WHEATON PRECIOUS METALS CORP (WPM.CA) Stock Fundamental Analysis
TSX:WPM - Toronto Stock Exchange - CA9628791027 - Common Stock - Currency: CAD
We assign a fundamental rating of 7 out of 10 to WPM. WPM was compared to 799 industry peers in the Metals & Mining industry. WPM scores excellent points on both the profitability and health parts. This is a solid base for a good stock. WPM is not valued too expensively and it also shows a decent growth rate. This makes WPM very considerable for quality investing!
1. Profitability
1.1 Basic Checks
In the past year WPM was profitable.
WPM had a positive operating cash flow in the past year.
In the past 5 years WPM has always been profitable.
Each year in the past 5 years WPM had a positive operating cash flow.
1.2 Ratios
The Return On Assets of WPM (7.13%) is better than 92.99% of its industry peers.
The Return On Equity of WPM (7.29%) is better than 90.86% of its industry peers.
The Return On Invested Capital of WPM (7.10%) is better than 93.37% of its industry peers.
The Average Return On Invested Capital over the past 3 years for WPM is significantly below the industry average of 24.74%.
The 3 year average ROIC (5.89%) for WPM is below the current ROIC(7.10%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.13% | ||
| ROE | 7.29% | ||
| ROIC | 7.1% |
ROA(3y)8.22%
ROA(5y)9.04%
ROE(3y)8.32%
ROE(5y)9.18%
ROIC(3y)5.89%
ROIC(5y)6.17%
1.3 Margins
WPM has a better Profit Margin (41.19%) than 97.87% of its industry peers.
In the last couple of years the Profit Margin of WPM has grown nicely.
Looking at the Operating Margin, with a value of 56.80%, WPM belongs to the top of the industry, outperforming 99.50% of the companies in the same industry.
WPM's Operating Margin has improved in the last couple of years.
With an excellent Gross Margin value of 62.48%, WPM belongs to the best of the industry, outperforming 97.62% of the companies in the same industry.
In the last couple of years the Gross Margin of WPM has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 56.8% | ||
| PM (TTM) | 41.19% | ||
| GM | 62.48% |
OM growth 3Y4.51%
OM growth 5Y10.92%
PM growth 3Y-13.12%
PM growth 5Y32.74%
GM growth 3Y4.45%
GM growth 5Y9.24%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), WPM is destroying value.
WPM has about the same amout of shares outstanding than it did 1 year ago.
WPM has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, WPM has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 139.49 indicates that WPM is not in any danger for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 139.49, WPM belongs to the top of the industry, outperforming 95.87% of the companies in the same industry.
The Debt to FCF ratio of WPM is 0.01, which is an excellent value as it means it would take WPM, only 0.01 years of fcf income to pay off all of its debts.
WPM has a Debt to FCF ratio of 0.01. This is amongst the best in the industry. WPM outperforms 97.25% of its industry peers.
WPM has a Debt/Equity ratio of 0.00. This is a healthy value indicating a solid balance between debt and equity.
WPM has a Debt to Equity ratio of 0.00. This is comparable to the rest of the industry: WPM outperforms 59.20% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0.01 | ||
| Altman-Z | 139.49 |
ROIC/WACC0.8
WACC8.87%
2.3 Liquidity
WPM has a Current Ratio of 28.07. This indicates that WPM is financially healthy and has no problem in meeting its short term obligations.
The Current ratio of WPM (28.07) is better than 94.12% of its industry peers.
WPM has a Quick Ratio of 28.07. This indicates that WPM is financially healthy and has no problem in meeting its short term obligations.
With an excellent Quick ratio value of 28.07, WPM belongs to the best of the industry, outperforming 94.12% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 28.07 | ||
| Quick Ratio | 28.07 |
3. Growth
3.1 Past
WPM shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 24.66%, which is quite impressive.
The Earnings Per Share has been growing by 21.22% on average over the past years. This is a very strong growth
WPM shows a strong growth in Revenue. In the last year, the Revenue has grown by 26.44%.
The Revenue has been growing by 8.32% on average over the past years. This is quite good.
EPS 1Y (TTM)24.66%
EPS 3Y3.74%
EPS 5Y21.22%
EPS Q2Q%20.94%
Revenue 1Y (TTM)26.44%
Revenue growth 3Y2.25%
Revenue growth 5Y8.32%
Sales Q2Q%21.39%
3.2 Future
WPM is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 0.12% yearly.
The Revenue is expected to grow by 3.87% on average over the next years.
EPS Next Y45.16%
EPS Next 2Y18.52%
EPS Next 3Y11.37%
EPS Next 5Y0.12%
Revenue Next Year24.85%
Revenue Next 2Y12.63%
Revenue Next 3Y9.41%
Revenue Next 5Y3.87%
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 decreasing.
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
With a Price/Earnings ratio of 57.76, WPM can be considered very expensive at the moment.
86.61% of the companies in the same industry are more expensive than WPM, based on the Price/Earnings ratio.
The average S&P500 Price/Earnings ratio is at 27.63. WPM is valued rather expensively when compared to this.
With a Price/Forward Earnings ratio of 39.88, WPM can be considered very expensive at the moment.
Based on the Price/Forward Earnings ratio, WPM is valued cheaply inside the industry as 88.11% of the companies are valued more expensively.
When comparing the Price/Forward Earnings ratio of WPM to the average of the S&P500 Index (20.85), we can say WPM is valued expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 57.76 | ||
| Fwd PE | 39.88 |
4.2 Price Multiples
88.61% of the companies in the same industry are more expensive than WPM, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, WPM is valued cheaply inside the industry as 90.24% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 96.42 | ||
| EV/EBITDA | 38.04 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The excellent profitability rating of WPM may justify a higher PE ratio.
PEG (NY)1.28
PEG (5Y)2.72
EPS Next 2Y18.52%
EPS Next 3Y11.37%
5. Dividend
5.1 Amount
WPM has a yearly dividend return of 0.71%, which is pretty low.
WPM's Dividend Yield is rather good when compared to the industry average which is at 3.00. WPM pays more dividend than 95.37% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.51, WPM's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.71% |
5.2 History
The dividend of WPM is nicely growing with an annual growth rate of 16.13%!
WPM has been paying a dividend for at least 10 years, so it has a reliable track record.
WPM has not decreased its dividend in the past 5 years, so it has a somewhat stable track record.
Dividend Growth(5Y)16.13%
Div Incr Years1
Div Non Decr Years9
5.3 Sustainability
52.74% of the earnings are spent on dividend by WPM. This is a bit on the high side, but may be sustainable.
The dividend of WPM is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP52.74%
EPS Next 2Y18.52%
EPS Next 3Y11.37%
TSX:WPM (4/21/2025, 7:00:00 PM)
117.84
+0.23 (+0.2%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryMetals & Mining
Earnings (Last)
Earnings (Next)
Inst Owners71.39%
Inst Owner ChangeN/A
Ins Owners0.12%
Ins Owner ChangeN/A
Market Cap53.46B
Analysts82.67
Price Target117.07 (-0.65%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.71% |
Yearly Dividend0.85
Dividend Growth(5Y)16.13%
DP52.74%
Div Incr Years1
Div Non Decr Years9
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-0.89%
Min EPS beat(2)-1.83%
Max EPS beat(2)0.05%
EPS beat(4)3
Avg EPS beat(4)6.56%
Min EPS beat(4)-1.83%
Max EPS beat(4)20.35%
EPS beat(8)6
Avg EPS beat(8)5.32%
EPS beat(12)8
Avg EPS beat(12)2.79%
EPS beat(16)8
Avg EPS beat(16)0.3%
Revenue beat(2)0
Avg Revenue beat(2)-3.68%
Min Revenue beat(2)-4.5%
Max Revenue beat(2)-2.85%
Revenue beat(4)1
Avg Revenue beat(4)-1.98%
Min Revenue beat(4)-4.5%
Max Revenue beat(4)3.9%
Revenue beat(8)3
Avg Revenue beat(8)-2.38%
Revenue beat(12)5
Avg Revenue beat(12)-2.34%
Revenue beat(16)5
Avg Revenue beat(16)-3.28%
PT rev (1m)7.95%
PT rev (3m)9.27%
EPS NQ rev (1m)15.75%
EPS NQ rev (3m)21.5%
EPS NY rev (1m)20.53%
EPS NY rev (3m)20%
Revenue NQ rev (1m)10.23%
Revenue NQ rev (3m)-2.13%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.19%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 57.76 | ||
| Fwd PE | 39.88 | ||
| P/S | 29.97 | ||
| P/FCF | 96.42 | ||
| P/OCF | 37.47 | ||
| P/B | 5.3 | ||
| P/tB | 5.31 | ||
| EV/EBITDA | 38.04 |
EPS(TTM)2.04
EY1.73%
EPS(NY)2.95
Fwd EY2.51%
FCF(TTM)1.22
FCFY1.04%
OCF(TTM)3.14
OCFY2.67%
SpS3.93
BVpS22.22
TBVpS22.21
PEG (NY)1.28
PEG (5Y)2.72
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.13% | ||
| ROE | 7.29% | ||
| ROCE | 9.87% | ||
| ROIC | 7.1% | ||
| ROICexc | 7.99% | ||
| ROICexgc | 7.99% | ||
| OM | 56.8% | ||
| PM (TTM) | 41.19% | ||
| GM | 62.48% | ||
| FCFM | 31.09% |
ROA(3y)8.22%
ROA(5y)9.04%
ROE(3y)8.32%
ROE(5y)9.18%
ROIC(3y)5.89%
ROIC(5y)6.17%
ROICexc(3y)6.54%
ROICexc(5y)6.66%
ROICexgc(3y)6.54%
ROICexgc(5y)6.66%
ROCE(3y)8.19%
ROCE(5y)8.58%
ROICexcg growth 3Y3.88%
ROICexcg growth 5Y18.4%
ROICexc growth 3Y3.87%
ROICexc growth 5Y18.39%
OM growth 3Y4.51%
OM growth 5Y10.92%
PM growth 3Y-13.12%
PM growth 5Y32.74%
GM growth 3Y4.45%
GM growth 5Y9.24%
F-Score7
Asset Turnover0.17
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0.01 | ||
| Debt/EBITDA | 0.01 | ||
| Cap/Depr | 253.01% | ||
| Cap/Sales | 48.9% | ||
| Interest Coverage | 2542.49 | ||
| Cash Conversion | 105.07% | ||
| Profit Quality | 75.47% | ||
| Current Ratio | 28.07 | ||
| Quick Ratio | 28.07 | ||
| Altman-Z | 139.49 |
F-Score7
WACC8.87%
ROIC/WACC0.8
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)67.6%
Profit Quality(5y)93.1%
High Growth Momentum
Growth
EPS 1Y (TTM)24.66%
EPS 3Y3.74%
EPS 5Y21.22%
EPS Q2Q%20.94%
EPS Next Y45.16%
EPS Next 2Y18.52%
EPS Next 3Y11.37%
EPS Next 5Y0.12%
Revenue 1Y (TTM)26.44%
Revenue growth 3Y2.25%
Revenue growth 5Y8.32%
Sales Q2Q%21.39%
Revenue Next Year24.85%
Revenue Next 2Y12.63%
Revenue Next 3Y9.41%
Revenue Next 5Y3.87%
EBIT growth 1Y44.42%
EBIT growth 3Y6.86%
EBIT growth 5Y20.15%
EBIT Next Year81.71%
EBIT Next 3Y24.75%
EBIT Next 5Y9%
FCF growth 1Y357.54%
FCF growth 3Y-22.11%
FCF growth 5Y-4.46%
OCF growth 1Y36.86%
OCF growth 3Y6.73%
OCF growth 5Y15.42%