LUNDIN GOLD INC (LUG.CA) Stock Fundamental Analysis
Canada - Toronto Stock Exchange - TSX:LUG - CA5503711080 - Common Stock
113.2 CAD
+2.2 (+1.98%)
Taking everything into account, LUG scores 7 out of 10 in our fundamental rating. LUG was compared to 801 industry peers in the Metals & Mining industry. LUG has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. LUG scores decently on growth, while it is valued quite cheap. This could make an interesting combination. These ratings could make LUG a good candidate for value and quality investing.
1. Profitability
1.1 Basic Checks
In the past year LUG was profitable.
LUG had a positive operating cash flow in the past year.
LUG had positive earnings in 4 of the past 5 years.
Each year in the past 5 years LUG had a positive operating cash flow.
1.2 Ratios
LUG has a Return On Assets of 41.91%. This is amongst the best in the industry. LUG outperforms 97.88% of its industry peers.
LUG has a better Return On Equity (51.96%) than 98.25% of its industry peers.
The Return On Invested Capital of LUG (45.27%) is better than 99.75% of its industry peers.
LUG had an Average Return On Invested Capital over the past 3 years of 22.93%. This is significantly above the industry average of 12.94%.
The last Return On Invested Capital (45.27%) for LUG is above the 3 year average (22.93%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 41.91% | ||
| ROE | 51.96% | ||
| ROIC | 45.27% |
ROA(3y)14.84%
ROA(5y)10.91%
ROE(3y)20.81%
ROE(5y)16.32%
ROIC(3y)22.93%
ROIC(5y)18.45%
1.3 Margins
Looking at the Profit Margin, with a value of 42.98%, LUG belongs to the top of the industry, outperforming 97.88% of the companies in the same industry.
LUG's Profit Margin has improved in the last couple of years.
LUG has a better Operating Margin (60.07%) than 99.13% of its industry peers.
In the last couple of years the Operating Margin of LUG has grown nicely.
LUG has a better Gross Margin (66.84%) than 97.50% of its industry peers.
LUG's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 60.07% | ||
| PM (TTM) | 42.98% | ||
| GM | 66.84% |
OM growth 3Y5.36%
OM growth 5YN/A
PM growth 3Y5.75%
PM growth 5YN/A
GM growth 3Y6.72%
GM growth 5YN/A
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), LUG is creating value.
Compared to 1 year ago, LUG has more shares outstanding
The number of shares outstanding for LUG has been increased compared to 5 years ago.
LUG has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
An Altman-Z score of 40.59 indicates that LUG is not in any danger for bankruptcy at the moment.
With an excellent Altman-Z score value of 40.59, LUG belongs to the best of the industry, outperforming 80.27% of the companies in the same industry.
There is no outstanding debt for LUG. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 40.59 |
ROIC/WACC4.65
WACC9.73%
2.3 Liquidity
LUG has a Current Ratio of 3.23. This indicates that LUG is financially healthy and has no problem in meeting its short term obligations.
With a decent Current ratio value of 3.23, LUG is doing good in the industry, outperforming 61.67% of the companies in the same industry.
LUG has a Quick Ratio of 2.88. This indicates that LUG is financially healthy and has no problem in meeting its short term obligations.
LUG has a Quick ratio of 2.88. This is in the better half of the industry: LUG outperforms 60.42% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.23 | ||
| Quick Ratio | 2.88 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 111.11% over the past year.
LUG shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 18.19% yearly.
LUG shows a strong growth in Revenue. In the last year, the Revenue has grown by 53.38%.
LUG shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 17.61% yearly.
EPS 1Y (TTM)111.11%
EPS 3Y18.19%
EPS 5YN/A
EPS Q2Q%53.57%
Revenue 1Y (TTM)53.38%
Revenue growth 3Y17.61%
Revenue growth 5YN/A
Sales Q2Q%38.39%
3.2 Future
LUG is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 3.31% yearly.
The Revenue is expected to grow by 4.41% on average over the next years.
EPS Next Y82.12%
EPS Next 2Y46.78%
EPS Next 3Y25.95%
EPS Next 5Y3.31%
Revenue Next Year45.41%
Revenue Next 2Y29.71%
Revenue Next 3Y18.25%
Revenue Next 5Y4.41%
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
With a Price/Earnings ratio of 28.88, LUG can be considered very expensive at the moment.
Based on the Price/Earnings ratio, LUG is valued cheaper than 89.39% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 26.43. LUG is around the same levels.
LUG is valuated rather expensively with a Price/Forward Earnings ratio of 21.82.
Compared to the rest of the industry, the Price/Forward Earnings ratio of LUG indicates a rather cheap valuation: LUG is cheaper than 89.01% of the companies listed in the same industry.
LUG is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 23.66, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 28.88 | ||
| Fwd PE | 21.82 |
4.2 Price Multiples
91.14% of the companies in the same industry are more expensive than LUG, based on the Enterprise Value to EBITDA ratio.
LUG's Price/Free Cash Flow ratio is rather cheap when compared to the industry. LUG is cheaper than 94.63% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 25.52 | ||
| EV/EBITDA | 17.43 |
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.
The excellent profitability rating of LUG may justify a higher PE ratio.
LUG's earnings are expected to grow with 25.95% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.35
PEG (5Y)N/A
EPS Next 2Y46.78%
EPS Next 3Y25.95%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.50%, LUG has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 0.69, LUG pays a better dividend. On top of this LUG pays more dividend than 97.75% of the companies listed in the same industry.
LUG's Dividend Yield is comparable with the S&P500 average which is at 1.87.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.5% |
5.2 History
LUG has been paying a dividend for less than 5 years, so it still needs to build a track record.
LUG has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)N/A
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
75.50% of the earnings are spent on dividend by LUG. This is not a sustainable payout ratio.
DP75.5%
EPS Next 2Y46.78%
EPS Next 3Y25.95%
TSX:LUG (12/16/2025, 7:00:00 PM)
113.2
+2.2 (+1.98%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryMetals & Mining
Earnings (Last)
Earnings (Next)
Inst Owners27.22%
Inst Owner ChangeN/A
Ins Owners0.79%
Ins Owner ChangeN/A
Market Cap27.33B
Revenue(TTM)1.60B
Net Income(TTM)686.95M
Analysts52.63
Price Target96.53 (-14.73%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.5% |
Yearly Dividend0.83
Dividend Growth(5Y)N/A
DP75.5%
Div Incr Years3
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)18.89%
Min EPS beat(2)17.27%
Max EPS beat(2)20.52%
EPS beat(4)4
Avg EPS beat(4)13.49%
Min EPS beat(4)7.12%
Max EPS beat(4)20.52%
EPS beat(8)6
Avg EPS beat(8)8.29%
EPS beat(12)6
Avg EPS beat(12)3.62%
EPS beat(16)8
Avg EPS beat(16)0.63%
Revenue beat(2)2
Avg Revenue beat(2)11.48%
Min Revenue beat(2)7.19%
Max Revenue beat(2)15.76%
Revenue beat(4)4
Avg Revenue beat(4)7.12%
Min Revenue beat(4)1.66%
Max Revenue beat(4)15.76%
Revenue beat(8)7
Avg Revenue beat(8)5.82%
Revenue beat(12)9
Avg Revenue beat(12)6%
Revenue beat(16)10
Avg Revenue beat(16)4.31%
PT rev (1m)10.74%
PT rev (3m)39.86%
EPS NQ rev (1m)6.45%
EPS NQ rev (3m)19.5%
EPS NY rev (1m)5.14%
EPS NY rev (3m)11.29%
Revenue NQ rev (1m)4.08%
Revenue NQ rev (3m)7.21%
Revenue NY rev (1m)2.99%
Revenue NY rev (3m)6.03%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 28.88 | ||
| Fwd PE | 21.82 | ||
| P/S | 12.43 | ||
| P/FCF | 25.52 | ||
| P/OCF | 23.08 | ||
| P/B | 15.02 | ||
| P/tB | 15.02 | ||
| EV/EBITDA | 17.43 |
EPS(TTM)3.92
EY3.46%
EPS(NY)5.19
Fwd EY4.58%
FCF(TTM)4.44
FCFY3.92%
OCF(TTM)4.9
OCFY4.33%
SpS9.11
BVpS7.53
TBVpS7.53
PEG (NY)0.35
PEG (5Y)N/A
Graham Number25.78
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 41.91% | ||
| ROE | 51.96% | ||
| ROCE | 69.57% | ||
| ROIC | 45.27% | ||
| ROICexc | 70.54% | ||
| ROICexgc | 70.54% | ||
| OM | 60.07% | ||
| PM (TTM) | 42.98% | ||
| GM | 66.84% | ||
| FCFM | 48.7% |
ROA(3y)14.84%
ROA(5y)10.91%
ROE(3y)20.81%
ROE(5y)16.32%
ROIC(3y)22.93%
ROIC(5y)18.45%
ROICexc(3y)30.94%
ROICexc(5y)24.1%
ROICexgc(3y)30.94%
ROICexgc(5y)24.1%
ROCE(3y)35.24%
ROCE(5y)28.35%
ROICexgc growth 3Y30%
ROICexgc growth 5YN/A
ROICexc growth 3Y30%
ROICexc growth 5YN/A
OM growth 3Y5.36%
OM growth 5YN/A
PM growth 3Y5.75%
PM growth 5YN/A
GM growth 3Y6.72%
GM growth 5YN/A
F-Score7
Asset Turnover0.98
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 61.78% | ||
| Cap/Sales | 5.16% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 78.71% | ||
| Profit Quality | 113.29% | ||
| Current Ratio | 3.23 | ||
| Quick Ratio | 2.88 | ||
| Altman-Z | 40.59 |
F-Score7
WACC9.73%
ROIC/WACC4.65
Cap/Depr(3y)45.6%
Cap/Depr(5y)59.18%
Cap/Sales(3y)6.29%
Cap/Sales(5y)8.61%
Profit Quality(3y)301.9%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)111.11%
EPS 3Y18.19%
EPS 5YN/A
EPS Q2Q%53.57%
EPS Next Y82.12%
EPS Next 2Y46.78%
EPS Next 3Y25.95%
EPS Next 5Y3.31%
Revenue 1Y (TTM)53.38%
Revenue growth 3Y17.61%
Revenue growth 5YN/A
Sales Q2Q%38.39%
Revenue Next Year45.41%
Revenue Next 2Y29.71%
Revenue Next 3Y18.25%
Revenue Next 5Y4.41%
EBIT growth 1Y89%
EBIT growth 3Y23.92%
EBIT growth 5YN/A
EBIT Next Year63.22%
EBIT Next 3Y28.04%
EBIT Next 5Y5.08%
FCF growth 1Y52.54%
FCF growth 3Y17.15%
FCF growth 5YN/A
OCF growth 1Y53.62%
OCF growth 3Y16.61%
OCF growth 5YN/A
LUNDIN GOLD INC / LUG.CA FAQ
What is the ChartMill fundamental rating of LUNDIN GOLD INC (LUG.CA) stock?
ChartMill assigns a fundamental rating of 7 / 10 to LUG.CA.
What is the valuation status of LUNDIN GOLD INC (LUG.CA) stock?
ChartMill assigns a valuation rating of 7 / 10 to LUNDIN GOLD INC (LUG.CA). This can be considered as Undervalued.
How profitable is LUNDIN GOLD INC (LUG.CA) stock?
LUNDIN GOLD INC (LUG.CA) has a profitability rating of 9 / 10.
How financially healthy is LUNDIN GOLD INC?
The financial health rating of LUNDIN GOLD INC (LUG.CA) is 9 / 10.
How sustainable is the dividend of LUNDIN GOLD INC (LUG.CA) stock?
The dividend rating of LUNDIN GOLD INC (LUG.CA) is 3 / 10 and the dividend payout ratio is 75.5%.