FIRST MAJESTIC SILVER CORP (AG) Stock Fundamental Analysis
NYSE:AG - New York Stock Exchange, Inc. - CA32076V1031 - Common Stock - Currency: USD
Overall AG gets a fundamental rating of 4 out of 10. We evaluated AG against 151 industry peers in the Metals & Mining industry. AG scores quite bad on profitability, while its financial health is fine. Not spectacular, but in line with the averages. AG has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
AG had negative earnings in the past year.
AG had a positive operating cash flow in the past year.
AG had negative earnings in 4 of the past 5 years.
In the past 5 years AG always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of AG (-5.13%) is worse than 62.25% of its industry peers.
AG has a Return On Equity of -7.42%. This is comparable to the rest of the industry: AG outperforms 41.06% of its industry peers.
Looking at the Return On Invested Capital, with a value of 0.71%, AG is in line with its industry, outperforming 46.36% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -5.13% | ||
| ROE | -7.42% | ||
| ROIC | 0.71% |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
AG's Operating Margin of 3.02% is in line compared to the rest of the industry. AG outperforms 50.99% of its industry peers.
In the last couple of years the Operating Margin of AG has declined.
Looking at the Gross Margin, with a value of 16.71%, AG is in line with its industry, outperforming 52.32% of the companies in the same industry.
In the last couple of years the Gross Margin of AG has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 3.02% | ||
| PM (TTM) | N/A | ||
| GM | 16.71% |
OM growth 3Y-29.38%
OM growth 5Y-16.12%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-1.28%
GM growth 5Y-14.71%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so AG is destroying value.
There is no outstanding debt for AG. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
2.2 Solvency
AG has an Altman-Z score of 2.85. This is not the best score and indicates that AG is in the grey zone with still only limited risk for bankruptcy at the moment.
AG has a Altman-Z score of 2.85. This is comparable to the rest of the industry: AG outperforms 59.60% of its industry peers.
The Debt to FCF ratio of AG is 6.94, which is on the high side as it means it would take AG, 6.94 years of fcf income to pay off all of its debts.
AG has a Debt to FCF ratio of 6.94. This is in the better half of the industry: AG outperforms 68.87% of its industry peers.
AG has a Debt/Equity ratio of 0.17. This is a healthy value indicating a solid balance between debt and equity.
AG has a Debt to Equity ratio of 0.17. This is comparable to the rest of the industry: AG outperforms 54.97% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.17 | ||
| Debt/FCF | 6.94 | ||
| Altman-Z | 2.85 |
ROIC/WACC0.08
WACC9.42%
2.3 Liquidity
A Current Ratio of 3.05 indicates that AG has no problem at all paying its short term obligations.
Looking at the Current ratio, with a value of 3.05, AG is in the better half of the industry, outperforming 66.23% of the companies in the same industry.
A Quick Ratio of 2.44 indicates that AG has no problem at all paying its short term obligations.
AG's Quick ratio of 2.44 is fine compared to the rest of the industry. AG outperforms 69.54% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.05 | ||
| Quick Ratio | 2.44 |
3. Growth
3.1 Past
AG shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -44.44%.
AG shows a decrease in Revenue. In the last year, the revenue decreased by -2.30%.
AG shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 9.02% yearly.
EPS 1Y (TTM)-44.44%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%200%
Revenue 1Y (TTM)-2.3%
Revenue growth 3Y-1.36%
Revenue growth 5Y9.02%
Sales Q2Q%25.85%
3.2 Future
AG is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 52.52% yearly.
Based on estimates for the next years, AG will show a very strong growth in Revenue. The Revenue will grow by 36.66% on average per year.
EPS Next Y378.89%
EPS Next 2Y131.16%
EPS Next 3Y68.47%
EPS Next 5Y52.52%
Revenue Next Year62.04%
Revenue Next 2Y36.66%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings Ratio is negative for AG. In the last year negative earnings were reported.
The Price/Forward Earnings ratio is 16.30, which indicates a correct valuation of AG.
66.23% of the companies in the same industry are more expensive than AG, based on the Price/Forward Earnings ratio.
The average S&P500 Price/Forward Earnings ratio is at 22.10. AG is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 16.3 |
4.2 Price Multiples
AG's Enterprise Value to EBITDA ratio is in line with the industry average.
Based on the Price/Free Cash Flow ratio, AG is valued a bit cheaper than 62.25% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 77.39 | ||
| EV/EBITDA | 19.94 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
AG's earnings are expected to grow with 68.47% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y131.16%
EPS Next 3Y68.47%
5. Dividend
5.1 Amount
AG has a yearly dividend return of 0.39%, which is pretty low.
AG's Dividend Yield is comparable with the industry average which is at 3.23.
Compared to an average S&P500 Dividend Yield of 2.33, AG's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.39% |
5.2 History
AG has been paying a dividend for over 5 years, so it has already some track record.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
AG has negative earnings and hence a negative payout ratio. The dividend may be in danger.
DP-5.2%
EPS Next 2Y131.16%
EPS Next 3Y68.47%
5.91
+0.07 (+1.2%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryMetals & Mining
Earnings (Last)
Earnings (Next)
Inst Owners39.36%
Inst Owner Change19.32%
Ins Owners1.01%
Ins Owner Change0%
Market Cap2.85B
Analysts76.92
Price Target6.91 (16.92%)
Short Float %5.14%
Short Ratio1.44
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.39% |
Yearly Dividend0.02
Dividend Growth(5Y)N/A
DP-5.2%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-116.55%
Min EPS beat(2)-205.91%
Max EPS beat(2)-27.18%
EPS beat(4)0
Avg EPS beat(4)-180.59%
Min EPS beat(4)-249.44%
Max EPS beat(4)-27.18%
EPS beat(8)3
Avg EPS beat(8)-113.3%
EPS beat(12)3
Avg EPS beat(12)-126.05%
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)1
Avg Revenue beat(2)2.56%
Min Revenue beat(2)-0.11%
Max Revenue beat(2)5.23%
Revenue beat(4)2
Avg Revenue beat(4)-1.1%
Min Revenue beat(4)-16.99%
Max Revenue beat(4)7.48%
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)-3.18%
PT rev (3m)-3.48%
EPS NQ rev (1m)0%
EPS NQ rev (3m)59.09%
EPS NY rev (1m)9.32%
EPS NY rev (3m)35.38%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)11.29%
Revenue NY rev (3m)24.97%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 16.3 | ||
| P/S | 5.09 | ||
| P/FCF | 77.39 | ||
| P/OCF | 18.76 | ||
| P/B | 2.08 | ||
| P/tB | 2.08 | ||
| EV/EBITDA | 19.94 |
EPS(TTM)-0.13
EYN/A
EPS(NY)0.36
Fwd EY6.13%
FCF(TTM)0.08
FCFY1.29%
OCF(TTM)0.31
OCFY5.33%
SpS1.16
BVpS2.85
TBVpS2.85
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -5.13% | ||
| ROE | -7.42% | ||
| ROCE | 0.9% | ||
| ROIC | 0.71% | ||
| ROICexc | 0.8% | ||
| ROICexgc | 0.8% | ||
| OM | 3.02% | ||
| PM (TTM) | N/A | ||
| GM | 16.71% | ||
| FCFM | 6.57% |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3Y-29.38%
OM growth 5Y-16.12%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-1.28%
GM growth 5Y-14.71%
F-Score5
Asset Turnover0.28
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.17 | ||
| Debt/FCF | 6.94 | ||
| Debt/EBITDA | 1.67 | ||
| Cap/Depr | 91.74% | ||
| Cap/Sales | 20.54% | ||
| Interest Coverage | 1.93 | ||
| Cash Conversion | 106.72% | ||
| Profit Quality | N/A | ||
| Current Ratio | 3.05 | ||
| Quick Ratio | 2.44 | ||
| Altman-Z | 2.85 |
F-Score5
WACC9.42%
ROIC/WACC0.08
Cap/Depr(3y)121.95%
Cap/Depr(5y)145.81%
Cap/Sales(3y)26.95%
Cap/Sales(5y)28.93%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-44.44%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%200%
EPS Next Y378.89%
EPS Next 2Y131.16%
EPS Next 3Y68.47%
EPS Next 5Y52.52%
Revenue 1Y (TTM)-2.3%
Revenue growth 3Y-1.36%
Revenue growth 5Y9.02%
Sales Q2Q%25.85%
Revenue Next Year62.04%
Revenue Next 2Y36.66%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y148.45%
EBIT growth 3Y-30.34%
EBIT growth 5Y-8.55%
EBIT Next Year48.43%
EBIT Next 3Y35.89%
EBIT Next 5Y27.4%
FCF growth 1Y143.28%
FCF growth 3YN/A
FCF growth 5Y11.46%
OCF growth 1Y149.82%
OCF growth 3Y30.28%
OCF growth 5Y1.65%