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Kinross Gold Corp. (TSE:K)
TSX:K

Kinross Gold (K) AI Stock Analysis

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Kinross Gold

(TSX:K)

Rating:77Outperform
Price Target:
C$24.00
▲(14.39%Upside)
Kinross Gold's strong financial performance and robust earnings outlook are key strengths, supported by solid technical indicators. Valuation metrics suggest a reasonable pricing, while corporate events and shareholder confidence further enhance the stock's appeal.
Positive Factors
Cost Management
Kinross has delivered well on its plans, hitting guidance and keeping cost inflation relatively low, enabling margins to expand.
Financial Performance
Kinross portfolio is seen as a low risk, steady collection of assets with a low-cost core that make a strong cash flow engine.
Negative Factors
Earnings
Q4’24 earnings missed expectations due to higher costs and lower production.
Production Costs
Kinross's US assets are slightly more mature and higher cost, but the company is enhancing Fort Knox with high grade and pursuing grade sweeteners at other sites.

Kinross Gold (K) vs. iShares MSCI Canada ETF (EWC)

Kinross Gold Business Overview & Revenue Model

Company DescriptionKinross Gold Corporation is a Canadian-based gold and silver mining company with operations and projects in the United States, Brazil, Mauritania, Chile, and Ghana. Established in 1993, Kinross Gold is one of the world's largest gold mining companies, specializing in the extraction, production, and sale of precious metals to global markets. The company focuses on maintaining a high standard of environmental and social responsibility while delivering value to shareholders.
How the Company Makes MoneyKinross Gold makes money primarily through the extraction, production, and sale of gold and silver. The company's revenue model is centered around mining operations, where it extracts ore from its mines and processes it to produce gold and silver bullion. These precious metals are then sold in the global commodities markets, where prices are subject to market fluctuations. Kinross Gold also engages in strategic partnerships and joint ventures to optimize its mining operations and expand its resource base. Additionally, the company may enter into hedging contracts to manage price risk and ensure stable cash flows. Factors such as operational efficiency, cost management, and market demand for gold and silver significantly contribute to the company's earnings.

Kinross Gold Earnings Call Summary

Earnings Call Date:May 06, 2025
(Q1-2025)
|
% Change Since: 0.11%|
Next Earnings Date:Jul 30, 2025
Earnings Call Sentiment Positive
Kinross Gold demonstrated a strong start to 2025 with robust financial results, enhanced shareholder returns, and a solid safety and operational performance. Despite some operational challenges, including the fire at Tasiast and inflationary pressures, the company maintains a positive outlook and is well-positioned to meet its annual guidance.
Q1-2025 Updates
Positive Updates
Strong Start to 2025 with High Production
Kinross Gold achieved a production of 512,000 ounces in Q1 2025, with significant contributions from Tasiast and Paracatu, which accounted for more than half of the output.
Financially Robust Position
Q1 margins were strong at over $1800 per ounce. Adjusted earnings were $0.30 per share, and adjusted operating cash flow was $676 million. The company increased its liquidity to approximately $2.3 billion.
Enhanced Shareholder Returns
Kinross announced the reactivation of its share buyback program, aiming for a $500 million repurchase of common shares in 2025, marking a 300% increase in total return of capital compared to last year.
Operational Excellence and Safety
The company completed its safety excellence program, including 54 operational learning teams and over 28,000 field engagements in Q1 2025.
Positive Credit Outlook
Moody's revised Kinross Gold's outlook to positive from stable and reaffirmed its investment-grade credit rating, reflecting financial stability.
Negative Updates
Tasiast Fire Incident
A fire incident in mid-April at the Tasiast mill led to a brief shutdown, affecting production temporarily, although the company mitigated the impact by expediting repairs.
Production Challenges at Round Mountain
Round Mountain's production was lower due to mine sequencing as mining transitions, with production expected to improve towards the end of the year.
Inflation and Rising Costs
Kinross expects inflation to range between 3% to 4% for the year, and operating costs are projected to increase due to factors like stripping costs at certain phases being characterized as operating costs from midyear.
Company Guidance
During the Kinross Gold First Quarter 2025 Results Conference Call, the company provided a robust guidance outlook for the year. Kinross produced 512,000 gold equivalent ounces in Q1, with notable contributions from Tasiast and Paracatu, which accounted for more than half of the production. The cost of sales was $1,038 per ounce, and all-in sustaining costs were $1,355 per ounce, both favorable compared to annual guidance. The company reported strong margins of over $1,800 per ounce and adjusted earnings of $0.30 per share. Kinross plans to maintain its financial discipline and cost management to achieve the annual production target of 2 million ounces at a cost of sales of $1,120 per ounce and all-in sustaining cost of $1,500 per ounce. The company also outlined its capital return strategy, aiming to repurchase a minimum of $500 million in shares, enhancing total return of capital to $650 million, a 300% increase from the previous year. Additionally, capital expenditures are on track to meet the $1.15 billion guidance for 2025.

Kinross Gold Financial Statement Overview

Summary
Kinross Gold demonstrates strong financial health with growing revenues and efficient cash flow management. While profitability metrics are improving, historical fluctuations in net income and moderate ROE indicate areas for vigilance. The company's solid balance sheet and cash flow positions it well for future growth, albeit with some profitability stability concerns.
Income Statement
78
Positive
Kinross Gold shows strong revenue growth with a 8.06% increase in TTM over the previous year. Gross profit and net profit margins have also improved, demonstrating enhanced operational efficiency. The EBIT and EBITDA margins are robust, indicating effective cost management. However, the net income fluctuated significantly in past years, posing risks to consistent profitability.
Balance Sheet
72
Positive
The balance sheet is solid with a favorable debt-to-equity ratio of 0.17 in TTM, reflecting manageable leverage. The equity ratio of 65.75% underscores a strong equity base. However, the return on equity is moderate, suggesting room for improvement in generating returns from equity.
Cash Flow
83
Very Positive
Kinross Gold's cash flow statement is impressive, with a substantial 24.89% growth in free cash flow in TTM, indicating efficient cash management. The operating cash flow to net income ratio is healthy, ensuring liquidity to support operations. The free cash flow to net income ratio further highlights the company's ability to convert profits into cash.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue5.56B5.15B4.24B3.46B3.73B4.21B
Gross Profit2.46B1.88B1.16B515.40M1.02B2.30B
EBITDA3.08B2.60B1.76B945.40M854.61M2.73B
Net Income1.21B948.80M416.30M-605.20M221.20M1.34B
Balance Sheet
Total Assets10.95B10.87B10.54B10.40B10.43B10.93B
Cash, Cash Equivalents and Short-Term Investments694.60M628.20M366.90M418.10M531.50M1.21B
Total Debt1.24B1.45B2.26B2.62B1.68B1.97B
Total Liabilities3.62B3.87B4.36B4.51B3.78B4.27B
Stockholders Equity7.20B6.86B6.08B5.82B6.58B6.60B
Cash Flow
Free Cash Flow1.60B1.28B507.00M242.20M145.50M993.60M
Operating Cash Flow2.67B2.45B1.61B1.05B1.14B1.96B
Investing Cash Flow-1.08B-1.18B-1.01B-1.60B-1.19B-1.25B
Financing Cash Flow-1.25B-1.01B-549.00M437.50M-623.20M-67.70M

Kinross Gold Technical Analysis

Technical Analysis Sentiment
Neutral
Last Price20.98
Price Trends
50DMA
20.63
Positive
100DMA
19.08
Positive
200DMA
16.65
Positive
Market Momentum
MACD
0.18
Positive
RSI
49.72
Neutral
STOCH
59.71
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:K, the sentiment is Neutral. The current price of 20.98 is below the 20-day moving average (MA) of 21.21, above the 50-day MA of 20.63, and above the 200-day MA of 16.65, indicating a neutral trend. The MACD of 0.18 indicates Positive momentum. The RSI at 49.72 is Neutral, neither overbought nor oversold. The STOCH value of 59.71 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for TSE:K.

Kinross Gold Peers Comparison

Overall Rating
UnderperformOutperform
Sector (62)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
TSABX
80
Outperform
$50.76B15.919.70%1.94%19.13%66.78%
TSLUG
78
Outperform
$17.66B23.4347.31%3.58%34.41%139.62%
TSK
77
Outperform
$25.52B15.1618.12%0.79%30.84%188.80%
TSEDV
76
Outperform
C$9.97B-3.12%3.99%59.60%-74.74%
TSBTO
74
Outperform
C$6.37B-17.61%2.27%5.97%-1677.31%
TSAGI
71
Outperform
$15.03B41.527.85%0.38%37.83%24.13%
62
Neutral
$10.18B9.76-0.16%2.86%2.22%-32.49%
* Basic Materials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
TSE:K
Kinross Gold
20.98
8.59
69.30%
TSE:AGI
Alamos Gold
36.25
12.48
52.50%
TSE:LUG
Lundin Gold
71.65
49.53
223.94%
TSE:BTO
B2Gold
4.88
0.98
25.03%
TSE:ABX
Barrick Mining
28.59
4.38
18.08%
TSE:EDV
Endeavour Mining
41.00
9.94
32.00%

Kinross Gold Corporate Events

Executive/Board ChangesShareholder Meetings
Kinross Gold Reports Strong Shareholder Support at Annual Meeting
Positive
May 8, 2025

Kinross Gold Corporation announced the results of its Annual Shareholder Meeting, where the election of its Board of Directors took place. All nominees were successfully elected, with high approval rates. Additionally, the ‘Say on Pay’ resolution regarding executive compensation and the appointment of auditors were approved by the shareholders. These results reflect strong shareholder support for the company’s leadership and strategic direction.

Executive/Board ChangesShareholder Meetings
Kinross Gold Announces Successful Board Elections and Shareholder Meeting Results
Positive
May 8, 2025

Kinross Gold Corporation announced the results of its Annual Shareholder Meeting, where the election of its Board of Directors took place. All nominees listed in the Management Information Circular were elected, with high approval ratings. Additionally, the ‘Say on Pay’ resolution on executive compensation and the appointment of auditors received significant support from shareholders. These results reflect strong shareholder confidence in the company’s leadership and strategic direction.

Business Operations and Strategy
Kinross Gold Temporarily Suspends Tasiast Mill Operations Following Fire
Neutral
Apr 15, 2025

Kinross Gold Corporation announced a temporary suspension of mill operations at its Tasiast mine due to a fire that occurred on April 14, 2025. The fire, which was localized in the SAG discharge area, has been extinguished with no injuries reported. Mining operations continue as planned, and the company is assessing the damage and potential impact on operations. Despite the incident, Kinross does not expect to change its production guidance for Tasiast, indicating that critical spare parts are available on site.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Jun 05, 2025