PAN AMERICAN SILVER CORP (PAAS) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:PAAS - CA6979001089 - Common Stock
51.81 USD
-0.88 (-1.67%)
52.07 USD
+0.26 (+0.5%)
Taking everything into account, PAAS scores 6 out of 10 in our fundamental rating. PAAS was compared to 156 industry peers in the Metals & Mining industry. Both the profitability and the financial health of PAAS get a neutral evaluation. Nothing too spectacular is happening here. PAAS is not priced too expensively while it is growing strongly. Keep and eye on this one! This makes PAAS very considerable for growth investing!
1. Profitability
1.1 Basic Checks
PAAS had positive earnings in the past year.
In the past year PAAS had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: PAAS reported negative net income in multiple years.
Each year in the past 5 years PAAS had a positive operating cash flow.
1.2 Ratios
PAAS's Return On Assets of 6.93% is fine compared to the rest of the industry. PAAS outperforms 78.21% of its industry peers.
PAAS has a better Return On Equity (9.58%) than 72.44% of its industry peers.
PAAS has a Return On Invested Capital of 7.72%. This is in the better half of the industry: PAAS outperforms 68.59% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.93% | ||
| ROE | 9.58% | ||
| ROIC | 7.72% |
ROA(3y)-3.47%
ROA(5y)-0.49%
ROE(3y)-5.12%
ROE(5y)-0.97%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
PAAS has a better Profit Margin (19.48%) than 83.33% of its industry peers.
In the last couple of years the Profit Margin of PAAS has declined.
PAAS's Operating Margin of 25.17% is fine compared to the rest of the industry. PAAS outperforms 73.72% of its industry peers.
PAAS's Operating Margin has improved in the last couple of years.
With a decent Gross Margin value of 31.40%, PAAS is doing good in the industry, outperforming 67.31% of the companies in the same industry.
In the last couple of years the Gross Margin of PAAS has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 25.17% | ||
| PM (TTM) | 19.48% | ||
| GM | 31.4% |
OM growth 3Y-8.68%
OM growth 5Y3.06%
PM growth 3Y-12.81%
PM growth 5Y-13.56%
GM growth 3Y-4.78%
GM growth 5Y2.77%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), PAAS is destroying value.
Compared to 1 year ago, PAAS has less shares outstanding
Compared to 5 years ago, PAAS has more shares outstanding
Compared to 1 year ago, PAAS has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 5.84 indicates that PAAS is not in any danger for bankruptcy at the moment.
With a decent Altman-Z score value of 5.84, PAAS is doing good in the industry, outperforming 69.87% of the companies in the same industry.
PAAS has a debt to FCF ratio of 1.15. This is a very positive value and a sign of high solvency as it would only need 1.15 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 1.15, PAAS belongs to the top of the industry, outperforming 83.97% of the companies in the same industry.
PAAS has a Debt/Equity ratio of 0.12. This is a healthy value indicating a solid balance between debt and equity.
PAAS has a Debt to Equity ratio (0.12) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.12 | ||
| Debt/FCF | 1.15 | ||
| Altman-Z | 5.84 |
ROIC/WACC0.84
WACC9.22%
2.3 Liquidity
PAAS has a Current Ratio of 2.31. This indicates that PAAS is financially healthy and has no problem in meeting its short term obligations.
The Current ratio of PAAS (2.31) is comparable to the rest of the industry.
A Quick Ratio of 1.55 indicates that PAAS should not have too much problems paying its short term obligations.
With a Quick ratio value of 1.55, PAAS perfoms like the industry average, outperforming 51.28% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.31 | ||
| Quick Ratio | 1.55 |
3. Growth
3.1 Past
PAAS shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 320.00%, which is quite impressive.
Measured over the past 5 years, PAAS shows a small growth in Earnings Per Share. The EPS has been growing by 0.51% on average per year.
PAAS shows a strong growth in Revenue. In the last year, the Revenue has grown by 21.75%.
The Revenue has been growing by 15.85% on average over the past years. This is quite good.
EPS 1Y (TTM)320%
EPS 3Y0.86%
EPS 5Y0.51%
EPS Q2Q%50%
Revenue 1Y (TTM)21.75%
Revenue growth 3Y19.96%
Revenue growth 5Y15.85%
Sales Q2Q%42.1%
3.2 Future
Based on estimates for the next years, PAAS will show a very strong growth in Earnings Per Share. The EPS will grow by 21.25% on average per year.
The Revenue is expected to grow by 10.31% on average over the next years. This is quite good.
EPS Next Y180.18%
EPS Next 2Y109.06%
EPS Next 3Y65.96%
EPS Next 5Y21.25%
Revenue Next Year24.67%
Revenue Next 2Y22.83%
Revenue Next 3Y15.71%
Revenue Next 5Y10.31%
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 estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 30.84 indicates a quite expensive valuation of PAAS.
PAAS's Price/Earnings ratio is a bit cheaper when compared to the industry. PAAS is cheaper than 69.23% of the companies in the same industry.
PAAS is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 26.51, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 15.01, which indicates a correct valuation of PAAS.
Based on the Price/Forward Earnings ratio, PAAS is valued a bit cheaper than the industry average as 66.03% of the companies are valued more expensively.
PAAS is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 23.13, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 30.84 | ||
| Fwd PE | 15.01 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of PAAS indicates a somewhat cheap valuation: PAAS is cheaper than 63.46% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, PAAS is valued a bit cheaper than the industry average as 78.21% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 29.3 | ||
| EV/EBITDA | 15.89 |
4.3 Compensation for Growth
PAAS's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The decent profitability rating of PAAS may justify a higher PE ratio.
A more expensive valuation may be justified as PAAS's earnings are expected to grow with 65.96% in the coming years.
PEG (NY)0.17
PEG (5Y)59.98
EPS Next 2Y109.06%
EPS Next 3Y65.96%
5. Dividend
5.1 Amount
With a yearly dividend of 0.79%, PAAS is not a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 0.98, PAAS pays a bit more dividend than its industry peers.
With a Dividend Yield of 0.79, PAAS pays less dividend than the S&P500 average, which is at 2.00.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.79% |
5.2 History
On average, the dividend of PAAS grows each year by 19.86%, which is quite nice.
PAAS has been paying a dividend for at least 10 years, so it has a reliable track record.
The dividend of PAAS decreased recently.
Dividend Growth(5Y)19.86%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
23.99% of the earnings are spent on dividend by PAAS. This is a low number and sustainable payout ratio.
PAAS's earnings are growing around the same pace than its dividend. As long as the earnings growth is kept the dividend growth is sustainable.
DP23.99%
EPS Next 2Y109.06%
EPS Next 3Y65.96%
51.81
-0.88 (-1.67%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryMetals & Mining
Earnings (Last)
Earnings (Next)
Inst Owners55.31%
Inst Owner Change14.01%
Ins Owners0.08%
Ins Owner ChangeN/A
Market Cap21.86B
Revenue(TTM)3.25B
Net Income(TTM)634.10M
Analysts80
Price Target40.39 (-22.04%)
Short Float %2.47%
Short Ratio1.63
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.79% |
Yearly Dividend0.4
Dividend Growth(5Y)19.86%
DP23.99%
Div Incr Years1
Div Non Decr Years1
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)15.84%
Min EPS beat(2)6.95%
Max EPS beat(2)24.72%
EPS beat(4)3
Avg EPS beat(4)39.34%
Min EPS beat(4)-3.07%
Max EPS beat(4)128.76%
EPS beat(8)5
Avg EPS beat(8)22.3%
EPS beat(12)6
Avg EPS beat(12)9.51%
EPS beat(16)7
Avg EPS beat(16)1.18%
Revenue beat(2)1
Avg Revenue beat(2)4.97%
Min Revenue beat(2)-3.7%
Max Revenue beat(2)13.63%
Revenue beat(4)2
Avg Revenue beat(4)5.02%
Min Revenue beat(4)-3.7%
Max Revenue beat(4)13.63%
Revenue beat(8)2
Avg Revenue beat(8)-0.95%
Revenue beat(12)3
Avg Revenue beat(12)-1.57%
Revenue beat(16)3
Avg Revenue beat(16)-3.46%
PT rev (1m)6.34%
PT rev (3m)35.33%
EPS NQ rev (1m)0%
EPS NQ rev (3m)52.15%
EPS NY rev (1m)11.45%
EPS NY rev (3m)18.03%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)40.13%
Revenue NY rev (1m)4.73%
Revenue NY rev (3m)9.89%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 30.84 | ||
| Fwd PE | 15.01 | ||
| P/S | 6.72 | ||
| P/FCF | 29.3 | ||
| P/OCF | 20.8 | ||
| P/B | 3.3 | ||
| P/tB | 3.3 | ||
| EV/EBITDA | 15.89 |
EPS(TTM)1.68
EY3.24%
EPS(NY)3.45
Fwd EY6.66%
FCF(TTM)1.77
FCFY3.41%
OCF(TTM)2.49
OCFY4.81%
SpS7.71
BVpS15.68
TBVpS15.68
PEG (NY)0.17
PEG (5Y)59.98
Graham Number24.35
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.93% | ||
| ROE | 9.58% | ||
| ROCE | 9.77% | ||
| ROIC | 7.72% | ||
| ROICexc | 8.66% | ||
| ROICexgc | 8.66% | ||
| OM | 25.17% | ||
| PM (TTM) | 19.48% | ||
| GM | 31.4% | ||
| FCFM | 22.92% |
ROA(3y)-3.47%
ROA(5y)-0.49%
ROE(3y)-5.12%
ROE(5y)-0.97%
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
ROICexgc growth 3Y-13.28%
ROICexgc growth 5Y4.03%
ROICexc growth 3Y-13.24%
ROICexc growth 5Y4.07%
OM growth 3Y-8.68%
OM growth 5Y3.06%
PM growth 3Y-12.81%
PM growth 5Y-13.56%
GM growth 3Y-4.78%
GM growth 5Y2.77%
F-Score8
Asset Turnover0.36
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.12 | ||
| Debt/FCF | 1.15 | ||
| Debt/EBITDA | 0.58 | ||
| Cap/Depr | 55.34% | ||
| Cap/Sales | 9.37% | ||
| Interest Coverage | 21.79 | ||
| Cash Conversion | 76.7% | ||
| Profit Quality | 117.66% | ||
| Current Ratio | 2.31 | ||
| Quick Ratio | 1.55 | ||
| Altman-Z | 5.84 |
F-Score8
WACC9.22%
ROIC/WACC0.84
Cap/Depr(3y)73.91%
Cap/Depr(5y)73.53%
Cap/Sales(3y)15.4%
Cap/Sales(5y)14.89%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)320%
EPS 3Y0.86%
EPS 5Y0.51%
EPS Q2Q%50%
EPS Next Y180.18%
EPS Next 2Y109.06%
EPS Next 3Y65.96%
EPS Next 5Y21.25%
Revenue 1Y (TTM)21.75%
Revenue growth 3Y19.96%
Revenue growth 5Y15.85%
Sales Q2Q%42.1%
Revenue Next Year24.67%
Revenue Next 2Y22.83%
Revenue Next 3Y15.71%
Revenue Next 5Y10.31%
EBIT growth 1Y182.68%
EBIT growth 3Y9.55%
EBIT growth 5Y19.4%
EBIT Next Year177.53%
EBIT Next 3Y64.1%
EBIT Next 5Y21.46%
FCF growth 1Y560.94%
FCF growth 3Y39.19%
FCF growth 5Y39.94%
OCF growth 1Y515.71%
OCF growth 3Y22.69%
OCF growth 5Y20.75%
PAN AMERICAN SILVER CORP / PAAS FAQ
What is the ChartMill fundamental rating of PAN AMERICAN SILVER CORP (PAAS) stock?
ChartMill assigns a fundamental rating of 6 / 10 to PAAS.
What is the valuation status for PAAS stock?
ChartMill assigns a valuation rating of 6 / 10 to PAN AMERICAN SILVER CORP (PAAS). This can be considered as Fairly Valued.
How profitable is PAN AMERICAN SILVER CORP (PAAS) stock?
PAN AMERICAN SILVER CORP (PAAS) has a profitability rating of 6 / 10.
What is the valuation of PAN AMERICAN SILVER CORP based on its PE and PB ratios?
The Price/Earnings (PE) ratio for PAN AMERICAN SILVER CORP (PAAS) is 30.84 and the Price/Book (PB) ratio is 3.3.
Can you provide the dividend sustainability for PAAS stock?
The dividend rating of PAN AMERICAN SILVER CORP (PAAS) is 5 / 10 and the dividend payout ratio is 23.99%.