ALPHAMIN RESOURCES CORP (AFM.CA) Stock Fundamental Analysis
TSX-V:AFM - TSX Venture Exchange - MU0456S00006 - Common Stock - Currency: CAD
Overall AFM gets a fundamental rating of 7 out of 10. We evaluated AFM against 822 industry peers in the Metals & Mining industry. AFM has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. AFM scores decently on growth, while it is valued quite cheap. This could make an interesting combination. These ratings could make AFM a good candidate for value and quality investing.
1. Profitability
1.1 Basic Checks
AFM had positive earnings in the past year.
AFM had a positive operating cash flow in the past year.
Of the past 5 years AFM 4 years were profitable.
AFM had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
The Return On Assets of AFM (12.41%) is better than 94.91% of its industry peers.
AFM has a Return On Equity of 20.45%. This is amongst the best in the industry. AFM outperforms 95.76% of its industry peers.
With an excellent Return On Invested Capital value of 22.11%, AFM belongs to the best of the industry, outperforming 99.15% of the companies in the same industry.
AFM had an Average Return On Invested Capital over the past 3 years of 25.27%. This is significantly above the industry average of 11.99%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.41% | ||
| ROE | 20.45% | ||
| ROIC | 22.11% |
ROA(3y)13.73%
ROA(5y)7.95%
ROE(3y)21.38%
ROE(5y)12.49%
ROIC(3y)25.27%
ROIC(5y)N/A
1.3 Margins
The Profit Margin of AFM (16.75%) is better than 95.52% of its industry peers.
AFM has a better Operating Margin (40.19%) than 98.06% of its industry peers.
In the last couple of years the Operating Margin of AFM has grown nicely.
Looking at the Gross Margin, with a value of 46.42%, AFM belongs to the top of the industry, outperforming 95.39% of the companies in the same industry.
AFM's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 40.19% | ||
| PM (TTM) | 16.75% | ||
| GM | 46.42% |
OM growth 3Y39.41%
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y24.55%
GM growth 5YN/A
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so AFM is creating value.
The number of shares outstanding for AFM remains at a similar level compared to 1 year ago.
AFM has more shares outstanding than it did 5 years ago.
AFM has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 3.85 indicates that AFM is not in any danger for bankruptcy at the moment.
AFM has a better Altman-Z score (3.85) than 66.42% of its industry peers.
AFM has a debt to FCF ratio of 0.80. This is a very positive value and a sign of high solvency as it would only need 0.80 years to pay back of all of its debts.
The Debt to FCF ratio of AFM (0.80) is better than 94.91% of its industry peers.
AFM has a Debt/Equity ratio of 0.17. This is a healthy value indicating a solid balance between debt and equity.
The Debt to Equity ratio of AFM (0.17) is worse than 63.88% of its industry peers.
Although AFM does not score too well on debt/equity it has very limited outstanding debt, which is well covered by the FCF. We will not put too much weight on the debt/equity number as it may be because of low equity, which could be a consequence of a share buyback program for instance. This needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.17 | ||
| Debt/FCF | 0.8 | ||
| Altman-Z | 3.85 |
ROIC/WACC2.11
WACC10.46%
2.3 Liquidity
A Current Ratio of 1.28 indicates that AFM should not have too much problems paying its short term obligations.
AFM has a Current ratio (1.28) which is in line with its industry peers.
A Quick Ratio of 0.96 indicates that AFM may have some problems paying its short term obligations.
AFM has a Quick ratio of 0.96. This is comparable to the rest of the industry: AFM outperforms 45.09% of its industry peers.
The current and quick ratio evaluation for AFM is rather negative, while it does have excellent solvency and profitability. These ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.28 | ||
| Quick Ratio | 0.96 |
3. Growth
3.1 Past
AFM shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 34.60%, which is quite impressive.
The Revenue has grown by 43.18% in the past year. This is a very strong growth!
The Revenue has been growing by 15.46% on average over the past years. This is quite good.
EPS 1Y (TTM)34.6%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%122.61%
Revenue 1Y (TTM)43.18%
Revenue growth 3Y15.46%
Revenue growth 5YN/A
Sales Q2Q%61.08%
3.2 Future
Based on estimates for the next years, AFM will show a very strong growth in Earnings Per Share. The EPS will grow by 25.64% on average per year.
The Revenue is expected to grow by 17.80% on average over the next years. This is quite good.
EPS Next Y8.43%
EPS Next 2Y13.49%
EPS Next 3Y25.64%
EPS Next 5YN/A
Revenue Next Year44.43%
Revenue Next 2Y25.03%
Revenue Next 3Y17.8%
Revenue Next 5YN/A
3.3 Evolution
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 10.00, the valuation of AFM can be described as very reasonable.
AFM's Price/Earnings ratio is rather cheap when compared to the industry. AFM is cheaper than 93.45% of the companies in the same industry.
AFM's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 29.35.
Based on the Price/Forward Earnings ratio of 3.96, the valuation of AFM can be described as very cheap.
Based on the Price/Forward Earnings ratio, AFM is valued cheaply inside the industry as 97.33% of the companies are valued more expensively.
AFM's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 22.10.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10 | ||
| Fwd PE | 3.96 |
4.2 Price Multiples
AFM's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. AFM is cheaper than 97.21% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of AFM indicates a rather cheap valuation: AFM is cheaper than 97.21% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.34 | ||
| EV/EBITDA | 3.09 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The excellent profitability rating of AFM may justify a higher PE ratio.
AFM's earnings are expected to grow with 25.64% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.19
PEG (5Y)N/A
EPS Next 2Y13.49%
EPS Next 3Y25.64%
5. Dividend
5.1 Amount
AFM has a Yearly Dividend Yield of 15.38%, which is a nice return.
In the last 3 months the price of AFM has falen by -27.93%. A price decline artificially increases the dividend yield. It may be a sign investors do not expect the dividend to last.
AFM's Dividend Yield is rather good when compared to the industry average which is at 7.60. AFM pays more dividend than 100.00% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.33, AFM pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 15.38% |
5.2 History
AFM has paid a dividend for less than 5 years, so there is no long track record yet.
Dividend Growth(5Y)N/A
Div Incr Years1
Div Non Decr Years2
5.3 Sustainability
38.23% of the earnings are spent on dividend by AFM. This is a low number and sustainable payout ratio.
DP38.23%
EPS Next 2Y13.49%
EPS Next 3Y25.64%
TSX-V:AFM (3/7/2025, 7:00:00 PM)
0.8
+0.02 (+2.56%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryMetals & Mining
Earnings (Last)
Earnings (Next)
Inst Owners4.15%
Inst Owner ChangeN/A
Ins Owners1.45%
Ins Owner ChangeN/A
Market Cap1.02B
Analysts0
Price TargetN/A
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 15.38% |
Yearly Dividend0.06
Dividend Growth(5Y)N/A
DP38.23%
Div Incr Years1
Div Non Decr Years2
Ex-DateN/A
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)N/A
PT rev (3m)N/A
EPS NQ rev (1m)0%
EPS NQ rev (3m)0%
EPS NY rev (1m)0%
EPS NY rev (3m)-6.1%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)0%
Revenue NY rev (3m)17.95%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10 | ||
| Fwd PE | 3.96 | ||
| P/S | 1.63 | ||
| P/FCF | 7.34 | ||
| P/OCF | 4.23 | ||
| P/B | 1.99 | ||
| P/tB | 1.99 | ||
| EV/EBITDA | 3.09 |
EPS(TTM)0.08
EY10%
EPS(NY)0.2
Fwd EY25.28%
FCF(TTM)0.11
FCFY13.63%
OCF(TTM)0.19
OCFY23.65%
SpS0.49
BVpS0.4
TBVpS0.4
PEG (NY)1.19
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.41% | ||
| ROE | 20.45% | ||
| ROCE | 39.01% | ||
| ROIC | 22.11% | ||
| ROICexc | 25.67% | ||
| ROICexgc | 25.67% | ||
| OM | 40.19% | ||
| PM (TTM) | 16.75% | ||
| GM | 46.42% | ||
| FCFM | 22.26% |
ROA(3y)13.73%
ROA(5y)7.95%
ROE(3y)21.38%
ROE(5y)12.49%
ROIC(3y)25.27%
ROIC(5y)N/A
ROICexc(3y)38.58%
ROICexc(5y)N/A
ROICexgc(3y)38.58%
ROICexgc(5y)N/A
ROCE(3y)40.88%
ROCE(5y)N/A
ROICexcg growth 3Y33.16%
ROICexcg growth 5YN/A
ROICexc growth 3Y33.16%
ROICexc growth 5YN/A
OM growth 3Y39.41%
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y24.55%
GM growth 5YN/A
F-Score7
Asset Turnover0.74
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.17 | ||
| Debt/FCF | 0.8 | ||
| Debt/EBITDA | 0.28 | ||
| Cap/Depr | 174.09% | ||
| Cap/Sales | 16.38% | ||
| Interest Coverage | 20.11 | ||
| Cash Conversion | 77.9% | ||
| Profit Quality | 132.91% | ||
| Current Ratio | 1.28 | ||
| Quick Ratio | 0.96 | ||
| Altman-Z | 3.85 |
F-Score7
WACC10.46%
ROIC/WACC2.11
Cap/Depr(3y)214.56%
Cap/Depr(5y)188.18%
Cap/Sales(3y)20.19%
Cap/Sales(5y)28.52%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)34.6%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%122.61%
EPS Next Y8.43%
EPS Next 2Y13.49%
EPS Next 3Y25.64%
EPS Next 5YN/A
Revenue 1Y (TTM)43.18%
Revenue growth 3Y15.46%
Revenue growth 5YN/A
Sales Q2Q%61.08%
Revenue Next Year44.43%
Revenue Next 2Y25.03%
Revenue Next 3Y17.8%
Revenue Next 5YN/A
EBIT growth 1Y61.43%
EBIT growth 3Y60.96%
EBIT growth 5YN/A
EBIT Next Year126.64%
EBIT Next 3Y40.28%
EBIT Next 5YN/A
FCF growth 1Y-44.56%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-25.53%
OCF growth 3Y-49.61%
OCF growth 5YN/A