SILVERCORP METALS INC (SVM.CA) Stock Fundamental Analysis
TSX:SVM - Toronto Stock Exchange - CA82835P1036 - Common Stock - Currency: CAD
SVM gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 818 industry peers in the Metals & Mining industry. While SVM belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. SVM has both an excellent growth and valuation score. This means it is growing and it is still cheap. This is a rare combination! These ratings could make SVM a good candidate for value and growth investing.
1. Profitability
1.1 Basic Checks
In the past year SVM was profitable.
In the past year SVM had a positive cash flow from operations.
SVM had positive earnings in each of the past 5 years.
Each year in the past 5 years SVM had a positive operating cash flow.
1.2 Ratios
SVM has a Return On Assets of 6.38%. This is amongst the best in the industry. SVM outperforms 92.16% of its industry peers.
SVM's Return On Equity of 10.05% is amongst the best of the industry. SVM outperforms 92.43% of its industry peers.
SVM has a Return On Invested Capital of 5.83%. This is amongst the best in the industry. SVM outperforms 92.84% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for SVM is significantly below the industry average of 11.82%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.38% | ||
| ROE | 10.05% | ||
| ROIC | 5.83% |
ROA(3y)4.15%
ROA(5y)5.25%
ROE(3y)5.78%
ROE(5y)7.31%
ROIC(3y)6.18%
ROIC(5y)6.57%
1.3 Margins
With an excellent Profit Margin value of 26.76%, SVM belongs to the best of the industry, outperforming 97.30% of the companies in the same industry.
In the last couple of years the Profit Margin of SVM has declined.
SVM has a better Operating Margin (34.56%) than 97.16% of its industry peers.
SVM's Operating Margin has declined in the last couple of years.
With an excellent Gross Margin value of 47.18%, SVM belongs to the best of the industry, outperforming 95.00% of the companies in the same industry.
In the last couple of years the Gross Margin of SVM has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 34.56% | ||
| PM (TTM) | 26.76% | ||
| GM | 47.18% |
OM growth 3Y-8.78%
OM growth 5Y-3.76%
PM growth 3Y-11.27%
PM growth 5Y-6.24%
GM growth 3Y-4.4%
GM growth 5Y-2.18%
2. Health
2.1 Basic Checks
SVM has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, SVM has more shares outstanding
Compared to 5 years ago, SVM has more shares outstanding
Compared to 1 year ago, SVM has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 2.44 indicates that SVM is not a great score, but indicates only limited risk for bankruptcy at the moment.
With a Altman-Z score value of 2.44, SVM perfoms like the industry average, outperforming 55.54% of the companies in the same industry.
SVM has a debt to FCF ratio of 3.34. This is a good value and a sign of high solvency as SVM would need 3.34 years to pay back of all of its debts.
With an excellent Debt to FCF ratio value of 3.34, SVM belongs to the best of the industry, outperforming 92.30% of the companies in the same industry.
A Debt/Equity ratio of 0.15 indicates that SVM is not too dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.15, SVM is doing worse than 70.14% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.15 | ||
| Debt/FCF | 3.34 | ||
| Altman-Z | 2.44 |
ROIC/WACC0.62
WACC9.36%
2.3 Liquidity
SVM has a Current Ratio of 4.61. This indicates that SVM is financially healthy and has no problem in meeting its short term obligations.
With a decent Current ratio value of 4.61, SVM is doing good in the industry, outperforming 73.38% of the companies in the same industry.
SVM has a Quick Ratio of 4.35. This indicates that SVM is financially healthy and has no problem in meeting its short term obligations.
The Quick ratio of SVM (4.35) is better than 72.43% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.61 | ||
| Quick Ratio | 4.35 |
3. Growth
3.1 Past
SVM shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 70.00%, which is quite impressive.
SVM shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 2.13% yearly.
Looking at the last year, SVM shows a very strong growth in Revenue. The Revenue has grown by 28.94%.
The Revenue has been growing slightly by 4.77% on average over the past years.
EPS 1Y (TTM)70%
EPS 3Y-7.17%
EPS 5Y2.13%
EPS Q2Q%66.67%
Revenue 1Y (TTM)28.94%
Revenue growth 3Y3.86%
Revenue growth 5Y4.77%
Sales Q2Q%42.9%
3.2 Future
SVM is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 44.79% yearly.
The Revenue is expected to grow by 24.40% on average over the next years. This is a very strong growth
EPS Next Y93.79%
EPS Next 2Y37.29%
EPS Next 3Y43.08%
EPS Next 5Y44.79%
Revenue Next Year37.17%
Revenue Next 2Y22.62%
Revenue Next 3Y24.43%
Revenue Next 5Y24.4%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 10.67, the valuation of SVM can be described as reasonable.
SVM's Price/Earnings ratio is rather cheap when compared to the industry. SVM is cheaper than 92.97% of the companies in the same industry.
SVM's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 29.62.
SVM is valuated reasonably with a Price/Forward Earnings ratio of 9.57.
91.89% of the companies in the same industry are more expensive than SVM, based on the Price/Forward Earnings ratio.
SVM is valuated cheaply when we compare the Price/Forward Earnings ratio to 22.70, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.67 | ||
| Fwd PE | 9.57 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of SVM indicates a rather cheap valuation: SVM is cheaper than 95.41% of the companies listed in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of SVM indicates a rather cheap valuation: SVM is cheaper than 92.84% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 24.13 | ||
| EV/EBITDA | 4.33 |
4.3 Compensation for Growth
SVM's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
SVM has a very decent profitability rating, which may justify a higher PE ratio.
SVM's earnings are expected to grow with 43.08% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.11
PEG (5Y)5.01
EPS Next 2Y37.29%
EPS Next 3Y43.08%
5. Dividend
5.1 Amount
With a yearly dividend of 0.65%, SVM is not a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 7.55, SVM pays a better dividend. On top of this SVM pays more dividend than 94.59% of the companies listed in the same industry.
With a Dividend Yield of 0.65, SVM pays less dividend than the S&P500 average, which is at 2.27.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.65% |
5.2 History
The dividend of SVM has a limited annual growth rate of 0.08%.
SVM has been paying a dividend for at least 10 years, so it has a reliable track record.
As SVM did not decrease their dividend in the past 5 years, we can say the dividend looks stable.
Dividend Growth(5Y)0.08%
Div Incr Years0
Div Non Decr Years9
5.3 Sustainability
SVM pays out 6.94% of its income as dividend. This is a sustainable payout ratio.
SVM's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP6.94%
EPS Next 2Y37.29%
EPS Next 3Y43.08%
TSX:SVM (2/21/2025, 7:00:00 PM)
5.12
-0.16 (-3.03%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryMetals & Mining
Earnings (Last)
Earnings (Next)
Inst Owners39.34%
Inst Owner ChangeN/A
Ins Owners3.8%
Ins Owner ChangeN/A
Market Cap1.11B
Analysts80
Price Target7.65 (49.41%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.65% |
Yearly Dividend0.03
Dividend Growth(5Y)0.08%
DP6.94%
Div Incr Years0
Div Non Decr Years9
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)4.51%
Min EPS beat(2)2.42%
Max EPS beat(2)6.59%
EPS beat(4)4
Avg EPS beat(4)12.26%
Min EPS beat(4)2.42%
Max EPS beat(4)32.01%
EPS beat(8)6
Avg EPS beat(8)3.2%
EPS beat(12)8
Avg EPS beat(12)2.42%
EPS beat(16)10
Avg EPS beat(16)2.11%
Revenue beat(2)1
Avg Revenue beat(2)1.15%
Min Revenue beat(2)-1.21%
Max Revenue beat(2)3.52%
Revenue beat(4)2
Avg Revenue beat(4)2.3%
Min Revenue beat(4)-1.21%
Max Revenue beat(4)7.66%
Revenue beat(8)4
Avg Revenue beat(8)1.76%
Revenue beat(12)7
Avg Revenue beat(12)1.84%
Revenue beat(16)8
Avg Revenue beat(16)1.18%
PT rev (1m)1.18%
PT rev (3m)1.58%
EPS NQ rev (1m)-15.56%
EPS NQ rev (3m)40.73%
EPS NY rev (1m)14.55%
EPS NY rev (3m)3.21%
Revenue NQ rev (1m)20.7%
Revenue NQ rev (3m)34.95%
Revenue NY rev (1m)3.08%
Revenue NY rev (3m)3.29%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.67 | ||
| Fwd PE | 9.57 | ||
| P/S | 2.95 | ||
| P/FCF | 24.13 | ||
| P/OCF | 6.65 | ||
| P/B | 1.11 | ||
| P/tB | 1.11 | ||
| EV/EBITDA | 4.33 |
EPS(TTM)0.48
EY9.38%
EPS(NY)0.54
Fwd EY10.45%
FCF(TTM)0.21
FCFY4.14%
OCF(TTM)0.77
OCFY15.05%
SpS1.74
BVpS4.62
TBVpS4.62
PEG (NY)0.11
PEG (5Y)5.01
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.38% | ||
| ROE | 10.05% | ||
| ROCE | 8.9% | ||
| ROIC | 5.83% | ||
| ROICexc | 8.87% | ||
| ROICexgc | 8.87% | ||
| OM | 34.56% | ||
| PM (TTM) | 26.76% | ||
| GM | 47.18% | ||
| FCFM | 12.21% |
ROA(3y)4.15%
ROA(5y)5.25%
ROE(3y)5.78%
ROE(5y)7.31%
ROIC(3y)6.18%
ROIC(5y)6.57%
ROICexc(3y)8.9%
ROICexc(5y)9.49%
ROICexgc(3y)8.9%
ROICexgc(5y)9.49%
ROCE(3y)9.43%
ROCE(5y)10.03%
ROICexcg growth 3Y-9.07%
ROICexcg growth 5Y-4.95%
ROICexc growth 3Y-9.07%
ROICexc growth 5Y-4.95%
OM growth 3Y-8.78%
OM growth 5Y-3.76%
PM growth 3Y-11.27%
PM growth 5Y-6.24%
GM growth 3Y-4.4%
GM growth 5Y-2.18%
F-Score6
Asset Turnover0.24
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.15 | ||
| Debt/FCF | 3.34 | ||
| Debt/EBITDA | 0.88 | ||
| Cap/Depr | 282.93% | ||
| Cap/Sales | 32.14% | ||
| Interest Coverage | 969.28 | ||
| Cash Conversion | 96.58% | ||
| Profit Quality | 45.63% | ||
| Current Ratio | 4.61 | ||
| Quick Ratio | 4.35 | ||
| Altman-Z | 2.44 |
F-Score6
WACC9.36%
ROIC/WACC0.62
Cap/Depr(3y)218.35%
Cap/Depr(5y)207.11%
Cap/Sales(3y)28.92%
Cap/Sales(5y)27.23%
Profit Quality(3y)119.11%
Profit Quality(5y)110.42%
High Growth Momentum
Growth
EPS 1Y (TTM)70%
EPS 3Y-7.17%
EPS 5Y2.13%
EPS Q2Q%66.67%
EPS Next Y93.79%
EPS Next 2Y37.29%
EPS Next 3Y43.08%
EPS Next 5Y44.79%
Revenue 1Y (TTM)28.94%
Revenue growth 3Y3.86%
Revenue growth 5Y4.77%
Sales Q2Q%42.9%
Revenue Next Year37.17%
Revenue Next 2Y22.62%
Revenue Next 3Y24.43%
Revenue Next 5Y24.4%
EBIT growth 1Y51.88%
EBIT growth 3Y-5.26%
EBIT growth 5Y0.83%
EBIT Next Year145.1%
EBIT Next 3Y49.98%
EBIT Next 5Y49.44%
FCF growth 1Y-6.23%
FCF growth 3Y-5.88%
FCF growth 5Y-4.89%
OCF growth 1Y29.43%
OCF growth 3Y2.15%
OCF growth 5Y5.4%