HUDBAY MINERALS INC (HBM) Stock Fundamental Analysis
USA - NYSE:HBM - CA4436281022 - Common Stock
15.64 USD
+0.79 (+5.32%)
15.62 USD
-0.02 (-0.13%)
Taking everything into account, HBM scores 6 out of 10 in our fundamental rating. HBM was compared to 154 industry peers in the Metals & Mining industry. HBM has an excellent profitability rating, but there are some minor concerns on its financial health. HBM scores decently on growth, while it is valued quite cheap. This could make an interesting combination.
1. Profitability
1.1 Basic Checks
HBM had positive earnings in the past year.
In the past year HBM had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: HBM reported negative net income in multiple years.
In the past 5 years HBM always reported a positive cash flow from operatings.
1.2 Ratios
HBM has a better Return On Assets (5.13%) than 74.68% of its industry peers.
HBM has a better Return On Equity (10.09%) than 75.32% of its industry peers.
HBM has a better Return On Invested Capital (10.15%) than 83.77% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for HBM is significantly below the industry average of 12.58%.
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 78.57% of the companies in the same industry.
Looking at the Operating Margin, with a value of 26.94%, HBM is in the better half of the industry, outperforming 79.22% of the companies in the same industry.
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 72.73% of the companies in the same industry.
In the last couple of years the Gross Margin of HBM has grown nicely.
| 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
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so HBM is still creating some value.
The number of shares outstanding for HBM has been increased compared to 1 year ago.
Compared to 5 years ago, HBM has more shares outstanding
Compared to 1 year ago, HBM has an improved debt to assets ratio.
2.2 Solvency
HBM has an Altman-Z score of 2.08. 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.
The Altman-Z score of HBM (2.08) is worse than 62.99% of its industry peers.
The Debt to FCF ratio of HBM is 3.38, which is a good value as it means it would take HBM, 3.38 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 3.38, HBM is in the better half of the industry, outperforming 74.68% of the companies in the same industry.
HBM has a Debt/Equity ratio of 0.22. This is a healthy value indicating a solid balance between debt and equity.
HBM has a Debt to Equity ratio (0.22) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.22 | ||
| Debt/FCF | 3.38 | ||
| Altman-Z | 2.08 |
ROIC/WACC1.23
WACC8.26%
2.3 Liquidity
A Current Ratio of 1.03 indicates that HBM should not have too much problems paying its short term obligations.
HBM has a worse Current ratio (1.03) than 82.47% of its industry peers.
HBM has a Quick Ratio of 1.03. This is a bad value and indicates that HBM is not financially healthy enough and could expect problems in meeting its short term obligations.
HBM's Quick ratio of 0.86 is on the low side compared to the rest of the industry. HBM is outperformed by 77.92% 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.
HBM shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 25.11% yearly.
The Revenue has grown by 8.30% in the past year. This is quite good.
Measured over the past years, HBM shows a quite strong growth in Revenue. The Revenue has been growing by 10.31% on average per year.
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
HBM is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 24.55% yearly.
The Revenue is expected to grow by 7.62% on average over the next years.
EPS Next Y77.92%
EPS Next 2Y42.25%
EPS Next 3Y35.82%
EPS Next 5Y24.55%
Revenue Next Year12.94%
Revenue Next 2Y6.02%
Revenue Next 3Y7.01%
Revenue Next 5Y7.62%
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
Based on the Price/Earnings ratio of 21.14, the valuation of HBM can be described as rather expensive.
Based on the Price/Earnings ratio, HBM is valued a bit cheaper than the industry average as 76.62% of the companies are valued more expensively.
Compared to an average S&P500 Price/Earnings ratio of 26.13, HBM is valued at the same level.
HBM is valuated correctly with a Price/Forward Earnings ratio of 16.45.
HBM's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. HBM is cheaper than 60.39% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of HBM to the average of the S&P500 Index (22.35), we can say HBM is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.14 | ||
| Fwd PE | 16.45 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of HBM indicates a rather cheap valuation: HBM is cheaper than 88.96% of the companies listed in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of HBM indicates a rather cheap valuation: HBM is cheaper than 88.96% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 17.18 | ||
| EV/EBITDA | 6.35 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
HBM has a very decent profitability rating, which may justify a higher PE ratio.
HBM's earnings are expected to grow with 35.82% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.27
PEG (5Y)N/A
EPS Next 2Y42.25%
EPS Next 3Y35.82%
5. Dividend
5.1 Amount
With a yearly dividend of 0.09%, HBM is not a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 2.63, HBM has a dividend in line with its industry peers.
Compared to an average S&P500 Dividend Yield of 2.39, HBM's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.09% |
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 2Y42.25%
EPS Next 3Y35.82%
15.64
+0.79 (+5.32%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryMetals & Mining
Earnings (Last)
Earnings (Next)
Inst Owners80.14%
Inst Owner Change-1.7%
Ins Owners0.18%
Ins Owner ChangeN/A
Market Cap6.19B
Revenue(TTM)2.20B
Net Income(TTM)289.02M
Analysts83.81
Price Target16.47 (5.31%)
Short Float %1.36%
Short Ratio0.76
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.09% |
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)23.09%
PT rev (3m)39.52%
EPS NQ rev (1m)-13.61%
EPS NQ rev (3m)-9.81%
EPS NY rev (1m)0%
EPS NY rev (3m)52.33%
Revenue NQ rev (1m)-9.76%
Revenue NQ rev (3m)-12.95%
Revenue NY rev (1m)0%
Revenue NY rev (3m)1.77%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.14 | ||
| Fwd PE | 16.45 | ||
| P/S | 2.81 | ||
| P/FCF | 17.18 | ||
| P/OCF | 8.01 | ||
| P/B | 2.16 | ||
| P/tB | 2.22 | ||
| EV/EBITDA | 6.35 |
EPS(TTM)0.74
EY4.73%
EPS(NY)0.95
Fwd EY6.08%
FCF(TTM)0.91
FCFY5.82%
OCF(TTM)1.95
OCFY12.49%
SpS5.57
BVpS7.24
TBVpS7.03
PEG (NY)0.27
PEG (5Y)N/A
Graham Number10.98
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
ROICexgc growth 3Y18.86%
ROICexgc 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 | 2.08 |
F-Score7
WACC8.26%
ROIC/WACC1.23
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 Y77.92%
EPS Next 2Y42.25%
EPS Next 3Y35.82%
EPS Next 5Y24.55%
Revenue 1Y (TTM)8.3%
Revenue growth 3Y10.4%
Revenue growth 5Y10.31%
Sales Q2Q%26.06%
Revenue Next Year12.94%
Revenue Next 2Y6.02%
Revenue Next 3Y7.01%
Revenue Next 5Y7.62%
EBIT growth 1Y39.99%
EBIT growth 3Y23.63%
EBIT growth 5Y66.43%
EBIT Next Year145.38%
EBIT Next 3Y40.82%
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%
HUDBAY MINERALS INC / HBM FAQ
What is the fundamental rating for HBM stock?
ChartMill assigns a fundamental rating of 6 / 10 to HBM.
What is the valuation status of HUDBAY MINERALS INC (HBM) stock?
ChartMill assigns a valuation rating of 7 / 10 to HUDBAY MINERALS INC (HBM). This can be considered as Undervalued.
What is the profitability of HBM stock?
HUDBAY MINERALS INC (HBM) has a profitability rating of 7 / 10.
What is the financial health of HUDBAY MINERALS INC (HBM) stock?
The financial health rating of HUDBAY MINERALS INC (HBM) is 4 / 10.
Can you provide the expected EPS growth for HBM stock?
The Earnings per Share (EPS) of HUDBAY MINERALS INC (HBM) is expected to grow by 77.92% in the next year.