LUNDIN MINING CORP (LUN.CA) Stock Fundamental Analysis
TSX:LUN - Toronto Stock Exchange - CA5503721063 - Common Stock - Currency: CAD
Overall LUN gets a fundamental rating of 5 out of 10. We evaluated LUN against 797 industry peers in the Metals & Mining industry. LUN scores excellent on profitability, but there are some minor concerns on its financial health. LUN is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
LUN had positive earnings in the past year.
LUN had a positive operating cash flow in the past year.
LUN had positive earnings in 4 of the past 5 years.
Each year in the past 5 years LUN had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of -0.82%, LUN belongs to the top of the industry, outperforming 82.94% of the companies in the same industry.
LUN has a Return On Equity of -1.76%. This is amongst the best in the industry. LUN outperforms 81.68% of its industry peers.
LUN has a Return On Invested Capital of 4.55%. This is amongst the best in the industry. LUN outperforms 91.09% of its industry peers.
The Average Return On Invested Capital over the past 3 years for LUN is significantly below the industry average of 12.25%.
The last Return On Invested Capital (4.55%) for LUN is above the 3 year average (3.70%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.82% | ||
| ROE | -1.76% | ||
| ROIC | 4.55% |
ROA(3y)1.83%
ROA(5y)3.62%
ROE(3y)3.02%
ROE(5y)6.17%
ROIC(3y)3.7%
ROIC(5y)4.6%
1.3 Margins
Looking at the Operating Margin, with a value of 26.64%, LUN belongs to the top of the industry, outperforming 93.73% of the companies in the same industry.
In the last couple of years the Operating Margin of LUN has grown nicely.
LUN's Gross Margin of 30.14% is amongst the best of the industry. LUN outperforms 91.09% of its industry peers.
LUN's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 26.64% | ||
| PM (TTM) | N/A | ||
| GM | 30.14% |
OM growth 3Y-14.85%
OM growth 5Y8.15%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-13.35%
GM growth 5Y2.84%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so LUN is destroying value.
LUN has about the same amout of shares outstanding than it did 1 year ago.
Compared to 5 years ago, LUN has more shares outstanding
LUN has a worse debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 1.60, we must say that LUN is in the distress zone and has some risk of bankruptcy.
LUN has a Altman-Z score (1.60) which is in line with its industry peers.
LUN has a debt to FCF ratio of 2.93. This is a good value and a sign of high solvency as LUN would need 2.93 years to pay back of all of its debts.
LUN has a Debt to FCF ratio of 2.93. This is amongst the best in the industry. LUN outperforms 92.22% of its industry peers.
LUN has a Debt/Equity ratio of 0.33. This is a healthy value indicating a solid balance between debt and equity.
Looking at the Debt to Equity ratio, with a value of 0.33, LUN is doing worse than 70.26% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.33 | ||
| Debt/FCF | 2.93 | ||
| Altman-Z | 1.6 |
ROIC/WACC0.55
WACC8.33%
2.3 Liquidity
LUN has a Current Ratio of 1.88. This is a normal value and indicates that LUN is financially healthy and should not expect problems in meeting its short term obligations.
LUN has a Current ratio of 1.88. This is comparable to the rest of the industry: LUN outperforms 55.21% of its industry peers.
LUN has a Quick Ratio of 1.53. This is a normal value and indicates that LUN is financially healthy and should not expect problems in meeting its short term obligations.
The Quick ratio of LUN (1.53) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.88 | ||
| Quick Ratio | 1.53 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 95.17% over the past year.
LUN shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 11.05% yearly.
The Revenue has decreased by -3.58% in the past year.
LUN shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 12.58% yearly.
EPS 1Y (TTM)95.17%
EPS 3Y-25.88%
EPS 5Y11.05%
EPS Q2Q%183.33%
Revenue 1Y (TTM)-3.58%
Revenue growth 3Y0.93%
Revenue growth 5Y12.58%
Sales Q2Q%2.87%
3.2 Future
The Earnings Per Share is expected to grow by 3.65% on average over the next years.
The Revenue is expected to decrease by -1.80% on average over the next years.
EPS Next Y3.66%
EPS Next 2Y11.73%
EPS Next 3Y7.07%
EPS Next 5Y3.65%
Revenue Next Year-18.83%
Revenue Next 2Y-6.72%
Revenue Next 3Y-2.84%
Revenue Next 5Y-1.8%
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
Based on the Price/Earnings ratio of 17.76, the valuation of LUN can be described as rather expensive.
Compared to the rest of the industry, the Price/Earnings ratio of LUN indicates a rather cheap valuation: LUN is cheaper than 90.97% of the companies listed in the same industry.
The average S&P500 Price/Earnings ratio is at 27.30. LUN is valued slightly cheaper when compared to this.
With a Price/Forward Earnings ratio of 17.76, LUN is valued on the expensive side.
88.83% of the companies in the same industry are more expensive than LUN, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of LUN to the average of the S&P500 Index (21.76), we can say LUN is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.76 | ||
| Fwd PE | 17.76 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of LUN indicates a rather cheap valuation: LUN is cheaper than 94.10% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, LUN is valued cheaply inside the industry as 95.61% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 12.07 | ||
| EV/EBITDA | 7.04 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
LUN has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)4.85
PEG (5Y)1.61
EPS Next 2Y11.73%
EPS Next 3Y7.07%
5. Dividend
5.1 Amount
With a yearly dividend of 0.77%, LUN is not a good candidate for dividend investing.
LUN's Dividend Yield is rather good when compared to the industry average which is at 14.97. LUN pays more dividend than 95.73% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.35, LUN's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.77% |
5.2 History
On average, the dividend of LUN grows each year by 23.66%, which is quite nice.
LUN has been paying a dividend for over 5 years, so it has already some track record.
LUN has decreased its dividend recently.
Dividend Growth(5Y)23.66%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
The earnings of LUN are negative and hence is the payout ratio. LUN will probably not be able to sustain this dividend level.
LUN's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP-217.57%
EPS Next 2Y11.73%
EPS Next 3Y7.07%
TSX:LUN (7/11/2025, 7:00:00 PM)
13.85
-0.4 (-2.81%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryMetals & Mining
Earnings (Last)
Earnings (Next)
Inst Owners48.75%
Inst Owner ChangeN/A
Ins Owners0.71%
Ins Owner ChangeN/A
Market Cap11.86B
Analysts76.43
Price Target15.85 (14.44%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.77% |
Yearly Dividend0.36
Dividend Growth(5Y)23.66%
DP-217.57%
Div Incr Years1
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)10.93%
Min EPS beat(2)-6.08%
Max EPS beat(2)27.94%
EPS beat(4)1
Avg EPS beat(4)-10.1%
Min EPS beat(4)-45.6%
Max EPS beat(4)27.94%
EPS beat(8)1
Avg EPS beat(8)-18.05%
EPS beat(12)3
Avg EPS beat(12)-16.92%
EPS beat(16)6
Avg EPS beat(16)-11.62%
Revenue beat(2)1
Avg Revenue beat(2)-7.33%
Min Revenue beat(2)-21.49%
Max Revenue beat(2)6.83%
Revenue beat(4)1
Avg Revenue beat(4)-6.62%
Min Revenue beat(4)-21.49%
Max Revenue beat(4)6.83%
Revenue beat(8)2
Avg Revenue beat(8)-4.97%
Revenue beat(12)3
Avg Revenue beat(12)-6.14%
Revenue beat(16)6
Avg Revenue beat(16)-3.99%
PT rev (1m)2.02%
PT rev (3m)-2.2%
EPS NQ rev (1m)0.94%
EPS NQ rev (3m)-14.48%
EPS NY rev (1m)0%
EPS NY rev (3m)-14.31%
Revenue NQ rev (1m)-0.54%
Revenue NQ rev (3m)-16.38%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-7.38%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.76 | ||
| Fwd PE | 17.76 | ||
| P/S | 2.51 | ||
| P/FCF | 12.07 | ||
| P/OCF | 6.06 | ||
| P/B | 1.64 | ||
| P/tB | 1.69 | ||
| EV/EBITDA | 7.04 |
EPS(TTM)0.78
EY5.63%
EPS(NY)0.78
Fwd EY5.63%
FCF(TTM)1.15
FCFY8.29%
OCF(TTM)2.29
OCFY16.51%
SpS5.52
BVpS8.45
TBVpS8.18
PEG (NY)4.85
PEG (5Y)1.61
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.82% | ||
| ROE | -1.76% | ||
| ROCE | 9.43% | ||
| ROIC | 4.55% | ||
| ROICexc | 4.71% | ||
| ROICexgc | 4.8% | ||
| OM | 26.64% | ||
| PM (TTM) | N/A | ||
| GM | 30.14% | ||
| FCFM | 20.78% |
ROA(3y)1.83%
ROA(5y)3.62%
ROE(3y)3.02%
ROE(5y)6.17%
ROIC(3y)3.7%
ROIC(5y)4.6%
ROICexc(3y)3.85%
ROICexc(5y)4.87%
ROICexgc(3y)3.97%
ROICexgc(5y)5.05%
ROCE(3y)7.68%
ROCE(5y)9.55%
ROICexcg growth 3Y-22.24%
ROICexcg growth 5Y13.91%
ROICexc growth 3Y-21.75%
ROICexc growth 5Y14.37%
OM growth 3Y-14.85%
OM growth 5Y8.15%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-13.35%
GM growth 5Y2.84%
F-Score5
Asset Turnover0.3
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.33 | ||
| Debt/FCF | 2.93 | ||
| Debt/EBITDA | 1.19 | ||
| Cap/Depr | 126.74% | ||
| Cap/Sales | 20.62% | ||
| Interest Coverage | 7.35 | ||
| Cash Conversion | 96.5% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.88 | ||
| Quick Ratio | 1.53 | ||
| Altman-Z | 1.6 |
F-Score5
WACC8.33%
ROIC/WACC0.55
Cap/Depr(3y)146.6%
Cap/Depr(5y)127.59%
Cap/Sales(3y)29.41%
Cap/Sales(5y)25.07%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)95.17%
EPS 3Y-25.88%
EPS 5Y11.05%
EPS Q2Q%183.33%
EPS Next Y3.66%
EPS Next 2Y11.73%
EPS Next 3Y7.07%
EPS Next 5Y3.65%
Revenue 1Y (TTM)-3.58%
Revenue growth 3Y0.93%
Revenue growth 5Y12.58%
Sales Q2Q%2.87%
Revenue Next Year-18.83%
Revenue Next 2Y-6.72%
Revenue Next 3Y-2.84%
Revenue Next 5Y-1.8%
EBIT growth 1Y82.46%
EBIT growth 3Y-14.05%
EBIT growth 5Y21.76%
EBIT Next Year54.28%
EBIT Next 3Y20.66%
EBIT Next 5Y15.5%
FCF growth 1Y515.36%
FCF growth 3Y-9.28%
FCF growth 5YN/A
OCF growth 1Y85.13%
OCF growth 3Y0.76%
OCF growth 5Y21.89%