IVANHOE MINES LTD-CL A (IVN.CA) Stock Fundamental Analysis
Canada - Toronto Stock Exchange - TSX:IVN - CA46579R1047 - Common Stock
16.96 CAD
+0.77 (+4.76%)
Overall IVN gets a fundamental rating of 6 out of 10. We evaluated IVN against 820 industry peers in the Metals & Mining industry. Both the profitability and the financial health of IVN get a neutral evaluation. Nothing too spectacular is happening here. IVN is showing excellent growth while it is valued at reasonable prices. Keep and eye on this one! This makes IVN very considerable for growth investing!
1. Profitability
1.1 Basic Checks
- IVN had positive earnings in the past year.
- In the past year IVN has reported a negative cash flow from operations.
- Of the past 5 years IVN 4 years were profitable.
- In the past 5 years IVN reported 4 times negative operating cash flow.
1.2 Ratios
- Looking at the Return On Assets, with a value of 4.14%, IVN belongs to the top of the industry, outperforming 88.98% of the companies in the same industry.
- IVN's Return On Equity of 5.28% is amongst the best of the industry. IVN outperforms 88.86% of its industry peers.
- IVN's Return On Invested Capital of 0.94% is amongst the best of the industry. IVN outperforms 88.74% of its industry peers.
- Measured over the past 3 years, the Average Return On Invested Capital for IVN is significantly below the industry average of 12.04%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.14% | ||
| ROE | 5.28% | ||
| ROIC | 0.94% |
ROA(3y)6.9%
ROA(5y)4.32%
ROE(3y)9.07%
ROE(5y)5.72%
ROIC(3y)2.79%
ROIC(5y)N/A
1.3 Margins
- IVN's Profit Margin of 55.42% is amongst the best of the industry. IVN outperforms 98.65% of its industry peers.
- In the last couple of years the Profit Margin of IVN has grown nicely.
- With an excellent Operating Margin value of 16.69%, IVN belongs to the best of the industry, outperforming 91.43% of the companies in the same industry.
- IVN's Gross Margin of 35.63% is amongst the best of the industry. IVN outperforms 92.29% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 16.69% | ||
| PM (TTM) | 55.42% | ||
| GM | 35.63% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y9.49%
PM growth 5YN/A
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so IVN is destroying value.
- Compared to 1 year ago, IVN has more shares outstanding
- Compared to 5 years ago, IVN has more shares outstanding
- The debt/assets ratio for IVN has been reduced compared to a year ago.
2.2 Solvency
- IVN has an Altman-Z score of 7.10. This indicates that IVN is financially healthy and has little risk of bankruptcy at the moment.
- IVN has a Altman-Z score (7.10) which is comparable to the rest of the industry.
- IVN has a Debt/Equity ratio of 0.17. This is a healthy value indicating a solid balance between debt and equity.
- The Debt to Equity ratio of IVN (0.17) is worse than 65.61% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.17 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 7.1 |
ROIC/WACC0.1
WACC9.54%
2.3 Liquidity
- IVN has a Current Ratio of 4.23. This indicates that IVN is financially healthy and has no problem in meeting its short term obligations.
- IVN has a Current ratio of 4.23. This is in the better half of the industry: IVN outperforms 69.77% of its industry peers.
- A Quick Ratio of 4.03 indicates that IVN has no problem at all paying its short term obligations.
- IVN has a Quick ratio of 4.03. This is in the better half of the industry: IVN outperforms 69.28% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.23 | ||
| Quick Ratio | 4.03 |
3. Growth
3.1 Past
- The earnings per share for IVN have decreased strongly by -18.52% in the last year.
- The Earnings Per Share has been growing by 70.72% on average over the past years. This is a very strong growth
- Looking at the last year, IVN shows a very strong growth in Revenue. The Revenue has grown by 106.52%.
- IVN shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 46.54% yearly.
EPS 1Y (TTM)-18.52%
EPS 3Y49.16%
EPS 5Y70.72%
EPS Q2Q%-77.78%
Revenue 1Y (TTM)106.52%
Revenue growth 3Y46.54%
Revenue growth 5YN/A
Sales Q2Q%68.5%
3.2 Future
- The Earnings Per Share is expected to grow by 23.05% on average over the next years. This is a very strong growth
- Based on estimates for the next years, IVN will show a very strong growth in Revenue. The Revenue will grow by 84.87% on average per year.
EPS Next Y-37.95%
EPS Next 2Y15.07%
EPS Next 3Y22.54%
EPS Next 5Y23.05%
Revenue Next Year591.08%
Revenue Next 2Y234.12%
Revenue Next 3Y141.1%
Revenue Next 5Y84.87%
3.3 Evolution
- The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
- The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- Based on the Price/Earnings ratio of 56.53, the valuation of IVN can be described as expensive.
- Based on the Price/Earnings ratio, IVN is valued cheaper than 87.39% of the companies in the same industry.
- Compared to an average S&P500 Price/Earnings ratio of 27.21, IVN is valued quite expensively.
- With a Price/Forward Earnings ratio of 32.09, IVN can be considered very expensive at the moment.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of IVN indicates a rather cheap valuation: IVN is cheaper than 88.25% of the companies listed in the same industry.
- The average S&P500 Price/Forward Earnings ratio is at 25.98. IVN is valued slightly more expensive when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 56.53 | ||
| Fwd PE | 32.09 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, IVN is valued cheaper than 88.25% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 111.55 |
4.3 Compensation for Growth
- The decent profitability rating of IVN may justify a higher PE ratio.
- IVN's earnings are expected to grow with 22.54% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)0.8
EPS Next 2Y15.07%
EPS Next 3Y22.54%
5. Dividend
5.1 Amount
- No dividends for IVN!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
IVANHOE MINES LTD-CL A / IVN.CA FAQ
What is the ChartMill fundamental rating of IVANHOE MINES LTD-CL A (IVN.CA) stock?
ChartMill assigns a fundamental rating of 6 / 10 to IVN.CA.
What is the valuation status for IVN stock?
ChartMill assigns a valuation rating of 3 / 10 to IVANHOE MINES LTD-CL A (IVN.CA). This can be considered as Overvalued.
How profitable is IVANHOE MINES LTD-CL A (IVN.CA) stock?
IVANHOE MINES LTD-CL A (IVN.CA) has a profitability rating of 6 / 10.
What is the valuation of IVANHOE MINES LTD-CL A based on its PE and PB ratios?
The Price/Earnings (PE) ratio for IVANHOE MINES LTD-CL A (IVN.CA) is 56.53 and the Price/Book (PB) ratio is 3.02.