LUNDIN GOLD INC (LUG.CA) Stock Fundamental Analysis
Canada - TSX:LUG - CA5503711080 - Common Stock
95.35 CAD
-0.96 (-1%)
Overall LUG gets a fundamental rating of 7 out of 10. We evaluated LUG against 805 industry peers in the Metals & Mining industry. LUG scores excellent points on both the profitability and health parts. This is a solid base for a good stock. LUG may be a bit undervalued, certainly considering the very reasonable score on growth These ratings could make LUG a good candidate for value and quality investing.
1. Profitability
1.1 Basic Checks
In the past year LUG was profitable.
In the past year LUG had a positive cash flow from operations.
LUG had positive earnings in 4 of the past 5 years.
LUG had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
LUG has a better Return On Assets (37.99%) than 98.14% of its industry peers.
LUG has a better Return On Equity (47.16%) than 98.14% of its industry peers.
LUG has a better Return On Invested Capital (41.17%) than 99.75% of its industry peers.
The Average Return On Invested Capital over the past 3 years for LUG is significantly above the industry average of 12.09%.
The last Return On Invested Capital (41.17%) for LUG is above the 3 year average (22.93%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 37.99% | ||
| ROE | 47.16% | ||
| ROIC | 41.17% |
ROA(3y)14.84%
ROA(5y)10.91%
ROE(3y)20.81%
ROE(5y)16.32%
ROIC(3y)22.93%
ROIC(5y)18.45%
1.3 Margins
Looking at the Profit Margin, with a value of 41.73%, LUG belongs to the top of the industry, outperforming 97.89% of the companies in the same industry.
In the last couple of years the Profit Margin of LUG has grown nicely.
LUG has a Operating Margin of 59.06%. This is amongst the best in the industry. LUG outperforms 99.25% of its industry peers.
In the last couple of years the Operating Margin of LUG has grown nicely.
LUG has a better Gross Margin (65.54%) than 97.64% of its industry peers.
LUG's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 59.06% | ||
| PM (TTM) | 41.73% | ||
| GM | 65.54% |
OM growth 3Y5.36%
OM growth 5YN/A
PM growth 3Y5.75%
PM growth 5YN/A
GM growth 3Y6.72%
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 LUG is creating value.
Compared to 1 year ago, LUG has more shares outstanding
The number of shares outstanding for LUG has been increased compared to 5 years ago.
LUG has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
An Altman-Z score of 34.97 indicates that LUG is not in any danger for bankruptcy at the moment.
The Altman-Z score of LUG (34.97) is better than 79.50% of its industry peers.
There is no outstanding debt for LUG. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 34.97 |
ROIC/WACC4.61
WACC8.92%
2.3 Liquidity
A Current Ratio of 3.32 indicates that LUG has no problem at all paying its short term obligations.
With a decent Current ratio value of 3.32, LUG is doing good in the industry, outperforming 62.61% of the companies in the same industry.
LUG has a Quick Ratio of 2.95. This indicates that LUG is financially healthy and has no problem in meeting its short term obligations.
The Quick ratio of LUG (2.95) is better than 61.24% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.32 | ||
| Quick Ratio | 2.95 |
3. Growth
3.1 Past
LUG shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 160.20%, which is quite impressive.
Measured over the past years, LUG shows a quite strong growth in Earnings Per Share. The EPS has been growing by 18.19% on average per year.
LUG shows a strong growth in Revenue. In the last year, the Revenue has grown by 58.50%.
The Revenue has been growing by 17.61% on average over the past years. This is quite good.
EPS 1Y (TTM)160.2%
EPS 3Y18.19%
EPS 5YN/A
EPS Q2Q%97.56%
Revenue 1Y (TTM)58.5%
Revenue growth 3Y17.61%
Revenue growth 5YN/A
Sales Q2Q%50.24%
3.2 Future
Based on estimates for the next years, LUG will show a decrease in Earnings Per Share. The EPS will decrease by -4.25% on average per year.
The Revenue is expected to grow by 4.41% on average over the next years.
EPS Next Y63.64%
EPS Next 2Y31.3%
EPS Next 3Y16.51%
EPS Next 5Y-4.25%
Revenue Next Year37.47%
Revenue Next 2Y20.38%
Revenue Next 3Y10.79%
Revenue Next 5Y4.41%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
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
Based on the Price/Earnings ratio of 26.71, the valuation of LUG can be described as expensive.
Based on the Price/Earnings ratio, LUG is valued cheaply inside the industry as 90.19% of the companies are valued more expensively.
When comparing the Price/Earnings ratio of LUG to the average of the S&P500 Index (26.10), we can say LUG is valued inline with the index average.
Based on the Price/Forward Earnings ratio of 22.56, the valuation of LUG can be described as rather expensive.
Based on the Price/Forward Earnings ratio, LUG is valued cheaper than 88.94% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.52, LUG is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.71 | ||
| Fwd PE | 22.56 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of LUG indicates a rather cheap valuation: LUG is cheaper than 91.93% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, LUG is valued cheaper than 95.03% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 21.4 | ||
| EV/EBITDA | 15.9 |
4.3 Compensation for Growth
LUG's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The excellent profitability rating of LUG may justify a higher PE ratio.
LUG's earnings are expected to grow with 16.50% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.42
PEG (5Y)N/A
EPS Next 2Y31.3%
EPS Next 3Y16.51%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.57%, LUG has a reasonable but not impressive dividend return.
LUG's Dividend Yield is rather good when compared to the industry average which is at 12.64. LUG pays more dividend than 97.52% of the companies in the same industry.
Compared to the average S&P500 Dividend Yield of 2.35, LUG is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.57% |
5.2 History
LUG has paid a dividend for less than 5 years, so there is no long track record yet.
LUG has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)N/A
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
LUG pays out 61.14% of its income as dividend. This is not a sustainable payout ratio.
DP61.14%
EPS Next 2Y31.3%
EPS Next 3Y16.51%
TSX:LUG (10/31/2025, 7:00:00 PM)
95.35
-0.96 (-1%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryMetals & Mining
Earnings (Last)
Earnings (Next)
Inst Owners25.87%
Inst Owner ChangeN/A
Ins Owners0.82%
Ins Owner ChangeN/A
Market Cap23.01B
Revenue(TTM)1.47B
Net Income(TTM)615.09M
Analysts52.63
Price Target69.02 (-27.61%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.57% |
Yearly Dividend0.84
Dividend Growth(5Y)N/A
DP61.14%
Div Incr Years3
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)13.17%
Min EPS beat(2)9.06%
Max EPS beat(2)17.27%
EPS beat(4)4
Avg EPS beat(4)12.02%
Min EPS beat(4)7.12%
Max EPS beat(4)17.27%
EPS beat(8)5
Avg EPS beat(8)5.18%
EPS beat(12)5
Avg EPS beat(12)-3.38%
EPS beat(16)8
Avg EPS beat(16)1.58%
Revenue beat(2)2
Avg Revenue beat(2)9.82%
Min Revenue beat(2)3.87%
Max Revenue beat(2)15.76%
Revenue beat(4)4
Avg Revenue beat(4)6.92%
Min Revenue beat(4)1.66%
Max Revenue beat(4)15.76%
Revenue beat(8)6
Avg Revenue beat(8)4.62%
Revenue beat(12)8
Avg Revenue beat(12)5.37%
Revenue beat(16)10
Avg Revenue beat(16)4.6%
PT rev (1m)0%
PT rev (3m)11.92%
EPS NQ rev (1m)2.35%
EPS NQ rev (3m)6.75%
EPS NY rev (1m)0%
EPS NY rev (3m)30.32%
Revenue NQ rev (1m)3.05%
Revenue NQ rev (3m)0.84%
Revenue NY rev (1m)0.24%
Revenue NY rev (3m)16.14%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.71 | ||
| Fwd PE | 22.56 | ||
| P/S | 11.14 | ||
| P/FCF | 21.4 | ||
| P/OCF | 19.02 | ||
| P/B | 12.59 | ||
| P/tB | 12.59 | ||
| EV/EBITDA | 15.9 |
EPS(TTM)3.57
EY3.74%
EPS(NY)4.23
Fwd EY4.43%
FCF(TTM)4.46
FCFY4.67%
OCF(TTM)5.01
OCFY5.26%
SpS8.56
BVpS7.57
TBVpS7.57
PEG (NY)0.42
PEG (5Y)N/A
Graham Number24.66
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 37.99% | ||
| ROE | 47.16% | ||
| ROCE | 63.26% | ||
| ROIC | 41.17% | ||
| ROICexc | 64.17% | ||
| ROICexgc | 64.17% | ||
| OM | 59.06% | ||
| PM (TTM) | 41.73% | ||
| GM | 65.54% | ||
| FCFM | 52.07% |
ROA(3y)14.84%
ROA(5y)10.91%
ROE(3y)20.81%
ROE(5y)16.32%
ROIC(3y)22.93%
ROIC(5y)18.45%
ROICexc(3y)30.94%
ROICexc(5y)24.1%
ROICexgc(3y)30.94%
ROICexgc(5y)24.1%
ROCE(3y)35.24%
ROCE(5y)28.35%
ROICexgc growth 3Y30%
ROICexgc growth 5YN/A
ROICexc growth 3Y30%
ROICexc growth 5YN/A
OM growth 3Y5.36%
OM growth 5YN/A
PM growth 3Y5.75%
PM growth 5YN/A
GM growth 3Y6.72%
GM growth 5YN/A
F-Score8
Asset Turnover0.91
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 72.16% | ||
| Cap/Sales | 6.49% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 86.06% | ||
| Profit Quality | 124.8% | ||
| Current Ratio | 3.32 | ||
| Quick Ratio | 2.95 | ||
| Altman-Z | 34.97 |
F-Score8
WACC8.92%
ROIC/WACC4.61
Cap/Depr(3y)45.6%
Cap/Depr(5y)59.18%
Cap/Sales(3y)6.29%
Cap/Sales(5y)8.61%
Profit Quality(3y)302.21%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)160.2%
EPS 3Y18.19%
EPS 5YN/A
EPS Q2Q%97.56%
EPS Next Y63.64%
EPS Next 2Y31.3%
EPS Next 3Y16.51%
EPS Next 5Y-4.25%
Revenue 1Y (TTM)58.5%
Revenue growth 3Y17.61%
Revenue growth 5YN/A
Sales Q2Q%50.24%
Revenue Next Year37.47%
Revenue Next 2Y20.38%
Revenue Next 3Y10.79%
Revenue Next 5Y4.41%
EBIT growth 1Y112.89%
EBIT growth 3Y23.92%
EBIT growth 5YN/A
EBIT Next Year62.1%
EBIT Next 3Y17.37%
EBIT Next 5Y-4.03%
FCF growth 1Y55.07%
FCF growth 3Y17.41%
FCF growth 5YN/A
OCF growth 1Y58.44%
OCF growth 3Y16.84%
OCF growth 5YN/A
LUNDIN GOLD INC / LUG.CA FAQ
What is the ChartMill fundamental rating of LUNDIN GOLD INC (LUG.CA) stock?
ChartMill assigns a fundamental rating of 7 / 10 to LUG.CA.
What is the valuation status of LUNDIN GOLD INC (LUG.CA) stock?
ChartMill assigns a valuation rating of 7 / 10 to LUNDIN GOLD INC (LUG.CA). This can be considered as Undervalued.
How profitable is LUNDIN GOLD INC (LUG.CA) stock?
LUNDIN GOLD INC (LUG.CA) has a profitability rating of 9 / 10.
How financially healthy is LUNDIN GOLD INC?
The financial health rating of LUNDIN GOLD INC (LUG.CA) is 8 / 10.
How sustainable is the dividend of LUNDIN GOLD INC (LUG.CA) stock?
The dividend rating of LUNDIN GOLD INC (LUG.CA) is 3 / 10 and the dividend payout ratio is 61.14%.