DRD

Basic Materials

DRDGOLD Limited · Gold · $2B

UQS Score — Balanced Preset
69.0
Good

DRDGOLD Limited scores 69.0/100 using the Balanced preset.

UQS vs Basic Materials Sector
DRD
69.0
Sector avg
38.2
Quality
Good
Moat
Weak
Growth
Strong
Risk
Strong
Valuation
Attractive

What is DRDGOLD Limited?

DRDGOLD Limited is one of South Africa's oldest gold recovery businesses, specialising in retreating surface gold tailings rather than conventional underground mining. Operating within the Witwatersrand basin, the company has carved a distinct niche in the Basic Materials sector.

DRDGOLD recovers gold from historical mine waste — known as surface tailings — deposited across the Gauteng province. Instead of sinking new shafts, the company processes material that conventional miners left behind, running it through extraction and smelting operations. This model reduces certain capital risks associated with traditional gold mining while allowing the company to scale output by accessing additional tailings deposits across the Witwatersrand basin.

Incorporated in 1895 and headquartered in Johannesburg, South Africa, DRDGOLD operates today as a subsidiary of Sibanye Gold Limited.

  • Surface gold tailings retreatment and processing
  • Gold extraction and recovery operations
  • Smelting and refining of recovered gold
  • Exploration of additional tailings resources in Gauteng

Is DRD a Good Stock to Buy?

UQS Score rates DRD as Very Good overall, reflecting a balanced profile with notable strengths across several key dimensions.

The Growth and Risk pillars both register as Strong — suggesting the business is expanding its output potential while managing operational and financial exposures relatively well compared to sector peers. Valuation is rated Attractive, meaning the market may not yet be fully pricing in the company's fundamental profile.

The Moat pillar is rated Weak, which points to limited durable competitive advantages — a common challenge for commodity producers where pricing power is largely determined by global gold markets rather than proprietary positioning.

See the exact pillar breakdown and full financial metrics by signing up for a UQS Pro account. Sign up free →

Past performance does not guarantee future results. UQS Score is based on fundamental data and is not a buy/sell recommendation.

Does DRD pay dividends?

Yes — DRDGOLD Limited pays a dividend.

DRDGOLD pays a regular dividend, which is relatively uncommon among smaller gold producers and reflects the company's focus on returning capital to shareholders. The dividend cadence aligns with the company's gold recovery cash flows. Income-oriented investors in the Basic Materials sector may find this payout policy noteworthy, though dividend levels can fluctuate with gold prices and operational performance.

When does DRD report earnings?

DRDGOLD reports earnings on a regular cadence, consistent with its listing obligations as a publicly traded gold producer.

The company's Growth pillar is rated Strong, indicating that recent operational and financial trends have been moving in a positive direction relative to sector peers. Revenue and production metrics have benefited from the company's tailings retreatment model, which can scale without the lead times of conventional mine development.

For the most recent quarter's results and official guidance, visit DRDGOLD's investor relations page directly.

DRD Price History

+180.9% over 5Y

Monthly close, adjusted for stock splits and dividend reinvestment.

Return Calculator

What if I invested in DRDGOLD Limited?

$
Today it would be worth
$33,314
That's a +233% total return, or +27.2% annualized.

Based on DRDGOLD Limited's historical closing prices, adjusted for stock splits and dividend reinvestment. Past performance does not guarantee future results. This is for informational purposes only and is not financial advice.

DRD Long-term Outlook

DRDGOLD's fundamental outlook is shaped by two dominant forces: the global gold price environment and the company's ability to access and process additional tailings volumes. With Growth rated Strong and Risk also rated Strong, the near-term trajectory appears constructive from a quality-scoring perspective. The Attractive Valuation label adds further interest for investors monitoring entry points in the gold sector.

Growth drivers

  • Expansion into additional Witwatersrand tailings deposits
  • Favourable gold price environment supporting revenue growth
  • Operational leverage from scaling the tailings retreatment model

Key risks

  • Gold price volatility directly impacts revenue and margins
  • Weak Moat rating signals limited pricing power beyond commodity rates
  • Regulatory and environmental requirements in South Africa's mining sector

DRD vs Peers

DRDGOLD operates in a competitive gold sector alongside several other producers listed on North American exchanges.

SXGC.TODRD scores higher
Southern Cross Gold Consolidated Ltd.

Southern Cross Gold focuses on exploration-stage assets in Australia, representing an earlier-stage risk and return profile compared to DRDGOLD's producing operations.

SGD.TODRD scores higher
Snowline Gold Corp.

Snowline Gold is a Canadian exploration company targeting high-grade gold discoveries in the Yukon, operating at a much earlier stage than DRDGOLD's established retreatment business.

CNL.TODRD scores higher
Collective Mining Ltd.

Collective Mining pursues copper-gold exploration in Colombia, offering a different geographic and commodity exposure compared to DRDGOLD's South African surface tailings focus.

Frequently Asked Questions

What does DRDGOLD do?

DRDGOLD recovers gold from surface tailings — historical mine waste — across the Witwatersrand basin in South Africa's Gauteng province. Rather than conventional underground mining, the company processes material already extracted by previous operations, running it through extraction, processing, and smelting to recover gold.

Does DRD pay dividends?

Yes, DRDGOLD pays a regular dividend. This distinguishes it from many smaller gold producers that reinvest all cash flows. The dividend is linked to the company's gold recovery earnings, so payouts can vary with gold prices and production volumes. Check DRDGOLD's investor relations page for the latest declared amounts.

When does DRD report earnings?

DRDGOLD reports financial results on a regular cadence in line with its listing requirements. For exact reporting dates and the most recent results, visit the company's official investor relations page, as our data source does not cover specific upcoming earnings dates.

Is DRD a good stock to buy?

UQS Score rates DRD as Very Good overall. The Growth and Risk pillars are both Strong, and Valuation is Attractive — a combination that may interest quality-focused investors. The Moat pillar is Weak, reflecting the commodity-driven nature of gold pricing. The full pillar breakdown is available to UQS Pro members.

Is DRD overvalued?

The UQS Valuation pillar for DRD is rated Attractive, suggesting the stock may be trading at a reasonable level relative to its fundamental profile. Valuation in the gold sector is heavily influenced by the gold price, so this rating should be considered alongside broader commodity market conditions.

How does DRD compare to its competitors?

DRDGOLD is a producing company with an established retreatment operation, which sets it apart from exploration-stage peers like Snowline Gold and Southern Cross Gold. Its South African focus and tailings-based model are also distinct from companies like Collective Mining, which targets copper-gold exploration in Latin America.

What is DRD's market cap bracket?

DRDGOLD is classified as a mid-cap company. This places it in a range that typically attracts both institutional and retail investors seeking exposure to gold without the concentration risk of micro-cap explorers or the lower growth potential sometimes associated with mega-cap miners.

Who founded DRDGOLD?

DRDGOLD traces its origins to 1895, making it one of the oldest gold-related entities in South Africa. The company's founding history is tied to the early development of the Witwatersrand gold fields. Detailed founding information is widely available through the company's official corporate history.

Is DRD a long-term quality investment?

From a long-term quality perspective, DRD's Very Good UQS Score reflects strengths in Growth and Risk management. However, the Weak Moat rating is a consideration — gold producers generally lack pricing power, as revenues depend on global commodity markets. Long-term quality indicators are available in full via a UQS Pro membership.

What is the main competitive advantage of DRDGOLD?

DRDGOLD's primary operational advantage is its surface tailings retreatment model, which avoids the capital intensity and safety risks of underground mining. Access to large volumes of historical mine waste in the Witwatersrand basin provides a scalable resource base. However, the UQS Moat pillar rates this advantage as Weak in a broader competitive context.

What sector does DRD belong to?

DRDGOLD operates in the Basic Materials sector, specifically within gold mining and recovery. Investors in this sector are typically seeking commodity exposure, inflation hedging, or portfolio diversification. Gold producers like DRDGOLD are sensitive to global gold prices, currency movements, and regional operating conditions in South Africa.

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Pro Analysis

DRD — Score History

606570758085Apr 2Apr 12Apr 22May 2May 12May 22May 24v5
Score changes· 23 most recent
DateUQSQualityMoatGrowthRiskValueChange
May 22, 202668.968.824.082.1100.095.5+0.2
May 17, 202668.768.424.082.1100.094.9-0.1
May 16, 202668.868.424.082.1100.095.5+0.2
May 13, 202668.667.824.082.1100.094.5+0.2
May 12, 202668.467.624.082.1100.093.7+0.9
May 10, 202667.566.524.082.1100.089.7-1.1
May 8, 202668.667.624.082.1100.095.10.0
May 3, 202668.667.824.082.1100.094.90.0
Apr 25, 202668.567.824.082.1100.094.40.0
Apr 24, 202668.567.724.082.1100.094.20.0

DRD — Pillar Breakdown

Quality

68.8/100 (25%)

DRDGOLD Limited shows solid profitability with healthy returns on capital and reasonable margins.

Capital Efficiency (ROIC)Moderate

How effectively capital is deployed to generate returns.

Return on EquityStrong

Profitability relative to shareholders' equity.

Operating ProfitabilityStrong

Ability to convert revenue into operating profit.

Net ProfitabilityStrong

Bottom-line profit as a share of revenue.

Gross Profit / AssetsStrong

Asset productivity — how much gross profit each dollar of assets generates.

Cash GenerationModerate

Free cash flow relative to market value.

Growth

82.1/100 (20%)

DRDGOLD Limited is growing rapidly with strong revenue and earnings expansion.

Recent Revenue TrendStrong

Revenue trajectory over the last twelve months.

3Y Revenue CAGRStrong

Compound annual revenue growth rate over 3 years.

EPS GrowthStrong

Year-over-year earnings per share growth.

Forward Revenue OutlookStrong

Analyst consensus for future revenue growth.

Forward EPS GrowthStrong

Analyst consensus for future earnings growth.

Risk

100.0/100 (15%)

DRDGOLD Limited carries minimal financial risk with conservative leverage and strong solvency.

Financial LeverageStrong

Debt levels relative to earnings capacity.

Debt/EquityStrong

Total debt relative to shareholder equity.

Current RatioStrong

Short-term liquidity — ability to pay near-term obligations.

Interest CoverageStrong

Earnings capacity relative to interest payments.

Valuation

95.9/100 (15%)

DRDGOLD Limited appears attractively valued relative to its earnings, cash flows, and sector peers.

Earnings YieldStrong

Inverse of forward P/E — higher yield means cheaper stock.

Price to Free Cash FlowStrong

How many years of FCF the market cap represents.

PEG RatioStrong

P/E relative to earnings growth — lower is more attractive.

EV/EBITDA vs SectorStrong

Enterprise value multiple relative to sector median.

Moat

24/100 (25%)

DRDGOLD Limited operates in a highly competitive environment with limited sustainable advantages. The Moat pillar evaluates competitive advantages across five dimensions: Switching Costs, Network Effects, Cost Advantage, Intangible Assets, and Scale & Ecosystem. Sign in to customize moat ratings for DRD.

Score Composition

Quality
68.8×25%17.2
Growth
82.1×20%16.4
Risk
100.0×15%15.0
Valuation
95.9×15%14.4
Moat
24.0×25%6.0
Total
69.0Good

Financial Data

More Stock Analysis

How is the DRD UQS Score Calculated?

The UQS (Unified Quality Score) for DRDGOLD Limited is calculated using a proprietary 6-pillar framework with 29 financial metrics. Each pillar evaluates a different dimension on a 0–100 scale, then combines into a single weighted score. Scoring thresholds are calibrated per sector. Momentum is an optional Pro toggle — without it, you get the 5-pillar / 25-metric core shown below.

Quality (25%) measures profitability and capital efficiency — ROIC, ROE, margins, GP/Assets, and FCF Yield.

Moat (25%) assesses DRDGOLD Limited's competitive advantages across switching costs, network effects, cost advantages, intangible assets, and ecosystem scale.

Growth (20%) tracks revenue trajectory and earnings momentum, combining historical results with analyst forward estimates.

Risk (15%) is inversely scored — lower leverage and strong balance sheet health result in higher scores.

Valuation (15%) measures whether DRDGOLD Limited is fairly priced using earnings yield, price-to-FCF, PEG ratio, and EV/EBITDA relative to sector peers.

Six investor-inspired presets are available, each with different pillar weights: Balanced, Buffett, Munger, Lynch, Cathie Wood, and Graham. The public score shown here uses the Balanced preset. Learn more in our FAQ.