SILVERCORP METALS INC (SVM) Stock Fundamental Analysis
NYSEARCA:SVM - NYSE Arca - CA82835P1036 - Common Stock - Currency: USD
We assign a fundamental rating of 7 out of 10 to SVM. SVM was compared to 151 industry peers in the Metals & Mining industry. SVM has an average financial health and profitability rating. SVM is growing strongly while it also seems undervalued. This is an interesting combination With these ratings, SVM could be worth investigating further 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.
In the past 5 years SVM has always been profitable.
SVM had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
SVM's Return On Assets of 6.38% is amongst the best of the industry. SVM outperforms 82.12% of its industry peers.
SVM's Return On Equity of 10.05% is fine compared to the rest of the industry. SVM outperforms 76.82% of its industry peers.
With a decent Return On Invested Capital value of 5.83%, SVM is doing good in the industry, outperforming 66.89% of the companies in the same industry.
SVM had an Average Return On Invested Capital over the past 3 years of 6.18%. This is below the industry average of 8.54%.
| 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
SVM's Profit Margin of 26.76% is amongst the best of the industry. SVM outperforms 95.36% of its industry peers.
SVM's Profit Margin has declined in the last couple of years.
The Operating Margin of SVM (34.56%) is better than 92.05% of its industry peers.
In the last couple of years the Operating Margin of SVM has declined.
With an excellent Gross Margin value of 47.18%, SVM belongs to the best of the industry, outperforming 88.74% 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
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), SVM is destroying value.
The number of shares outstanding for SVM has been increased compared to 1 year ago.
The number of shares outstanding for SVM has been increased compared to 5 years ago.
SVM has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 2.52 indicates that SVM is not a great score, but indicates only limited risk for bankruptcy at the moment.
The Altman-Z score of SVM (2.52) is comparable to the rest of the industry.
The Debt to FCF ratio of SVM is 3.34, which is a good value as it means it would take SVM, 3.34 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of SVM (3.34) is better than 75.50% of its industry peers.
SVM has a Debt/Equity ratio of 0.15. This is a healthy value indicating a solid balance between debt and equity.
SVM has a Debt to Equity ratio of 0.15. This is comparable to the rest of the industry: SVM outperforms 56.29% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.15 | ||
| Debt/FCF | 3.34 | ||
| Altman-Z | 2.52 |
ROIC/WACC0.62
WACC9.38%
2.3 Liquidity
A Current Ratio of 4.61 indicates that SVM has no problem at all paying its short term obligations.
SVM has a better Current ratio (4.61) than 81.46% of its industry peers.
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.
Looking at the Quick ratio, with a value of 4.35, SVM belongs to the top of the industry, outperforming 80.13% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.61 | ||
| Quick Ratio | 4.35 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 70.00% over the past year.
The Earnings Per Share has been growing slightly by 2.13% on average over the past years.
The Revenue has grown by 28.94% in the past year. This is a very strong growth!
Measured over the past years, SVM shows a small growth in Revenue. The Revenue has been growing by 4.77% on average per year.
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
The Earnings Per Share is expected to grow by 44.79% on average over the next years. This is a very strong growth
SVM is expected to show a strong growth in Revenue. In the coming years, the Revenue will grow by 24.40% yearly.
EPS Next Y93.79%
EPS Next 2Y37.29%
EPS Next 3Y43.08%
EPS Next 5Y44.79%
Revenue Next Year36.96%
Revenue Next 2Y23.26%
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 11.35, the valuation of SVM can be described as reasonable.
Based on the Price/Earnings ratio, SVM is valued cheaper than 88.74% 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 29.35.
A Price/Forward Earnings ratio of 10.24 indicates a reasonable valuation of SVM.
81.46% of the companies in the same industry are more expensive than SVM, based on the Price/Forward Earnings ratio.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.10, SVM is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.35 | ||
| Fwd PE | 10.24 |
4.2 Price Multiples
91.39% of the companies in the same industry are more expensive than SVM, based on the Enterprise Value to EBITDA ratio.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of SVM indicates a somewhat cheap valuation: SVM is cheaper than 72.85% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 25.79 | ||
| EV/EBITDA | 4.77 |
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.
A more expensive valuation may be justified as SVM's earnings are expected to grow with 43.08% in the coming years.
PEG (NY)0.12
PEG (5Y)5.33
EPS Next 2Y37.29%
EPS Next 3Y43.08%
5. Dividend
5.1 Amount
With a yearly dividend of 0.62%, SVM is not a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 3.23, SVM pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.33, SVM's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.62% |
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.
SVM has not decreased its dividend in the past 5 years, so it has a somewhat stable track record.
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.
The dividend of SVM is growing, but earnings are growing more, so the dividend growth is sustainable.
DP6.94%
EPS Next 2Y37.29%
EPS Next 3Y43.08%
3.86
0 (0%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryMetals & Mining
Earnings (Last)
Earnings (Next)
Inst Owners39.34%
Inst Owner Change-2.33%
Ins Owners3.8%
Ins Owner ChangeN/A
Market Cap839.24M
Analysts80
Price Target5.27 (36.53%)
Short Float %5.98%
Short Ratio2.6
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.62% |
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)-1.08%
PT rev (3m)-2.46%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-15.56%
EPS NY rev (1m)6.6%
EPS NY rev (3m)14.55%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)20.7%
Revenue NY rev (1m)2.92%
Revenue NY rev (3m)2.42%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.35 | ||
| Fwd PE | 10.24 | ||
| P/S | 3.15 | ||
| P/FCF | 25.79 | ||
| P/OCF | 7.1 | ||
| P/B | 1.18 | ||
| P/tB | 1.18 | ||
| EV/EBITDA | 4.77 |
EPS(TTM)0.34
EY8.81%
EPS(NY)0.38
Fwd EY9.77%
FCF(TTM)0.15
FCFY3.88%
OCF(TTM)0.54
OCFY14.08%
SpS1.23
BVpS3.26
TBVpS3.26
PEG (NY)0.12
PEG (5Y)5.33
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 | 2.52 |
F-Score6
WACC9.38%
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 Year36.96%
Revenue Next 2Y23.26%
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%