is negative. This gives a more straightforward indication that the company is losing money. This is an advantage of using earnings yield instead of the P/E ratio in valuation. For valuation purposes, the P/B Ratio and the P/S Ratio should be used for companies that are losing money.

Like the P/E ratio, the earnings yield can be used to compare investments in different industries. It can even be used to compare the attractiveness of different asset classes such as bonds and cash. Of course, the earnings yield should not be the only factor in deciding which asset classes to invest.

Also similar to the P/E ratio, the earnings yield does not consider the growth of the business. A growing company with the same earnings yield should be more attractive than a company that has the same earnings yield but does not grow.

A better indicator of the attractiveness of an investment which takes growth into account is the Forward Rate of Return (Yacktman) %.

Be Aware

Just like the P/E Ratio, non-recurring items such as selling part of the business, selling a previous investment, etc., can affect earnings yield dramatically. The earning yield is also a poor indication for cyclical companies. When a cyclical stock has a high earnings yield it is usually at the peak of its cycle.

DRDGold Earnings Yield % Related Terms

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DRDGold Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Basic Materials » Metals & Mining » DRDGold Ltd (NYSE:DRD) » Definitions » Earnings Yield %

Comparable Companies

Traded in Other Exchanges

DRD:South Africa DRDGF:USA 0ICU:UK DUBA:Germany DUB1:Germany DUBA:Germany DUB1:Germany

Address

Cnr 14th Avenue and Hendrik Potgieter Road, Constantia Office Park, Cycad House, Building 17, Ground Floor, Weltevreden Park, Johannesburg, ZAF, 1709

Website

https://www.drdgold.com

DRDGold Ltd is a South African gold mining company engaged in surface gold tailings retreatment including exploration, extraction, processing, and smelting. Its reportable operating segments are; Ergo, FWGR, and Corporate office and other reconciling items. The Ergo is a surface gold retreatment operation that treats old slime dams and sand dumps to the south of Johannesburg's central business district as well as the East and Central Rand goldfields; and the FWGR which is a surface gold retreatment operation and treats old slime dams in the West Rand goldfields. The Ergo segment derives a vast majority of the company's revenue.