FORTUNA MINING CORP (FSM) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:FSM - CA3499421020 - Common Stock
11.65 USD
+0.25 (+2.19%)
11.74 USD
+0.09 (+0.77%)
Overall FSM gets a fundamental rating of 7 out of 10. We evaluated FSM against 154 industry peers in the Metals & Mining industry. FSM gets an excellent profitability rating and is at the same time showing great financial health properties. FSM is evaluated to be cheap and growing strongly. This does not happen too often! With these ratings, FSM could be worth investigating further for value and growth and quality investing!.
1. Profitability
1.1 Basic Checks
- In the past year FSM was profitable.
- FSM had a positive operating cash flow in the past year.
- In multiple years FSM reported negative net income over the last 5 years.
- FSM had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- The Return On Assets of FSM (10.30%) is better than 88.96% of its industry peers.
- FSM's Return On Equity of 14.25% is amongst the best of the industry. FSM outperforms 86.36% of its industry peers.
- FSM's Return On Invested Capital of 11.79% is amongst the best of the industry. FSM outperforms 83.77% of its industry peers.
- FSM had an Average Return On Invested Capital over the past 3 years of 5.85%. This is below the industry average of 10.34%.
- The last Return On Invested Capital (11.79%) for FSM is above the 3 year average (5.85%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.3% | ||
| ROE | 14.25% | ||
| ROIC | 11.79% |
ROA(3y)-1.11%
ROA(5y)0.32%
ROE(3y)-1.74%
ROE(5y)0.39%
ROIC(3y)5.85%
ROIC(5y)5.63%
1.3 Margins
- FSM has a Profit Margin of 21.48%. This is amongst the best in the industry. FSM outperforms 85.06% of its industry peers.
- FSM's Profit Margin has improved in the last couple of years.
- FSM's Operating Margin of 33.56% is amongst the best of the industry. FSM outperforms 83.12% of its industry peers.
- In the last couple of years the Operating Margin of FSM has grown nicely.
- Looking at the Gross Margin, with a value of 42.91%, FSM is in the better half of the industry, outperforming 77.27% of the companies in the same industry.
- FSM's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 33.56% | ||
| PM (TTM) | 21.48% | ||
| GM | 42.91% |
OM growth 3Y-1.7%
OM growth 5Y2.93%
PM growth 3Y7.9%
PM growth 5Y5.55%
GM growth 3Y-2.98%
GM growth 5Y-0.63%
2. Health
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), FSM is creating some value.
- FSM has about the same amout of shares outstanding than it did 1 year ago.
- Compared to 5 years ago, FSM has more shares outstanding
- FSM has a better debt/assets ratio than last year.
2.2 Solvency
- FSM has an Altman-Z score of 4.98. This indicates that FSM is financially healthy and has little risk of bankruptcy at the moment.
- Looking at the Altman-Z score, with a value of 4.98, FSM is in the better half of the industry, outperforming 60.39% of the companies in the same industry.
- FSM has a debt to FCF ratio of 0.82. This is a very positive value and a sign of high solvency as it would only need 0.82 years to pay back of all of its debts.
- The Debt to FCF ratio of FSM (0.82) is better than 88.96% of its industry peers.
- FSM has a Debt/Equity ratio of 0.12. This is a healthy value indicating a solid balance between debt and equity.
- FSM has a Debt to Equity ratio of 0.12. This is comparable to the rest of the industry: FSM outperforms 59.09% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.12 | ||
| Debt/FCF | 0.82 | ||
| Altman-Z | 4.98 |
ROIC/WACC1.24
WACC9.53%
2.3 Liquidity
- FSM has a Current Ratio of 3.30. This indicates that FSM is financially healthy and has no problem in meeting its short term obligations.
- FSM has a better Current ratio (3.30) than 68.18% of its industry peers.
- A Quick Ratio of 2.73 indicates that FSM has no problem at all paying its short term obligations.
- The Quick ratio of FSM (2.73) is better than 68.18% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.3 | ||
| Quick Ratio | 2.73 |
3. Growth
3.1 Past
- FSM shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 41.36%, which is quite impressive.
- The Earnings Per Share has been growing by 22.67% on average over the past years. This is a very strong growth
- Looking at the last year, FSM shows a small growth in Revenue. The Revenue has grown by 4.78% in the last year.
- FSM shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 32.79% yearly.
EPS 1Y (TTM)41.36%
EPS 3Y3.57%
EPS 5Y22.67%
EPS Q2Q%-10.59%
Revenue 1Y (TTM)4.78%
Revenue growth 3Y20.98%
Revenue growth 5Y32.79%
Sales Q2Q%-8.56%
3.2 Future
- The Earnings Per Share is expected to grow by 27.53% on average over the next years. This is a very strong growth
- FSM is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 2.06% yearly.
EPS Next Y54.53%
EPS Next 2Y56.5%
EPS Next 3Y33.39%
EPS Next 5Y27.53%
Revenue Next Year-0.65%
Revenue Next 2Y5.14%
Revenue Next 3Y2.22%
Revenue Next 5Y2.06%
3.3 Evolution
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
- The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- The Price/Earnings ratio is 18.79, which indicates a rather expensive current valuation of FSM.
- Based on the Price/Earnings ratio, FSM is valued cheaper than 90.91% of the companies in the same industry.
- FSM's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 27.21.
- A Price/Forward Earnings ratio of 9.51 indicates a reasonable valuation of FSM.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of FSM indicates a rather cheap valuation: FSM is cheaper than 89.61% of the companies listed in the same industry.
- When comparing the Price/Forward Earnings ratio of FSM to the average of the S&P500 Index (25.98), we can say FSM is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.79 | ||
| Fwd PE | 9.51 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, FSM is valued cheaper than 94.81% of the companies in the same industry.
- Based on the Price/Free Cash Flow ratio, FSM is valued cheaply inside the industry as 95.45% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 13.76 | ||
| EV/EBITDA | 5.87 |
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.
- The excellent profitability rating of FSM may justify a higher PE ratio.
- FSM's earnings are expected to grow with 33.39% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.34
PEG (5Y)0.83
EPS Next 2Y56.5%
EPS Next 3Y33.39%
5. Dividend
5.1 Amount
- FSM does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
FORTUNA MINING CORP / FSM FAQ
Can you provide the ChartMill fundamental rating for FORTUNA MINING CORP?
ChartMill assigns a fundamental rating of 7 / 10 to FSM.
What is the valuation status of FORTUNA MINING CORP (FSM) stock?
ChartMill assigns a valuation rating of 9 / 10 to FORTUNA MINING CORP (FSM). This can be considered as Undervalued.
Can you provide the profitability details for FORTUNA MINING CORP?
FORTUNA MINING CORP (FSM) has a profitability rating of 8 / 10.
What is the expected EPS growth for FORTUNA MINING CORP (FSM) stock?
The Earnings per Share (EPS) of FORTUNA MINING CORP (FSM) is expected to grow by 54.53% in the next year.