Does Goldcorp Inc. (NYSE:GG)’s Growth Make it a Buy?

For the next year, sell-side analysts are expecting EPS growth of 27.86% for Goldcorp Inc. (NYSE:GG). Analysts are expecting an EPS change of 103.80% for the current year. Tracking company EPS may help to evaulate company stock value. Wall Street analysts polled by Thomson Reuters have a current recommendation of 2.60 on a consensus basis for the stock. On a number scale from 1 to 5, a 5 would represent a Strong Sell recommendation. A 1 rating would signify a Strong Buy. The same analysts see shares reaching $16.89 within the next year on a consensus basis.

RECENT PERFORMANCE

Let’s take a look at how the stock has been performing recently.  Over the past twelve months, Goldcorp Inc. (NYSE:GG)’s stock was -3.16%.  Over the last week of the month, it was 1.07%, -5.12% over the last quarter, and  -25.47% for the past six months.

Over the past 50 days, Goldcorp Inc. stock’s -7.10% off of the high and 4.27% removed from the low.  Their 52-Week High and Low are noted here.  -31.15% (High), 8.73%, (Low). 

Fundamental analysis examines the financial elements of a company, for example; sales, cash flow, profit and balance sheet.  These numbers are then crunched to create theoretical valuations of companies. 

Earnings Per Share (EPS) is the earnings made by a company divided by their number of shares.  EPS enables the earnings of a company to easily be compared to their competitors. The higher the number, the more profit per dollar is being made on investor capital.  Goldcorp Inc.’s EPS for the trailing 12 months is 0.54.  Their EPS should be compared to other companies in the Basic Materials sector.

Price-to-Earnings Ratio is the current share price divided by annual earnings per share.  P/E provides a number that details how many years of earnings it will take a stock to recoup the value of one share at current price levels.  Easy to calculate and understand, P/E is an extremely common ratio that is used to compare valuations of stocks against each other relatively.  Goldcorp Inc.’s  P/E ratio is 24.25. 

Goldcorp Inc. (NYSE:GG)’s RSI (Relative Strength Index) is 48.13.  RSI is a technical indicator of price momentum, comparing the size of recent gains to the size of recent losses and establishes oversold and overbought positions.

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