Kinross Gold Corporation (KGC) Intrinsic Value & DCF Valuation
Gold · NYSE
Current Price
$23.18
Intrinsic Value
Outside reliable range
What Is Kinross Gold Corporation's Intrinsic Value?
The base-case DCF model produces an intrinsic value estimate for Kinross Gold Corporation (KGC) that falls outside its reliable range, so treat any single number with extra caution. This usually happens with unusual cash flow patterns or rapid recent changes in the business.
How the DCF works · Recalculate with your own assumptions · What is intrinsic value?
Is Kinross Gold Corporation (KGC) Undervalued?
Because the model output for KGC is outside the reliable range, no undervalued or overvalued read is given here. Use the calculator below to test your own assumptions instead.
COMPETITIVE MOAT
↑Deep Project Pipeline
Kinross possesses a robust pipeline of development projects. This provides a long-term supply of gold, ensuring future production and revenue streams.
↑Operational Scale and Expertise
As a large-scale gold producer, Kinross benefits from economies of scale. Its extensive experience in complex mining operations offers a competitive advantage.
↑Strong Balance Sheet and Cash Flow
The company's healthy balance sheet and robust free cash flow generation enable reinvestment in growth. This financial strength supports exploration and development initiatives.
INVESTMENT RISKS
↓Commodity Price Volatility
The price of gold is subject to significant fluctuations. A sharp decline in gold prices would directly impact Kinross's revenue and profitability.
↓Exploration and Development Risks
Discovering and developing new gold deposits is inherently uncertain. There's a risk that exploration efforts may not yield commercially viable reserves.
↓Environmental and Social Governance
Mining operations face increasing scrutiny regarding environmental impact and social responsibility. Negative ESG events can lead to reputational damage and operational disruptions.
Base case
KGC base case valuation
Base case assumptions: 5.3% annual growth, 10.0% discount rate, 8.94x exit multiple, 5 year projection. Data as of 2026-10-07.
This base case uses default assumptions and is not financial advice. The intrinsic value changes significantly when the growth rate or discount rate changes. Open the calculator to set your own assumptions and see the full sensitivity range.
Customize the KGC valuation
Adjust the growth rate, discount rate, and exit multiple to see how the intrinsic value and margin of safety for Kinross Gold Corporation respond.
Open DCF Calculator for KGCCompany Overview
Kinross Gold Corporation, along with its various affiliates, is dedicated to acquiring, exploring, and developing gold deposits primarily across regions such as the United States, Russia, Brazil, Chile, Ghana, and Mauritania. Beyond these core operations, the company also handles the mining and processing of gold-bearing ores, conducts rehabilitation of former gold mining sites, and produces and sells silver. Kinross Gold Corporation was established in 1993 and maintains its corporate headquarters in Toronto, Canada.
Financial Metrics — KGC Stock Valuation Data
Revenue/Share (TTM)
$7.04
FCF/Share (TTM)
$2.59
ROIC (TTM)
25.2%
ROE (TTM)
35.7%
P/FCF
8.9x
EV/EBITDA
4.6x
FCF Yield
11.19%
Debt/Equity
0.08x
On a trailing twelve-month basis, KGC generates free cash flow per share of $2.59 alongside a ROIC of 25.2%, both central inputs for a DCF valuation. Its P/FCF ratio of 8.9x and FCF yield of 11.19% then frame how KGC is priced against peers on a cash flow basis.
Frequently Asked Questions
What is the intrinsic value of KGC?
Kinross Gold Corporation currently generates $2.59 in free cash flow per share. At the current price of $23.18, a DCF model would discount these cash flows at an appropriate WACC and apply a terminal growth rate to arrive at an intrinsic value. The result depends heavily on your growth and discount rate assumptions — a 1% change in WACC typically shifts the fair value estimate by 10-15%. In MiniValuator the model uses a single discount rate that you can edit directly, 10% by default, rather than a computed WACC.
Is KGC undervalued?
KGC trades at a P/FCF ratio of 8.9x with a free cash flow yield of 11.19%. A low P/FCF means investors are paying less per dollar of free cash flow; whether that is cheap depends on the company's growth, cyclicality, and capital intensity. However, whether KGC is truly undervalued requires comparing the DCF intrinsic value to the current market price and evaluating whether the margin of safety is sufficient for your risk tolerance.
How do I value KGC stock using DCF?
To perform a DCF valuation on Kinross Gold Corporation: (1) Start with the trailing free cash flow per share ($2.59) as the base, (2) project future FCF growth over 5-10 years based on Gold industry trends and company fundamentals, (3) apply a discount rate (WACC) reflecting KGC's risk profile — with a debt-to-equity of 0.08x, capital structure is an important factor, and (4) add a terminal value for cash flows beyond the projection period.
What is DCF valuation and how does it apply to KGC?
DCF (Discounted Cash Flow) estimates what a company is worth today based on its future cash generation. For Kinross Gold Corporation, this means projecting how much free cash flow the company will produce over the next 5-10 years, shaped by Gold trends, then discounting those amounts to today's dollars. KGC's ROIC of 25.2% reflects how efficiently the company converts invested capital into profit.
How does WACC affect KGC stock valuation?
WACC (Weighted Average Cost of Capital) is the discount rate in a DCF model — it reflects the minimum return investors require. For KGC, with a debt-to-equity ratio of 0.08x, the capital structure directly influences WACC. A 1% increase in WACC typically reduces the intrinsic value by 10-15%. At an EV/EBITDA of 4.6x, the market's implied discount rate can be reverse-engineered for comparison. In MiniValuator you set this discount rate yourself as a single editable number, 10% by default, instead of computing a formal WACC.
Learn More
- See KGC PE Valuation → — Earnings-based stock valuation using PE ratio analysis
- DCF Methodology — Step-by-step guide to discounted cash flow analysis
- PE Methodology — Guide to PE ratio stock valuation
- WACC — Understanding the discount rate used in DCF
- Margin of Safety — How to evaluate downside protection
- Intrinsic Value — How to evaluate stock fair value
- How to Calculate Intrinsic Value — Complete guide for investors
Related Valuations
All Basic Materials valuationsDCF and P/E value KGC with different methods and assumptions, so the two conclusions can differ. Compare the P/E fair value.
Price as of 2026-10-07. Financial data from Financial Modeling Prep (trailing twelve months) · Valuation methodology by Charlie Wang.
This is an estimate, not investment advice.