HUDBAY MINERALS INC (HBM) Stock Fundamental Analysis
NYSE:HBM - CA4436281022 - Common Stock
12 USD
+0.2 (+1.69%)
12 USD
0 (0%)
HBM gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 156 industry peers in the Metals & Mining industry. HBM scores excellent on profitability, but there are some minor concerns on its financial health. HBM is valued quite cheap, while showing a decent growth score. This is a good combination!
1. Profitability
1.1 Basic Checks
In the past year HBM was profitable.
In the past year HBM had a positive cash flow from operations.
In multiple years HBM reported negative net income over the last 5 years.
HBM had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of HBM (5.13%) is better than 75.00% of its industry peers.
HBM's Return On Equity of 10.09% is fine compared to the rest of the industry. HBM outperforms 76.28% of its industry peers.
HBM has a better Return On Invested Capital (10.15%) than 82.05% of its industry peers.
The Average Return On Invested Capital over the past 3 years for HBM is significantly below the industry average of 13.00%.
The 3 year average ROIC (6.15%) for HBM is below the current ROIC(10.15%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.13% | ||
| ROE | 10.09% | ||
| ROIC | 10.15% |
ROA(3y)1.42%
ROA(5y)-0.82%
ROE(3y)3.55%
ROE(5y)-2.88%
ROIC(3y)6.15%
ROIC(5y)N/A
1.3 Margins
Looking at the Profit Margin, with a value of 13.13%, HBM is in the better half of the industry, outperforming 78.85% of the companies in the same industry.
The Operating Margin of HBM (26.94%) is better than 78.85% of its industry peers.
In the last couple of years the Operating Margin of HBM has grown nicely.
Looking at the Gross Margin, with a value of 33.24%, HBM is in the better half of the industry, outperforming 73.72% of the companies in the same industry.
HBM's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 26.94% | ||
| PM (TTM) | 13.13% | ||
| GM | 33.24% |
OM growth 3Y11.98%
OM growth 5Y50.87%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y8.24%
GM growth 5Y17.48%
2. Health
2.1 Basic Checks
HBM has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
Compared to 1 year ago, HBM has more shares outstanding
HBM has more shares outstanding than it did 5 years ago.
HBM has a better debt/assets ratio than last year.
2.2 Solvency
HBM has an Altman-Z score of 1.83. This is not the best score and indicates that HBM is in the grey zone with still only limited risk for bankruptcy at the moment.
HBM has a worse Altman-Z score (1.83) than 64.74% of its industry peers.
HBM has a debt to FCF ratio of 3.38. This is a good value and a sign of high solvency as HBM would need 3.38 years to pay back of all of its debts.
The Debt to FCF ratio of HBM (3.38) is better than 73.08% of its industry peers.
A Debt/Equity ratio of 0.22 indicates that HBM is not too dependend on debt financing.
HBM's Debt to Equity ratio of 0.22 is in line compared to the rest of the industry. HBM outperforms 46.79% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.22 | ||
| Debt/FCF | 3.38 | ||
| Altman-Z | 1.83 |
ROIC/WACC1.09
WACC9.29%
2.3 Liquidity
HBM has a Current Ratio of 1.03. This is a normal value and indicates that HBM is financially healthy and should not expect problems in meeting its short term obligations.
HBM has a worse Current ratio (1.03) than 81.41% of its industry peers.
A Quick Ratio of 0.86 indicates that HBM may have some problems paying its short term obligations.
HBM has a Quick ratio of 0.86. This is in the lower half of the industry: HBM underperforms 75.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.03 | ||
| Quick Ratio | 0.86 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 72.09% over the past year.
The Earnings Per Share has been growing by 25.11% on average over the past years. This is a very strong growth
HBM shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 8.30%.
HBM shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 10.31% yearly.
EPS 1Y (TTM)72.09%
EPS 3Y25.11%
EPS 5YN/A
EPS Q2Q%760.89%
Revenue 1Y (TTM)8.3%
Revenue growth 3Y10.4%
Revenue growth 5Y10.31%
Sales Q2Q%26.06%
3.2 Future
Based on estimates for the next years, HBM will show a very strong growth in Earnings Per Share. The EPS will grow by 24.55% on average per year.
HBM is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 7.62% yearly.
EPS Next Y69.79%
EPS Next 2Y39.08%
EPS Next 3Y33.3%
EPS Next 5Y24.55%
Revenue Next Year12.5%
Revenue Next 2Y5.09%
Revenue Next 3Y6.51%
Revenue Next 5Y7.62%
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 stable.
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
HBM is valuated correctly with a Price/Earnings ratio of 16.22.
Based on the Price/Earnings ratio, HBM is valued cheaply inside the industry as 84.62% of the companies are valued more expensively.
Compared to an average S&P500 Price/Earnings ratio of 27.13, HBM is valued a bit cheaper.
Based on the Price/Forward Earnings ratio of 13.20, the valuation of HBM can be described as correct.
HBM's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. HBM is cheaper than 68.59% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of HBM to the average of the S&P500 Index (22.76), we can say HBM is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.22 | ||
| Fwd PE | 13.2 |
4.2 Price Multiples
HBM's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. HBM is cheaper than 90.38% of the companies in the same industry.
91.03% of the companies in the same industry are more expensive than HBM, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 13.18 | ||
| EV/EBITDA | 5.24 |
4.3 Compensation for Growth
HBM's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The decent profitability rating of HBM may justify a higher PE ratio.
HBM's earnings are expected to grow with 33.30% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.23
PEG (5Y)N/A
EPS Next 2Y39.08%
EPS Next 3Y33.3%
5. Dividend
5.1 Amount
HBM has a yearly dividend return of 0.12%, which is pretty low.
HBM's Dividend Yield is comparable with the industry average which is at 2.67.
Compared to an average S&P500 Dividend Yield of 2.32, HBM's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.12% |
5.2 History
The dividend of HBM decreases each year by -0.13%.
HBM has been paying a dividend for at least 10 years, so it has a reliable track record.
HBM has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)-0.13%
Div Incr Years0
Div Non Decr Years10
5.3 Sustainability
HBM pays out 1.98% of its income as dividend. This is a sustainable payout ratio.
DP1.98%
EPS Next 2Y39.08%
EPS Next 3Y33.3%
12
+0.2 (+1.69%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryMetals & Mining
Earnings (Last)
Earnings (Next)
Inst Owners66.56%
Inst Owner Change23.14%
Ins Owners0.19%
Ins Owner ChangeN/A
Market Cap4.75B
Analysts83.81
Price Target12.99 (8.25%)
Short Float %4.06%
Short Ratio1.98
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.12% |
Yearly Dividend0.01
Dividend Growth(5Y)-0.13%
DP1.98%
Div Incr Years0
Div Non Decr Years10
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)88.18%
Min EPS beat(2)66.23%
Max EPS beat(2)110.14%
EPS beat(4)3
Avg EPS beat(4)88.52%
Min EPS beat(4)-3.49%
Max EPS beat(4)181.22%
EPS beat(8)5
Avg EPS beat(8)71.51%
EPS beat(12)6
Avg EPS beat(12)18.68%
EPS beat(16)8
Avg EPS beat(16)26.45%
Revenue beat(2)1
Avg Revenue beat(2)4.56%
Min Revenue beat(2)-0.09%
Max Revenue beat(2)9.21%
Revenue beat(4)2
Avg Revenue beat(4)3.35%
Min Revenue beat(4)-1.56%
Max Revenue beat(4)9.21%
Revenue beat(8)3
Avg Revenue beat(8)-0.08%
Revenue beat(12)4
Avg Revenue beat(12)-2.04%
Revenue beat(16)4
Avg Revenue beat(16)-2.67%
PT rev (1m)10.07%
PT rev (3m)20.13%
EPS NQ rev (1m)-5.95%
EPS NQ rev (3m)-21.52%
EPS NY rev (1m)45.37%
EPS NY rev (3m)45.37%
Revenue NQ rev (1m)-8.88%
Revenue NQ rev (3m)-13.09%
Revenue NY rev (1m)1.37%
Revenue NY rev (3m)5.13%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.22 | ||
| Fwd PE | 13.2 | ||
| P/S | 2.16 | ||
| P/FCF | 13.18 | ||
| P/OCF | 6.14 | ||
| P/B | 1.66 | ||
| P/tB | 1.71 | ||
| EV/EBITDA | 5.24 |
EPS(TTM)0.74
EY6.17%
EPS(NY)0.91
Fwd EY7.58%
FCF(TTM)0.91
FCFY7.59%
OCF(TTM)1.95
OCFY16.27%
SpS5.57
BVpS7.24
TBVpS7.03
PEG (NY)0.23
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.13% | ||
| ROE | 10.09% | ||
| ROCE | 12.85% | ||
| ROIC | 10.15% | ||
| ROICexc | 11.74% | ||
| ROICexgc | 11.99% | ||
| OM | 26.94% | ||
| PM (TTM) | 13.13% | ||
| GM | 33.24% | ||
| FCFM | 16.36% |
ROA(3y)1.42%
ROA(5y)-0.82%
ROE(3y)3.55%
ROE(5y)-2.88%
ROIC(3y)6.15%
ROIC(5y)N/A
ROICexc(3y)6.68%
ROICexc(5y)N/A
ROICexgc(3y)6.81%
ROICexgc(5y)N/A
ROCE(3y)7.79%
ROCE(5y)N/A
ROICexcg growth 3Y18.86%
ROICexcg growth 5Y61.23%
ROICexc growth 3Y18.39%
ROICexc growth 5Y60.76%
OM growth 3Y11.98%
OM growth 5Y50.87%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y8.24%
GM growth 5Y17.48%
F-Score7
Asset Turnover0.39
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.22 | ||
| Debt/FCF | 3.38 | ||
| Debt/EBITDA | 0.63 | ||
| Cap/Depr | 96.95% | ||
| Cap/Sales | 18.73% | ||
| Interest Coverage | 9.2 | ||
| Cash Conversion | 75.85% | ||
| Profit Quality | 124.63% | ||
| Current Ratio | 1.03 | ||
| Quick Ratio | 0.86 | ||
| Altman-Z | 1.83 |
F-Score7
WACC9.29%
ROIC/WACC1.09
Cap/Depr(3y)81.38%
Cap/Depr(5y)89.68%
Cap/Sales(3y)18.35%
Cap/Sales(5y)22.65%
Profit Quality(3y)320.92%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)72.09%
EPS 3Y25.11%
EPS 5YN/A
EPS Q2Q%760.89%
EPS Next Y69.79%
EPS Next 2Y39.08%
EPS Next 3Y33.3%
EPS Next 5Y24.55%
Revenue 1Y (TTM)8.3%
Revenue growth 3Y10.4%
Revenue growth 5Y10.31%
Sales Q2Q%26.06%
Revenue Next Year12.5%
Revenue Next 2Y5.09%
Revenue Next 3Y6.51%
Revenue Next 5Y7.62%
EBIT growth 1Y39.99%
EBIT growth 3Y23.63%
EBIT growth 5Y66.43%
EBIT Next Year126.4%
EBIT Next 3Y37.44%
EBIT Next 5Y27.84%
FCF growth 1Y624.49%
FCF growth 3Y267.69%
FCF growth 5Y43.75%
OCF growth 1Y117.84%
OCF growth 3Y20.18%
OCF growth 5Y16.47%