NGD New Gold Inc

New Gold Inc. is a Canadian mid-tier gold miner with assets in Canada and Mexico, focused on growing production and managing all-in sustaining costs. Sector: Materials.

New Gold Inc (NGD) is an individual stock. The analysis below presents key financial metrics for the company, covering profitability, capital efficiency, valuation, margins, and growth.

Assessing the quality of returns on invested capital, ROIC is 31.21%, WACC is 12.85%, and the economic spread is 18.36%. On balance, the company is clearing their capital cost hurdle with room to spare. Supporting metrics show ROE at 62.37% and ROA at 25.36%, a combination that helps frame whether profitability strength is broad enough to hold through different market conditions. Taken together, the return profile suggests a company with credible compounding capacity if current operating execution persists.

The company's current market valuation reflects trailing P/E of 8.29, forward P/E of 6.59, PEG of 0.42. The trailing-to-forward compression is minimal, consistent with a market that sees limited earnings acceleration from current levels. On a PEG basis, the company screens as attractively priced relative to its expected earnings growth. The current ratio of 1.32 is below average, suggesting some the company may face tighter short-term financial conditions. Across multiples and liquidity, the company is priced in a way that reflects current expectations reasonably well — leaving limited room for error, but also limited near-term downside from valuation compression alone.

Looking at margins from gross to free cash flow, gross margin sits at 61.05%, operating margin at 44.31%, and free cash flow margin at 20.68%. The gross margin here is a standout, pointing to businesses with durable unit economics and limited commodity exposure. Exceptional operating margins signal that overhead costs are well managed relative to the revenue base. The company's cash conversion is solid — a sign that operating profits are translating into real liquidity for the company. The aggregate margin picture is strong enough to suggest resilience through normal cyclical pressure.

On the growth front, TTM revenue growth of 89.21% pointing to sustained and broad-based revenue growth within the company. Projected 12-month EPS growth of 25.8% adds a powerful forward signal — analyst consensus expects earnings to accelerate materially, which, if delivered, could make current multiples look increasingly modest. Reported revenue growth captures operational reality directly, without the added uncertainty of embedded analyst assumptions. The durability of the revenue trajectory will be the primary factor in determining whether the current setup translates into meaningful near-term returns.

The quantitative profile, taken as a whole, is above average on virtually every dimension that matters for long-term return generation.

This assessment is based solely on the quantitative metrics presented above and does not constitute financial advice. Investors should consider their own risk tolerance and conduct independent research before making investment decisions.