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Anglo American PLC AAL

Morningstar Rating
GBX 2,444.00 +10.50 (0.43%)
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Company Report

Commodity Price Update Q3 2024: Value in Mineral Sands, Gold, and Thermal Coal

Base metals prices surged earlier in the June quarter of 2024 before partially reversing due to concerns over China’s economy. Iron ore prices are broadly stable despite China's struggling property market and weak infrastructure spending, leading to questions over China's steel demand. After updating our commodity price assumptions, no-moat Iluka is the cheapest miner we cover, trading 31% below its unchanged fair value estimate of AUD 9.50.

Price vs Fair Value

AAL is trading at a 669% premium.
Price
GBX 2,444.00
Fair Value
GBX 2,977.00
Uncertainty
High
1-Star Price
GBX 3,737.00
5-Star Price
GBX 5,856.00
Economic Moat
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Capital Allocation
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Bulls Say, Bears Say

Bulls

Large platinum and diamond businesses give Anglo the kind of exposure to late-stage commodities that major mining peers don't possess.

Bears

Labor unrest and periodic calls for mining industry nationalization represent a source of concern for Anglo's South African assets.

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News

Trading Information

Previous Close Price
GBX 2,433.50
Day Range
GBX 2,418.502,464.50
52-Week Range
GBX 1,630.002,813.00
Bid/Ask
GBX 2,250.00 / GBX 2,550.00
Market Cap
GBX 2.96 Tril
Volume/Avg
4.0 Mil / 6.1 Mil

Key Statistics

Price/Earnings (Normalized)
12.46
Price/Sales
1.21
Dividend Yield (Trailing)
3.14%
Dividend Yield (Forward)
3.14%
Total Yield
3.88%

Company Profile

Anglo American's mining portfolio spans many commodities and continents. Like fellow large diversified miners, Anglo has significant exposure to copper, iron ore and metallurgical coal, but it is unique among the global majors given its significant platinum group metals and diamonds output. The company accounts for about one third of the world’s platinum supply and around 30% of palladium supply. Anglo also owns 85% of De Beers, in most years the world's largest supplier and marketer of rough gem diamonds by value. Anglo also plans to move back into the crop nutrients business via its Woodsmith polyhalite project in the United Kingdom.
Sector
Basic Materials
Industry
Other Industrial Metals & Mining
Stock Style Box
Large Value
Total Number of Employees
58,000

Competitors

Valuation

Metric
AAL
RIO
BHP
Price/Earnings (Normalized)
12.4611.3211.18
Price/Book Value
1.512.493.64
Price/Sales
1.212.462.73
Price/Cash Flow
5.348.047.07
Price/Earnings
AAL
RIO
BHP

Financial Strength

Metric
AAL
RIO
BHP
Quick Ratio
1.061.041.08
Current Ratio
1.851.691.57
Interest Coverage
4.208.047.59
Quick Ratio
AAL
RIO
BHP

Profitability

Metric
AAL
RIO
BHP
Return on Assets (Normalized)
3.73%11.84%13.90%
Return on Equity (Normalized)
9.49%22.48%31.67%
Return on Invested Capital (Normalized)
6.06%19.38%21.70%
Return on Assets
AAL
RIO
BHP
See how this stock stacks up to its competitors with Morningstar Investor

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Economic Moat
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