PAN AMERICAN SILVER CORP (PAAS) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:PAAS - CA6979001089 - Common Stock
44.39 USD
+0.19 (+0.43%)
44.37 USD
-0.02 (-0.05%)
Taking everything into account, PAAS scores 7 out of 10 in our fundamental rating. PAAS was compared to 154 industry peers in the Metals & Mining industry. PAAS has an average financial health and profitability rating. An interesting combination arises when we look at growth and value: PAAS is growing strongly while it also seems undervalued. These ratings could make PAAS a good candidate for value and growth investing.
1. Profitability
1.1 Basic Checks
PAAS had positive earnings in the past year.
PAAS had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: PAAS reported negative net income in multiple years.
PAAS had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
PAAS has a better Return On Assets (6.93%) than 77.92% of its industry peers.
PAAS has a Return On Equity of 9.58%. This is in the better half of the industry: PAAS outperforms 72.08% 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 69.48% 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 83.77% of its industry peers.
In the last couple of years the Profit Margin of PAAS has declined.
Looking at the Operating Margin, with a value of 25.17%, PAAS is in the better half of the industry, outperforming 75.32% of the companies in the same industry.
PAAS's Operating Margin has improved in the last couple of years.
Looking at the Gross Margin, with a value of 31.40%, PAAS is in the better half of the industry, outperforming 68.83% 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
PAAS has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
The number of shares outstanding for PAAS has been reduced compared to 1 year ago.
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
PAAS has an Altman-Z score of 5.08. This indicates that PAAS is financially healthy and has little risk of bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 5.08, PAAS is in the better half of the industry, outperforming 63.64% 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.
PAAS's Debt to FCF ratio of 1.15 is amongst the best of the industry. PAAS outperforms 85.06% of its industry peers.
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 | 5.08 |
ROIC/WACC0.88
WACC8.82%
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.
PAAS has a Current ratio (2.31) which is in line with its industry peers.
A Quick Ratio of 1.55 indicates that PAAS should not have too much problems paying its short term obligations.
PAAS's Quick ratio of 1.55 is in line compared to the rest of the industry. PAAS outperforms 50.65% of its industry peers.
| 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.
PAAS shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 0.51% yearly.
Looking at the last year, PAAS shows a very strong growth in Revenue. The Revenue has grown by 21.75%.
PAAS shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 15.85% yearly.
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
The Earnings Per Share is expected to grow by 21.25% on average over the next years. This is a very strong growth
Based on estimates for the next years, PAAS will show a quite strong growth in Revenue. The Revenue will grow by 10.31% on average per year.
EPS Next Y151.4%
EPS Next 2Y85.47%
EPS Next 3Y48.22%
EPS Next 5Y21.25%
Revenue Next Year19.04%
Revenue Next 2Y14.42%
Revenue Next 3Y10.04%
Revenue Next 5Y10.31%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 26.42, PAAS can be considered very expensive at the moment.
70.78% of the companies in the same industry are more expensive than PAAS, based on the Price/Earnings ratio.
PAAS is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 26.46, which is the current average of the S&P500 Index.
PAAS is valuated correctly with a Price/Forward Earnings ratio of 16.33.
Based on the Price/Forward Earnings ratio, PAAS is valued a bit cheaper than the industry average as 63.64% of the companies are valued more expensively.
When comparing the Price/Forward Earnings ratio of PAAS to the average of the S&P500 Index (36.10), we can say PAAS is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.42 | ||
| Fwd PE | 16.33 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, PAAS is valued a bit cheaper than 66.23% of the companies in the same industry.
PAAS's Price/Free Cash Flow ratio is rather cheap when compared to the industry. PAAS is cheaper than 81.17% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 25.11 | ||
| EV/EBITDA | 13.54 |
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.
PAAS has a very decent profitability rating, which may justify a higher PE ratio.
PAAS's earnings are expected to grow with 48.22% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.17
PEG (5Y)51.39
EPS Next 2Y85.47%
EPS Next 3Y48.22%
5. Dividend
5.1 Amount
With a yearly dividend of 0.93%, PAAS is not a good candidate for dividend investing.
PAAS's Dividend Yield is a higher than the industry average which is at 2.60.
Compared to an average S&P500 Dividend Yield of 2.32, PAAS's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.93% |
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.
PAAS has decreased its dividend 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.
The dividend of PAAS is growing around the same rate as the earnings are growing. If this keeps up the dividend growth is sustainable.
DP23.99%
EPS Next 2Y85.47%
EPS Next 3Y48.22%
44.39
+0.19 (+0.43%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryMetals & Mining
Earnings (Last)
Earnings (Next)
Inst Owners55.31%
Inst Owner Change13.91%
Ins Owners0.08%
Ins Owner ChangeN/A
Market Cap18.73B
Revenue(TTM)3.25B
Net Income(TTM)634.10M
Analysts80
Price Target38.2 (-13.94%)
Short Float %3.18%
Short Ratio2.09
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.93% |
Yearly Dividend0.4
Dividend Growth(5Y)19.86%
DP23.99%
Div Incr Years1
Div Non Decr Years1
Ex-Date
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)28.2%
PT rev (3m)40.82%
EPS NQ rev (1m)52.15%
EPS NQ rev (3m)61.42%
EPS NY rev (1m)5.91%
EPS NY rev (3m)9.8%
Revenue NQ rev (1m)40.13%
Revenue NQ rev (3m)40.13%
Revenue NY rev (1m)2.48%
Revenue NY rev (3m)4.9%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.42 | ||
| Fwd PE | 16.33 | ||
| P/S | 5.76 | ||
| P/FCF | 25.11 | ||
| P/OCF | 17.82 | ||
| P/B | 2.83 | ||
| P/tB | 2.83 | ||
| EV/EBITDA | 13.54 |
EPS(TTM)1.68
EY3.78%
EPS(NY)2.72
Fwd EY6.12%
FCF(TTM)1.77
FCFY3.98%
OCF(TTM)2.49
OCFY5.61%
SpS7.71
BVpS15.68
TBVpS15.68
PEG (NY)0.17
PEG (5Y)51.39
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 | 5.08 |
F-Score8
WACC8.82%
ROIC/WACC0.88
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 Y151.4%
EPS Next 2Y85.47%
EPS Next 3Y48.22%
EPS Next 5Y21.25%
Revenue 1Y (TTM)21.75%
Revenue growth 3Y19.96%
Revenue growth 5Y15.85%
Sales Q2Q%42.1%
Revenue Next Year19.04%
Revenue Next 2Y14.42%
Revenue Next 3Y10.04%
Revenue Next 5Y10.31%
EBIT growth 1Y182.68%
EBIT growth 3Y9.55%
EBIT growth 5Y19.4%
EBIT Next Year161.44%
EBIT Next 3Y44.83%
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 7 / 10 to PAAS.
What is the valuation status of PAN AMERICAN SILVER CORP (PAAS) stock?
ChartMill assigns a valuation rating of 7 / 10 to PAN AMERICAN SILVER CORP (PAAS). This can be considered as Undervalued.
How profitable is PAN AMERICAN SILVER CORP (PAAS) stock?
PAN AMERICAN SILVER CORP (PAAS) has a profitability rating of 6 / 10.
Can you provide the PE and PB ratios for PAAS stock?
The Price/Earnings (PE) ratio for PAN AMERICAN SILVER CORP (PAAS) is 26.42 and the Price/Book (PB) ratio is 2.83.
How sustainable is the dividend of PAN AMERICAN SILVER CORP (PAAS) stock?
The dividend rating of PAN AMERICAN SILVER CORP (PAAS) is 5 / 10 and the dividend payout ratio is 23.99%.