PAN AMERICAN SILVER CORP (PAAS)
CA6979001089 - Common Stock
Overall PAAS gets a fundamental rating of 4 out of 10. We evaluated PAAS against 156 industry peers in the Metals & Mining industry. PAAS may be in some trouble as it scores bad on both profitability and health. PAAS has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
PAAS had positive earnings in the past year.
In the past year PAAS had a positive cash flow from operations.
In multiple years PAAS reported negative net income over the last 5 years.
In the past 5 years PAAS always reported a positive cash flow from operatings.
1.2 Ratios
PAAS has a Return On Assets (-1.79%) which is in line with its industry peers.
PAAS has a Return On Equity (-2.73%) which is comparable to the rest of the industry.
PAAS has a Return On Invested Capital of 2.04%. This is comparable to the rest of the industry: PAAS outperforms 49.36% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.79% | ||
| ROE | -2.73% | ||
| ROIC | 2.04% |
ROA(3y)-3.06%
ROA(5y)-0.16%
ROE(3y)-4.68%
ROE(5y)-0.54%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
The Operating Margin of PAAS (6.43%) is comparable to the rest of the industry.
PAAS's Operating Margin has declined in the last couple of years.
PAAS's Gross Margin of 12.86% is in line compared to the rest of the industry. PAAS outperforms 44.87% of its industry peers.
In the last couple of years the Gross Margin of PAAS has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.43% | ||
| PM (TTM) | N/A | ||
| GM | 12.86% |
OM growth 3Y-36.73%
OM growth 5Y-8.92%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-21.9%
GM growth 5Y-0.07%
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 more 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 2.28. This is not the best score and indicates that PAAS is in the grey zone with still only limited risk for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 2.28, PAAS is in line with its industry, outperforming 44.23% of the companies in the same industry.
PAAS has a debt to FCF ratio of 7.01. This is a slightly negative value and a sign of low solvency as PAAS would need 7.01 years to pay back of all of its debts.
With a decent Debt to FCF ratio value of 7.01, PAAS is doing good in the industry, outperforming 67.31% of the companies in the same industry.
PAAS has a Debt/Equity ratio of 0.16. This is a healthy value indicating a solid balance between debt and equity.
PAAS has a Debt to Equity ratio (0.16) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.16 | ||
| Debt/FCF | 7.01 | ||
| Altman-Z | 2.28 |
ROIC/WACC0.24
WACC8.44%
2.3 Liquidity
A Current Ratio of 2.06 indicates that PAAS has no problem at all paying its short term obligations.
PAAS has a Current ratio (2.06) which is in line with its industry peers.
PAAS has a Quick Ratio of 2.06. This is a bad value and indicates that PAAS is not financially healthy enough and could expect problems in meeting its short term obligations.
PAAS has a worse Quick ratio (0.92) than 75.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.06 | ||
| Quick Ratio | 0.92 |
3. Growth
3.1 Past
The earnings per share for PAAS have decreased strongly by -18.18% in the last year.
PAAS shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -22.36% yearly.
PAAS shows a strong growth in Revenue. In the last year, the Revenue has grown by 47.52%.
Measured over the past years, PAAS shows a very strong growth in Revenue. The Revenue has been growing by 24.17% on average per year.
EPS 1Y (TTM)-18.18%
EPS 3Y-54.27%
EPS 5Y-22.36%
EPS Q2Q%175%
Revenue 1Y (TTM)47.52%
Revenue growth 3Y20.05%
Revenue growth 5Y24.17%
Sales Q2Q%7.25%
3.2 Future
The Earnings Per Share is expected to grow by 58.54% on average over the next years. This is a very strong growth
Based on estimates for the next years, PAAS will show a small growth in Revenue. The Revenue will grow by 4.62% on average per year.
EPS Next Y452.65%
EPS Next 2Y234.96%
EPS Next 3Y69.48%
EPS Next 5Y58.54%
Revenue Next Year19.59%
Revenue Next 2Y13.92%
Revenue Next 3Y4.62%
Revenue Next 5YN/A
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 accelerating.
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
PAAS is valuated quite expensively with a Price/Earnings ratio of 244.78.
PAAS's Price/Earnings is on the same level as the industry average.
When comparing the Price/Earnings ratio of PAAS to the average of the S&P500 Index (31.73), we can say PAAS is valued expensively.
A Price/Forward Earnings ratio of 17.85 indicates a rather expensive valuation of PAAS.
The rest of the industry has a similar Price/Forward Earnings ratio as PAAS.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.71, PAAS is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 244.78 | ||
| Fwd PE | 17.85 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of PAAS indicates a somewhat cheap valuation: PAAS is cheaper than 61.54% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, PAAS is valued a bit cheaper than the industry average as 62.18% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 69.3 | ||
| EV/EBITDA | 12.38 |
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.
PAAS's earnings are expected to grow with 69.48% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.54
PEG (5Y)N/A
EPS Next 2Y234.96%
EPS Next 3Y69.48%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.74%, PAAS has a reasonable but not impressive dividend return.
PAAS's Dividend Yield is a higher than the industry average which is at 2.81.
Compared to the average S&P500 Dividend Yield of 2.22, PAAS is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.74% |
5.2 History
On average, the dividend of PAAS grows each year by 26.69%, which is quite nice.
PAAS has been paying a dividend for at least 10 years, so it has a reliable track record.
The dividend of PAAS decreased recently.
Dividend Growth(5Y)26.69%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
The earnings of PAAS are negative and hence is the payout ratio. PAAS will probably not be able to sustain this dividend level.
The dividend of PAAS is growing, but earnings are growing more, so the dividend growth is sustainable.
DP-115.54%
EPS Next 2Y234.96%
EPS Next 3Y69.48%
PAN AMERICAN SILVER CORP
NYSE:PAAS (10/14/2024, 8:04:01 PM)
After market: 22.18 +0.15 (+0.68%)22.03
-0.23 (-1.03%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryMetals & Mining
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap8.00B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.74% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
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EPS NQ rev (1m)
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Revenue NQ rev (1m)
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Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 244.78 | ||
| Fwd PE | 17.85 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)0.54
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.79% | ||
| ROE | -2.73% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 6.43% | ||
| PM (TTM) | N/A | ||
| GM | 12.86% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.37
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.16 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 2.06 | ||
| Quick Ratio | 0.92 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)-18.18%
EPS 3Y-54.27%
EPS 5Y
EPS Q2Q%
EPS Next Y452.65%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)47.52%
Revenue growth 3Y20.05%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y