FORTUNA MINING CORP (FSM) Stock Fundamental Analysis
NYSE:FSM - New York Stock Exchange, Inc. - CA3499421020 - Common Stock - Currency: USD
We assign a fundamental rating of 7 out of 10 to FSM. FSM was compared to 155 industry peers in the Metals & Mining industry. FSM has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. FSM has both an excellent growth and valuation score. This means it is growing and it is still cheap. This is a rare combination! This makes FSM very considerable for value and growth and quality investing!
1. Profitability
1.1 Basic Checks
FSM had positive earnings in the past year.
FSM had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: FSM reported negative net income in multiple years.
FSM had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
FSM has a better Return On Assets (7.36%) than 81.94% of its industry peers.
FSM has a better Return On Equity (11.02%) than 80.00% of its industry peers.
The Return On Invested Capital of FSM (10.32%) is better than 87.10% of its industry peers.
FSM had an Average Return On Invested Capital over the past 3 years of 5.85%. This is significantly below the industry average of 11.10%.
The last Return On Invested Capital (10.32%) for FSM is above the 3 year average (5.85%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.36% | ||
| ROE | 11.02% | ||
| ROIC | 10.32% |
ROA(3y)-1.11%
ROA(5y)0.32%
ROE(3y)-1.74%
ROE(5y)0.39%
ROIC(3y)5.85%
ROIC(5y)5.63%
1.3 Margins
With an excellent Profit Margin value of 14.28%, FSM belongs to the best of the industry, outperforming 82.58% of the companies in the same industry.
In the last couple of years the Profit Margin of FSM has grown nicely.
With an excellent Operating Margin value of 26.07%, FSM belongs to the best of the industry, outperforming 80.65% of the companies in the same industry.
FSM's Operating Margin has improved in the last couple of years.
FSM has a better Gross Margin (34.56%) than 75.48% of its industry peers.
In the last couple of years the Gross Margin of FSM has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 26.07% | ||
| PM (TTM) | 14.28% | ||
| GM | 34.56% |
OM growth 3Y-1.7%
OM growth 5Y2.93%
PM growth 3Y7.9%
PM growth 5Y5.55%
GM growth 3Y-2.98%
GM growth 5Y-0.63%
2. Health
2.1 Basic Checks
FSM has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
The number of shares outstanding for FSM remains at a similar level compared to 1 year ago.
The number of shares outstanding for FSM has been increased compared to 5 years ago.
Compared to 1 year ago, FSM has an improved debt to assets ratio.
2.2 Solvency
FSM has an Altman-Z score of 3.06. This indicates that FSM is financially healthy and has little risk of bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 3.06, FSM is in line with its industry, outperforming 59.35% of the companies in the same industry.
The Debt to FCF ratio of FSM is 0.83, which is an excellent value as it means it would take FSM, only 0.83 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of FSM (0.83) is better than 90.32% of its industry peers.
A Debt/Equity ratio of 0.12 indicates that FSM is not too dependend on debt financing.
FSM has a Debt to Equity ratio (0.12) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.12 | ||
| Debt/FCF | 0.83 | ||
| Altman-Z | 3.06 |
ROIC/WACC1.34
WACC7.7%
2.3 Liquidity
A Current Ratio of 2.04 indicates that FSM has no problem at all paying its short term obligations.
The Current ratio of FSM (2.04) is comparable to the rest of the industry.
A Quick Ratio of 1.56 indicates that FSM should not have too much problems paying its short term obligations.
FSM has a Quick ratio (1.56) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.04 | ||
| Quick Ratio | 1.56 |
3. Growth
3.1 Past
FSM shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 126.77%, which is quite impressive.
FSM shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 22.67% yearly.
The Revenue has grown by 26.41% in the past year. This is a very strong growth!
FSM shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 32.79% yearly.
EPS 1Y (TTM)126.77%
EPS 3Y3.57%
EPS 5Y22.67%
EPS Q2Q%122.22%
Revenue 1Y (TTM)26.41%
Revenue growth 3Y20.98%
Revenue growth 5Y32.79%
Sales Q2Q%29.01%
3.2 Future
Based on estimates for the next years, FSM will show a very strong growth in Earnings Per Share. The EPS will grow by 21.30% on average per year.
FSM is expected to show a very negative growth in Revenue. In the coming years, the Revenue will decrease by -10.05% yearly.
EPS Next Y45.95%
EPS Next 2Y16.05%
EPS Next 3Y8.94%
EPS Next 5Y21.3%
Revenue Next Year-7.4%
Revenue Next 2Y-10.99%
Revenue Next 3Y-12.14%
Revenue Next 5Y-10.05%
3.3 Evolution
The EPS growth rate is stable: in the next years the growth will be about the same 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 decreasing.
4. Valuation
4.1 Price/Earnings Ratio
FSM is valuated reasonably with a Price/Earnings ratio of 11.28.
Compared to the rest of the industry, the Price/Earnings ratio of FSM indicates a rather cheap valuation: FSM is cheaper than 92.26% of the companies listed in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 26.31, FSM is valued rather cheaply.
With a Price/Forward Earnings ratio of 10.22, the valuation of FSM can be described as very reasonable.
Based on the Price/Forward Earnings ratio, FSM is valued a bit cheaper than 76.13% of the companies in the same industry.
FSM's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 22.13.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.28 | ||
| Fwd PE | 10.22 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, FSM is valued cheaply inside the industry as 96.13% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, FSM is valued cheaply inside the industry as 91.61% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.88 | ||
| EV/EBITDA | 3.73 |
4.3 Compensation for Growth
FSM'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 FSM may justify a higher PE ratio.
PEG (NY)0.25
PEG (5Y)0.5
EPS Next 2Y16.05%
EPS Next 3Y8.94%
5. Dividend
5.1 Amount
FSM does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
6.88
0 (0%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryMetals & Mining
Earnings (Last)
Earnings (Next)
Inst Owners68.5%
Inst Owner Change13.18%
Ins Owners0.98%
Ins Owner ChangeN/A
Market Cap2.11B
Analysts71.11
Price Target6.57 (-4.51%)
Short Float %5.78%
Short Ratio1.12
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-14.22%
Min EPS beat(2)-20.55%
Max EPS beat(2)-7.9%
EPS beat(4)1
Avg EPS beat(4)-5.14%
Min EPS beat(4)-28.97%
Max EPS beat(4)36.84%
EPS beat(8)3
Avg EPS beat(8)2.05%
EPS beat(12)5
Avg EPS beat(12)10.32%
EPS beat(16)6
Avg EPS beat(16)4.11%
Revenue beat(2)0
Avg Revenue beat(2)-1.05%
Min Revenue beat(2)-1.28%
Max Revenue beat(2)-0.81%
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)0.35%
PT rev (3m)13.22%
EPS NQ rev (1m)-3.84%
EPS NQ rev (3m)-8.8%
EPS NY rev (1m)0%
EPS NY rev (3m)-7.61%
Revenue NQ rev (1m)-17.56%
Revenue NQ rev (3m)-17.56%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-5.82%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.28 | ||
| Fwd PE | 10.22 | ||
| P/S | 1.87 | ||
| P/FCF | 8.88 | ||
| P/OCF | 4.8 | ||
| P/B | 1.45 | ||
| P/tB | 1.45 | ||
| EV/EBITDA | 3.73 |
EPS(TTM)0.61
EY8.87%
EPS(NY)0.67
Fwd EY9.79%
FCF(TTM)0.77
FCFY11.26%
OCF(TTM)1.43
OCFY20.84%
SpS3.67
BVpS4.76
TBVpS4.76
PEG (NY)0.25
PEG (5Y)0.5
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.36% | ||
| ROE | 11.02% | ||
| ROCE | 15.44% | ||
| ROIC | 10.32% | ||
| ROICexc | 12.33% | ||
| ROICexgc | 12.33% | ||
| OM | 26.07% | ||
| PM (TTM) | 14.28% | ||
| GM | 34.56% | ||
| FCFM | 21.1% |
ROA(3y)-1.11%
ROA(5y)0.32%
ROE(3y)-1.74%
ROE(5y)0.39%
ROIC(3y)5.85%
ROIC(5y)5.63%
ROICexc(3y)6.47%
ROICexc(5y)6.24%
ROICexgc(3y)6.47%
ROICexgc(5y)6.24%
ROCE(3y)8.74%
ROCE(5y)8.42%
ROICexcg growth 3Y21.76%
ROICexcg growth 5Y17.46%
ROICexc growth 3Y21.76%
ROICexc growth 5Y17.46%
OM growth 3Y-1.7%
OM growth 5Y2.93%
PM growth 3Y7.9%
PM growth 5Y5.55%
GM growth 3Y-2.98%
GM growth 5Y-0.63%
F-Score9
Asset Turnover0.52
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.12 | ||
| Debt/FCF | 0.83 | ||
| Debt/EBITDA | 0.33 | ||
| Cap/Depr | 83.78% | ||
| Cap/Sales | 17.94% | ||
| Interest Coverage | 25.27 | ||
| Cash Conversion | 82.22% | ||
| Profit Quality | 147.73% | ||
| Current Ratio | 2.04 | ||
| Quick Ratio | 1.56 | ||
| Altman-Z | 3.06 |
F-Score9
WACC7.7%
ROIC/WACC1.34
Cap/Depr(3y)110.97%
Cap/Depr(5y)139.78%
Cap/Sales(3y)27.28%
Cap/Sales(5y)29.31%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)126.77%
EPS 3Y3.57%
EPS 5Y22.67%
EPS Q2Q%122.22%
EPS Next Y45.95%
EPS Next 2Y16.05%
EPS Next 3Y8.94%
EPS Next 5Y21.3%
Revenue 1Y (TTM)26.41%
Revenue growth 3Y20.98%
Revenue growth 5Y32.79%
Sales Q2Q%29.01%
Revenue Next Year-7.4%
Revenue Next 2Y-10.99%
Revenue Next 3Y-12.14%
Revenue Next 5Y-10.05%
EBIT growth 1Y96.74%
EBIT growth 3Y18.92%
EBIT growth 5Y36.69%
EBIT Next Year87.38%
EBIT Next 3Y17.12%
EBIT Next 5Y9.99%
FCF growth 1Y628.15%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y117.02%
OCF growth 3Y35.45%
OCF growth 5Y42.15%