PAN AMERICAN SILVER CORP (PAAS.CA) Stock Fundamental Analysis
TSX:PAAS - Toronto Stock Exchange - CA6979001089 - Common Stock - Currency: CAD
Taking everything into account, PAAS scores 7 out of 10 in our fundamental rating. PAAS was compared to 806 industry peers in the Metals & Mining industry. PAAS has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. PAAS is valued quite cheap, while showing a decent growth score. This is a good combination! With these ratings, PAAS could be worth investigating further for value and quality investing!.
1. Profitability
1.1 Basic Checks
In the past year PAAS was profitable.
PAAS had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: PAAS reported negative net income in multiple years.
Each year in the past 5 years PAAS had a positive operating cash flow.
1.2 Ratios
PAAS has a Return On Assets of 4.32%. This is amongst the best in the industry. PAAS outperforms 88.21% of its industry peers.
PAAS has a better Return On Equity (6.46%) than 89.21% of its industry peers.
PAAS has a better Return On Invested Capital (6.04%) than 92.06% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.32% | ||
| ROE | 6.46% | ||
| ROIC | 6.04% |
ROA(3y)-3.47%
ROA(5y)-0.49%
ROE(3y)-5.12%
ROE(5y)-0.97%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
PAAS's Profit Margin of 10.40% is amongst the best of the industry. PAAS outperforms 92.80% of its industry peers.
PAAS's Profit Margin has declined in the last couple of years.
The Operating Margin of PAAS (18.53%) is better than 91.94% of its industry peers.
PAAS's Operating Margin has improved in the last couple of years.
With an excellent Gross Margin value of 24.13%, PAAS belongs to the best of the industry, outperforming 89.45% of the companies in the same industry.
In the last couple of years the Gross Margin of PAAS has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 18.53% | ||
| PM (TTM) | 10.4% | ||
| GM | 24.13% |
OM growth 3Y-8.68%
OM growth 5Y3.07%
PM growth 3Y-12.81%
PM growth 5Y-13.56%
GM growth 3Y-4.78%
GM growth 5Y2.77%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), PAAS is destroying value.
PAAS has less shares outstanding than it did 1 year ago.
The number of shares outstanding for PAAS has been increased compared to 5 years ago.
The debt/assets ratio for PAAS is higher compared to a year ago.
2.2 Solvency
PAAS has an Altman-Z score of 3.15. This indicates that PAAS is financially healthy and has little risk of bankruptcy at the moment.
The Altman-Z score of PAAS (3.15) is better than 60.30% of its industry peers.
The Debt to FCF ratio of PAAS is 1.51, which is an excellent value as it means it would take PAAS, only 1.51 years of fcf income to pay off all of its debts.
PAAS has a Debt to FCF ratio of 1.51. This is amongst the best in the industry. PAAS outperforms 93.80% of its industry peers.
PAAS has a Debt/Equity ratio of 0.16. This is a healthy value indicating a solid balance between debt and equity.
The Debt to Equity ratio of PAAS (0.16) is worse than 65.01% of its industry peers.
Although PAAS does not score too well on debt/equity it has very limited outstanding debt, which is well covered by the FCF. We will not put too much weight on the debt/equity number as it may be because of low equity, which could be a consequence of a share buyback program for instance. This needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.16 | ||
| Debt/FCF | 1.51 | ||
| Altman-Z | 3.15 |
ROIC/WACC0.7
WACC8.65%
2.3 Liquidity
PAAS has a Current Ratio of 2.93. This indicates that PAAS is financially healthy and has no problem in meeting its short term obligations.
Looking at the Current ratio, with a value of 2.93, PAAS is in the better half of the industry, outperforming 63.03% of the companies in the same industry.
A Quick Ratio of 1.94 indicates that PAAS should not have too much problems paying its short term obligations.
Looking at the Quick ratio, with a value of 1.94, PAAS is in line with its industry, outperforming 57.94% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.93 | ||
| Quick Ratio | 1.94 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 5900.00% over the past year.
Measured over the past 5 years, PAAS shows a small growth in Earnings Per Share. The EPS has been growing by 0.51% on average per year.
Looking at the last year, PAAS shows a quite strong growth in Revenue. The Revenue has grown by 18.34% in the last year.
Measured over the past years, PAAS shows a quite strong growth in Revenue. The Revenue has been growing by 15.85% on average per year.
EPS 1Y (TTM)5900%
EPS 3Y0.86%
EPS 5Y0.51%
EPS Q2Q%4100%
Revenue 1Y (TTM)18.34%
Revenue growth 3Y19.96%
Revenue growth 5Y15.85%
Sales Q2Q%28.57%
3.2 Future
The Earnings Per Share is expected to grow by 2.59% on average over the next years.
Based on estimates for the next years, PAAS will show a decrease in Revenue. The Revenue will decrease by -3.24% on average per year.
EPS Next Y58.55%
EPS Next 2Y59.4%
EPS Next 3Y23.95%
EPS Next 5Y2.59%
Revenue Next Year5.21%
Revenue Next 2Y4.64%
Revenue Next 3Y2.86%
Revenue Next 5Y-3.24%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better 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 22.55, which indicates a rather expensive current valuation of PAAS.
Based on the Price/Earnings ratio, PAAS is valued cheaper than 89.21% of the companies in the same industry.
PAAS's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 27.25.
A Price/Forward Earnings ratio of 13.52 indicates a correct valuation of PAAS.
Compared to the rest of the industry, the Price/Forward Earnings ratio of PAAS indicates a rather cheap valuation: PAAS is cheaper than 89.95% of the companies listed in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 36.80. PAAS is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.55 | ||
| Fwd PE | 13.52 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, PAAS is valued cheaper than 92.43% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, PAAS is valued cheaply inside the industry as 94.04% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 18.43 | ||
| EV/EBITDA | 8.75 |
4.3 Compensation for Growth
PAAS's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The decent profitability rating of PAAS may justify a higher PE ratio.
PAAS's earnings are expected to grow with 23.95% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.39
PEG (5Y)43.85
EPS Next 2Y59.4%
EPS Next 3Y23.95%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.44%, PAAS has a reasonable but not impressive dividend return.
PAAS's Dividend Yield is rather good when compared to the industry average which is at 18.28. PAAS pays more dividend than 96.90% of the companies in the same industry.
Compared to the average S&P500 Dividend Yield of 2.34, PAAS is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.44% |
5.2 History
The dividend of PAAS is nicely growing with an annual growth rate of 19.89%!
PAAS has been paying a dividend for at least 10 years, so it has a reliable track record.
PAAS has decreased its dividend recently.
Dividend Growth(5Y)19.89%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
46.64% of the earnings are spent on dividend by PAAS. This is a bit on the high side, but may be sustainable.
The dividend of PAAS is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP46.64%
EPS Next 2Y59.4%
EPS Next 3Y23.95%
TSX:PAAS (7/31/2025, 7:00:00 PM)
37.43
-0.45 (-1.19%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryMetals & Mining
Earnings (Last)
Earnings (Next)
Inst Owners60.88%
Inst Owner ChangeN/A
Ins Owners0.09%
Ins Owner ChangeN/A
Market Cap13.56B
Analysts80
Price Target36.65 (-2.08%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.44% |
Yearly Dividend0.55
Dividend Growth(5Y)19.89%
DP46.64%
Div Incr Years1
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)62.84%
Min EPS beat(2)-3.07%
Max EPS beat(2)128.76%
EPS beat(4)2
Avg EPS beat(4)40.14%
Min EPS beat(4)-28.1%
Max EPS beat(4)128.76%
EPS beat(8)3
Avg EPS beat(8)2.62%
EPS beat(12)5
Avg EPS beat(12)4.03%
EPS beat(16)5
Avg EPS beat(16)-6.04%
Revenue beat(2)1
Avg Revenue beat(2)5.07%
Min Revenue beat(2)-1.83%
Max Revenue beat(2)11.97%
Revenue beat(4)1
Avg Revenue beat(4)-3.5%
Min Revenue beat(4)-18.79%
Max Revenue beat(4)11.97%
Revenue beat(8)1
Avg Revenue beat(8)-4.04%
Revenue beat(12)2
Avg Revenue beat(12)-4.81%
Revenue beat(16)2
Avg Revenue beat(16)-5.4%
PT rev (1m)0%
PT rev (3m)7.48%
EPS NQ rev (1m)6.29%
EPS NQ rev (3m)57.21%
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.5%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.23%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.55 | ||
| Fwd PE | 13.52 | ||
| P/S | 3.29 | ||
| P/FCF | 18.43 | ||
| P/OCF | 11.73 | ||
| P/B | 2.04 | ||
| P/tB | 2.04 | ||
| EV/EBITDA | 8.75 |
EPS(TTM)1.66
EY4.43%
EPS(NY)2.77
Fwd EY7.4%
FCF(TTM)2.03
FCFY5.43%
OCF(TTM)3.19
OCFY8.52%
SpS11.39
BVpS18.34
TBVpS18.34
PEG (NY)0.39
PEG (5Y)43.85
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.32% | ||
| ROE | 6.46% | ||
| ROCE | 8.39% | ||
| ROIC | 6.04% | ||
| ROICexc | 7.02% | ||
| ROICexgc | 7.02% | ||
| OM | 18.53% | ||
| PM (TTM) | 10.4% | ||
| GM | 24.13% | ||
| FCFM | 17.83% |
ROA(3y)-3.47%
ROA(5y)-0.49%
ROE(3y)-5.12%
ROE(5y)-0.97%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3Y-13.28%
ROICexcg growth 5Y4.91%
ROICexc growth 3Y-13.24%
ROICexc growth 5Y4.95%
OM growth 3Y-8.68%
OM growth 5Y3.07%
PM growth 3Y-12.81%
PM growth 5Y-13.56%
GM growth 3Y-4.78%
GM growth 5Y2.77%
F-Score9
Asset Turnover0.42
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.16 | ||
| Debt/FCF | 1.51 | ||
| Debt/EBITDA | 0.68 | ||
| Cap/Depr | 53.73% | ||
| Cap/Sales | 10.18% | ||
| Interest Coverage | 14.82 | ||
| Cash Conversion | 74.74% | ||
| Profit Quality | 171.42% | ||
| Current Ratio | 2.93 | ||
| Quick Ratio | 1.94 | ||
| Altman-Z | 3.15 |
F-Score9
WACC8.65%
ROIC/WACC0.7
Cap/Depr(3y)73.91%
Cap/Depr(5y)73.53%
Cap/Sales(3y)15.4%
Cap/Sales(5y)14.89%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)5900%
EPS 3Y0.86%
EPS 5Y0.51%
EPS Q2Q%4100%
EPS Next Y58.55%
EPS Next 2Y59.4%
EPS Next 3Y23.95%
EPS Next 5Y2.59%
Revenue 1Y (TTM)18.34%
Revenue growth 3Y19.96%
Revenue growth 5Y15.85%
Sales Q2Q%28.57%
Revenue Next Year5.21%
Revenue Next 2Y4.64%
Revenue Next 3Y2.86%
Revenue Next 5Y-3.24%
EBIT growth 1Y428.82%
EBIT growth 3Y9.55%
EBIT growth 5Y19.41%
EBIT Next Year125.64%
EBIT Next 3Y43.41%
EBIT Next 5Y-7.85%
FCF growth 1Y324.75%
FCF growth 3Y39.19%
FCF growth 5Y39.97%
OCF growth 1Y5697.52%
OCF growth 3Y22.69%
OCF growth 5Y20.76%