BARRICK MINING CORP (B) Stock Fundamental Analysis
NYSE:B - New York Stock Exchange, Inc. - CA06849F1080 - Common Stock - Currency: USD
B gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 155 industry peers in the Metals & Mining industry. B has an excellent profitability rating, but there are some minor concerns on its financial health. B may be a bit undervalued, certainly considering the very reasonable score on growth These ratings would make B suitable for value investing!
1. Profitability
1.1 Basic Checks
In the past year B was profitable.
B had a positive operating cash flow in the past year.
B had positive earnings in each of the past 5 years.
B had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
B has a better Return On Assets (4.83%) than 74.68% of its industry peers.
Looking at the Return On Equity, with a value of 9.50%, B is in the better half of the industry, outperforming 75.32% of the companies in the same industry.
B has a Return On Invested Capital of 7.34%. This is in the better half of the industry: B outperforms 72.73% of its industry peers.
The Average Return On Invested Capital over the past 3 years for B is significantly below the industry average of 11.08%.
The 3 year average ROIC (5.32%) for B is below the current ROIC(7.34%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.83% | ||
| ROE | 9.5% | ||
| ROIC | 7.34% |
ROA(3y)2.74%
ROA(5y)3.51%
ROE(3y)5.39%
ROE(5y)6.92%
ROIC(3y)5.32%
ROIC(5y)5.94%
1.3 Margins
B's Profit Margin of 17.46% is amongst the best of the industry. B outperforms 86.36% of its industry peers.
B's Profit Margin has declined in the last couple of years.
B's Operating Margin of 36.66% is amongst the best of the industry. B outperforms 91.56% of its industry peers.
In the last couple of years the Operating Margin of B has grown nicely.
B's Gross Margin of 41.30% is amongst the best of the industry. B outperforms 82.47% of its industry peers.
In the last couple of years the Gross Margin of B has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 36.66% | ||
| PM (TTM) | 17.46% | ||
| GM | 41.3% |
OM growth 3Y-2.73%
OM growth 5Y7.55%
PM growth 3Y-0.55%
PM growth 5Y-16.49%
GM growth 3Y-2.05%
GM growth 5Y5.86%
2. Health
2.1 Basic Checks
B has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
B has less shares outstanding than it did 1 year ago.
B has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, B has an improved debt to assets ratio.
2.2 Solvency
B has an Altman-Z score of 1.47. This is a bad value and indicates that B is not financially healthy and even has some risk of bankruptcy.
B has a Altman-Z score of 1.47. This is in the lower half of the industry: B underperforms 67.53% of its industry peers.
The Debt to FCF ratio of B is 2.85, which is a good value as it means it would take B, 2.85 years of fcf income to pay off all of its debts.
B has a Debt to FCF ratio of 2.85. This is in the better half of the industry: B outperforms 76.62% of its industry peers.
A Debt/Equity ratio of 0.19 indicates that B is not too dependend on debt financing.
B has a Debt to Equity ratio (0.19) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.19 | ||
| Debt/FCF | 2.85 | ||
| Altman-Z | 1.47 |
ROIC/WACC0.86
WACC8.57%
2.3 Liquidity
A Current Ratio of 2.87 indicates that B has no problem at all paying its short term obligations.
The Current ratio of B (2.87) is better than 63.64% of its industry peers.
B has a Quick Ratio of 2.16. This indicates that B is financially healthy and has no problem in meeting its short term obligations.
B has a better Quick ratio (2.16) than 64.29% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.87 | ||
| Quick Ratio | 2.16 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 60.67% over the past year.
Measured over the past years, B shows a quite strong growth in Earnings Per Share. The EPS has been growing by 19.55% on average per year.
The Revenue has grown by 15.69% in the past year. This is quite good.
The Revenue has been growing slightly by 5.87% on average over the past years.
EPS 1Y (TTM)60.67%
EPS 3Y2.77%
EPS 5Y19.55%
EPS Q2Q%84.21%
Revenue 1Y (TTM)15.69%
Revenue growth 3Y2.54%
Revenue growth 5Y5.87%
Sales Q2Q%13.94%
3.2 Future
The Earnings Per Share is expected to grow by 8.03% on average over the next years. This is quite good.
Based on estimates for the next years, B will show a small growth in Revenue. The Revenue will grow by 2.49% on average per year.
EPS Next Y27.68%
EPS Next 2Y21.39%
EPS Next 3Y14.5%
EPS Next 5Y8.03%
Revenue Next Year12.94%
Revenue Next 2Y11%
Revenue Next 3Y8.86%
Revenue Next 5Y2.49%
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
Based on the Price/Earnings ratio of 13.86, the valuation of B can be described as correct.
B's Price/Earnings ratio is rather cheap when compared to the industry. B is cheaper than 87.66% of the companies in the same industry.
B is valuated rather cheaply when we compare the Price/Earnings ratio to 26.52, which is the current average of the S&P500 Index.
B is valuated reasonably with a Price/Forward Earnings ratio of 10.59.
Based on the Price/Forward Earnings ratio, B is valued a bit cheaper than the industry average as 73.38% of the companies are valued more expensively.
The average S&P500 Price/Forward Earnings ratio is at 22.25. B is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.86 | ||
| Fwd PE | 10.59 |
4.2 Price Multiples
87.66% of the companies in the same industry are more expensive than B, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, B is valued a bit cheaper than 79.22% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 20.62 | ||
| EV/EBITDA | 5.23 |
4.3 Compensation for Growth
B's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The excellent profitability rating of B may justify a higher PE ratio.
A more expensive valuation may be justified as B's earnings are expected to grow with 14.50% in the coming years.
PEG (NY)0.5
PEG (5Y)0.71
EPS Next 2Y21.39%
EPS Next 3Y14.5%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.07%, B has a reasonable but not impressive dividend return.
B's Dividend Yield is rather good when compared to the industry average which is at 2.89. B pays more dividend than 81.17% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.39, B has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.07% |
5.2 History
The dividend of B has a limited annual growth rate of 1.44%.
B has been paying a dividend for over 5 years, so it has already some track record.
The dividend of B decreased recently.
Dividend Growth(5Y)1.44%
Div Incr Years0
Div Non Decr Years1
5.3 Sustainability
29.83% of the earnings are spent on dividend by B. This is a low number and sustainable payout ratio.
B's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP29.83%
EPS Next 2Y21.39%
EPS Next 3Y14.5%
19.82
-0.21 (-1.05%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryMetals & Mining
Earnings (Last)
Earnings (Next)
Inst Owners62.18%
Inst Owner ChangeN/A
Ins Owners0.7%
Ins Owner Change0%
Market Cap34.23B
Analysts81.25
Price Target48.85 (146.47%)
Short Float %0.95%
Short Ratio0.74
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.07% |
Yearly Dividend0.4
Dividend Growth(5Y)1.44%
DP29.83%
Div Incr Years0
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)16.82%
Min EPS beat(2)10.98%
Max EPS beat(2)22.67%
EPS beat(4)3
Avg EPS beat(4)11%
Min EPS beat(4)-4.73%
Max EPS beat(4)22.67%
EPS beat(8)7
Avg EPS beat(8)15.69%
EPS beat(12)11
Avg EPS beat(12)15.63%
EPS beat(16)15
Avg EPS beat(16)13.78%
Revenue beat(2)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)N/A
PT rev (3m)N/A
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)N/A
EPS NY rev (3m)N/A
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)N/A
Revenue NY rev (3m)N/A
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.86 | ||
| Fwd PE | 10.59 | ||
| P/S | 2.57 | ||
| P/FCF | 20.62 | ||
| P/OCF | 6.93 | ||
| P/B | 1.4 | ||
| P/tB | 1.61 | ||
| EV/EBITDA | 5.23 |
EPS(TTM)1.43
EY7.21%
EPS(NY)1.87
Fwd EY9.44%
FCF(TTM)0.96
FCFY4.85%
OCF(TTM)2.86
OCFY14.44%
SpS7.7
BVpS14.16
TBVpS12.28
PEG (NY)0.5
PEG (5Y)0.71
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.83% | ||
| ROE | 9.5% | ||
| ROCE | 10.76% | ||
| ROIC | 7.34% | ||
| ROICexc | 8.07% | ||
| ROICexgc | 8.75% | ||
| OM | 36.66% | ||
| PM (TTM) | 17.46% | ||
| GM | 41.3% | ||
| FCFM | 12.48% |
ROA(3y)2.74%
ROA(5y)3.51%
ROE(3y)5.39%
ROE(5y)6.92%
ROIC(3y)5.32%
ROIC(5y)5.94%
ROICexc(3y)5.89%
ROICexc(5y)6.64%
ROICexgc(3y)6.46%
ROICexgc(5y)7.43%
ROCE(3y)7.8%
ROCE(5y)8.7%
ROICexcg growth 3Y-3.04%
ROICexcg growth 5Y11.36%
ROICexc growth 3Y-1.4%
ROICexc growth 5Y12.6%
OM growth 3Y-2.73%
OM growth 5Y7.55%
PM growth 3Y-0.55%
PM growth 5Y-16.49%
GM growth 3Y-2.05%
GM growth 5Y5.86%
F-Score7
Asset Turnover0.28
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.19 | ||
| Debt/FCF | 2.85 | ||
| Debt/EBITDA | 0.7 | ||
| Cap/Depr | 177.27% | ||
| Cap/Sales | 24.67% | ||
| Interest Coverage | 12.9 | ||
| Cash Conversion | 73.45% | ||
| Profit Quality | 71.46% | ||
| Current Ratio | 2.87 | ||
| Quick Ratio | 2.16 | ||
| Altman-Z | 1.47 |
F-Score7
WACC8.57%
ROIC/WACC0.86
Cap/Depr(3y)156.49%
Cap/Depr(5y)135.67%
Cap/Sales(3y)26.44%
Cap/Sales(5y)23.19%
Profit Quality(3y)70.74%
Profit Quality(5y)90.6%
High Growth Momentum
Growth
EPS 1Y (TTM)60.67%
EPS 3Y2.77%
EPS 5Y19.55%
EPS Q2Q%84.21%
EPS Next Y27.68%
EPS Next 2Y21.39%
EPS Next 3Y14.5%
EPS Next 5Y8.03%
Revenue 1Y (TTM)15.69%
Revenue growth 3Y2.54%
Revenue growth 5Y5.87%
Sales Q2Q%13.94%
Revenue Next Year12.94%
Revenue Next 2Y11%
Revenue Next 3Y8.86%
Revenue Next 5Y2.49%
EBIT growth 1Y61.74%
EBIT growth 3Y-0.26%
EBIT growth 5Y13.86%
EBIT Next Year85.54%
EBIT Next 3Y30.25%
EBIT Next 5Y13.26%
FCF growth 1Y1207.09%
FCF growth 3Y-12.16%
FCF growth 5Y3.07%
OCF growth 1Y51.95%
OCF growth 3Y0.85%
OCF growth 5Y9.65%