LUNDIN GOLD INC (LUG.CA) Stock Fundamental Analysis
Canada - TSX:LUG - CA5503711080 - Common Stock
91.5 CAD
+1.33 (+1.47%)
We assign a fundamental rating of 7 out of 10 to LUG. LUG was compared to 822 industry peers in the Metals & Mining industry. LUG scores excellent points on both the profitability and health parts. This is a solid base for a good stock. 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.
Of the past 5 years LUG 4 years were profitable.
LUG had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
LUG has a Return On Assets of 37.99%. This is amongst the best in the industry. LUG outperforms 98.42% of its industry peers.
LUG has a better Return On Equity (47.16%) than 98.42% of its industry peers.
Looking at the Return On Invested Capital, with a value of 41.17%, LUG belongs to the top of the industry, outperforming 99.88% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for LUG is significantly above the industry average of 11.59%.
The last Return On Invested Capital (41.17%) for LUG is above the 3 year average (22.93%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 37.99% | ||
| ROE | 47.16% | ||
| ROIC | 41.17% |
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 41.73%, LUG belongs to the top of the industry, outperforming 97.93% of the companies in the same industry.
LUG's Profit Margin has improved in the last couple of years.
With an excellent Operating Margin value of 59.06%, LUG belongs to the best of the industry, outperforming 99.27% of the companies in the same industry.
In the last couple of years the Operating Margin of LUG has grown nicely.
With an excellent Gross Margin value of 65.54%, LUG belongs to the best of the industry, outperforming 97.81% of the companies in the same industry.
In the last couple of years the Gross Margin of LUG has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 59.06% | ||
| PM (TTM) | 41.73% | ||
| GM | 65.54% |
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.
LUG has more shares outstanding than it did 1 year ago.
The number of shares outstanding for LUG has been increased compared to 5 years ago.
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.
2.2 Solvency
LUG has an Altman-Z score of 33.14. This indicates that LUG is financially healthy and has little risk of bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 33.14, LUG belongs to the top of the industry, outperforming 81.27% of the companies in the same industry.
LUG has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 33.14 |
ROIC/WACC4.41
WACC9.34%
2.3 Liquidity
A Current Ratio of 3.32 indicates that LUG has no problem at all paying its short term obligations.
LUG has a better Current ratio (3.32) than 66.79% of its industry peers.
LUG has a Quick Ratio of 2.95. This indicates that LUG is financially healthy and has no problem in meeting its short term obligations.
LUG has a Quick ratio of 2.95. This is in the better half of the industry: LUG outperforms 65.09% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.32 | ||
| Quick Ratio | 2.95 |
3. Growth
3.1 Past
LUG shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 160.20%, which is quite impressive.
LUG shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 18.19% yearly.
The Revenue has grown by 58.50% in the past year. This is a very strong growth!
Measured over the past years, LUG shows a quite strong growth in Revenue. The Revenue has been growing by 17.61% on average per year.
EPS 1Y (TTM)160.2%
EPS 3Y18.19%
EPS 5YN/A
EPS Q2Q%97.56%
Revenue 1Y (TTM)58.5%
Revenue growth 3Y17.61%
Revenue growth 5YN/A
Sales Q2Q%50.24%
3.2 Future
LUG is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 0.55% yearly.
LUG is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.41% yearly.
EPS Next Y63.64%
EPS Next 2Y31.3%
EPS Next 3Y16.51%
EPS Next 5Y0.55%
Revenue Next Year37.14%
Revenue Next 2Y19.76%
Revenue Next 3Y10.81%
Revenue Next 5Y4.41%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less 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
The Price/Earnings ratio is 25.77, which means the current valuation is very expensive for LUG.
LUG's Price/Earnings ratio is rather cheap when compared to the industry. LUG is cheaper than 91.00% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 27.79, LUG is valued at the same level.
A Price/Forward Earnings ratio of 21.79 indicates a rather expensive valuation of LUG.
LUG's Price/Forward Earnings ratio is rather cheap when compared to the industry. LUG is cheaper than 89.29% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 23.21. LUG is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 25.77 | ||
| Fwd PE | 21.79 |
4.2 Price Multiples
LUG's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. LUG is cheaper than 92.21% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, LUG is valued cheaply inside the industry as 95.50% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 20.66 | ||
| EV/EBITDA | 14.94 |
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 16.50% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.4
PEG (5Y)N/A
EPS Next 2Y31.3%
EPS Next 3Y16.51%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.80%, LUG has a reasonable but not impressive dividend return.
LUG's Dividend Yield is rather good when compared to the industry average which is at 15.47. LUG pays more dividend than 97.69% of the companies in the same industry.
Compared to the average S&P500 Dividend Yield of 2.41, LUG is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.8% |
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
LUG pays out 61.14% of its income as dividend. This is not a sustainable payout ratio.
DP61.14%
EPS Next 2Y31.3%
EPS Next 3Y16.51%
TSX:LUG (10/1/2025, 7:00:00 PM)
91.5
+1.33 (+1.47%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryMetals & Mining
Earnings (Last)
Earnings (Next)
Inst Owners25.87%
Inst Owner ChangeN/A
Ins Owners0.82%
Ins Owner ChangeN/A
Market Cap22.08B
Analysts52.63
Price Target69.02 (-24.57%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.8% |
Yearly Dividend0.84
Dividend Growth(5Y)N/A
DP61.14%
Div Incr Years3
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)13.17%
Min EPS beat(2)9.06%
Max EPS beat(2)17.27%
EPS beat(4)4
Avg EPS beat(4)12.02%
Min EPS beat(4)7.12%
Max EPS beat(4)17.27%
EPS beat(8)5
Avg EPS beat(8)5.18%
EPS beat(12)5
Avg EPS beat(12)-3.38%
EPS beat(16)8
Avg EPS beat(16)1.58%
Revenue beat(2)2
Avg Revenue beat(2)9.82%
Min Revenue beat(2)3.87%
Max Revenue beat(2)15.76%
Revenue beat(4)4
Avg Revenue beat(4)6.92%
Min Revenue beat(4)1.66%
Max Revenue beat(4)15.76%
Revenue beat(8)6
Avg Revenue beat(8)4.62%
Revenue beat(12)8
Avg Revenue beat(12)5.37%
Revenue beat(16)10
Avg Revenue beat(16)4.6%
PT rev (1m)1.37%
PT rev (3m)20.54%
EPS NQ rev (1m)0%
EPS NQ rev (3m)40.28%
EPS NY rev (1m)0%
EPS NY rev (3m)30.32%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)17.14%
Revenue NY rev (1m)0%
Revenue NY rev (3m)15.86%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 25.77 | ||
| Fwd PE | 21.79 | ||
| P/S | 10.76 | ||
| P/FCF | 20.66 | ||
| P/OCF | 18.37 | ||
| P/B | 12.16 | ||
| P/tB | 12.16 | ||
| EV/EBITDA | 14.94 |
EPS(TTM)3.55
EY3.88%
EPS(NY)4.2
Fwd EY4.59%
FCF(TTM)4.43
FCFY4.84%
OCF(TTM)4.98
OCFY5.44%
SpS8.51
BVpS7.52
TBVpS7.52
PEG (NY)0.4
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 37.99% | ||
| ROE | 47.16% | ||
| ROCE | 63.26% | ||
| ROIC | 41.17% | ||
| ROICexc | 64.17% | ||
| ROICexgc | 64.17% | ||
| OM | 59.06% | ||
| PM (TTM) | 41.73% | ||
| GM | 65.54% | ||
| FCFM | 52.07% |
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%
ROICexcg growth 3Y30%
ROICexcg 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-Score8
Asset Turnover0.91
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 72.16% | ||
| Cap/Sales | 6.49% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 86.06% | ||
| Profit Quality | 124.8% | ||
| Current Ratio | 3.32 | ||
| Quick Ratio | 2.95 | ||
| Altman-Z | 33.14 |
F-Score8
WACC9.34%
ROIC/WACC4.41
Cap/Depr(3y)45.6%
Cap/Depr(5y)59.18%
Cap/Sales(3y)6.29%
Cap/Sales(5y)8.61%
Profit Quality(3y)302.21%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)160.2%
EPS 3Y18.19%
EPS 5YN/A
EPS Q2Q%97.56%
EPS Next Y63.64%
EPS Next 2Y31.3%
EPS Next 3Y16.51%
EPS Next 5Y0.55%
Revenue 1Y (TTM)58.5%
Revenue growth 3Y17.61%
Revenue growth 5YN/A
Sales Q2Q%50.24%
Revenue Next Year37.14%
Revenue Next 2Y19.76%
Revenue Next 3Y10.81%
Revenue Next 5Y4.41%
EBIT growth 1Y112.89%
EBIT growth 3Y23.92%
EBIT growth 5YN/A
EBIT Next Year62.1%
EBIT Next 3Y17.37%
EBIT Next 5Y1.45%
FCF growth 1Y55.07%
FCF growth 3Y17.41%
FCF growth 5YN/A
OCF growth 1Y58.44%
OCF growth 3Y16.84%
OCF growth 5YN/A