PAN AMERICAN SILVER CORP (PAAS)
CA6979001089 - Common Stock
Taking everything into account, PAAS scores 4 out of 10 in our fundamental rating. PAAS was compared to 155 industry peers in the Metals & Mining industry. While PAAS seems to be doing ok healthwise, there are quite some concerns on its profitability. While showing a medium growth rate, PAAS is valued expensive at the moment.
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.
PAAS had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With a Return On Assets value of -1.44%, PAAS perfoms like the industry average, outperforming 50.97% of the companies in the same industry.
PAAS's Return On Equity of -2.18% is in line compared to the rest of the industry. PAAS outperforms 50.32% of its industry peers.
PAAS's Return On Invested Capital of 1.41% is in line compared to the rest of the industry. PAAS outperforms 50.32% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.44% | ||
| ROE | -2.18% | ||
| ROIC | 1.41% |
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
PAAS has a Operating Margin (5.06%) which is comparable to the rest of the industry.
In the last couple of years the Operating Margin of PAAS has declined.
PAAS has a Gross Margin of 12.81%. This is comparable to the rest of the industry: PAAS outperforms 47.10% of its industry peers.
PAAS's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 5.06% | ||
| PM (TTM) | N/A | ||
| GM | 12.81% |
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.
The number of shares outstanding for PAAS has been increased compared to 1 year ago.
PAAS has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, PAAS has a worse debt to assets ratio.
2.2 Solvency
PAAS has an Altman-Z score of 2.11. 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.
PAAS has a worse Altman-Z score (2.11) than 60.00% of its industry peers.
The Debt to FCF ratio of PAAS is 11.26, which is on the high side as it means it would take PAAS, 11.26 years of fcf income to pay off all of its debts.
With a decent Debt to FCF ratio value of 11.26, PAAS is doing good in the industry, outperforming 67.10% 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.
Looking at the Debt to Equity ratio, with a value of 0.16, PAAS is in line with its industry, outperforming 51.61% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.16 | ||
| Debt/FCF | 11.26 | ||
| Altman-Z | 2.11 |
ROIC/WACC0.18
WACC8.01%
2.3 Liquidity
A Current Ratio of 2.23 indicates that PAAS has no problem at all paying its short term obligations.
PAAS has a Current ratio of 2.23. This is comparable to the rest of the industry: PAAS outperforms 45.16% of its industry peers.
A Quick Ratio of 1.09 indicates that PAAS should not have too much problems paying its short term obligations.
With a Quick ratio value of 1.09, PAAS is not doing good in the industry: 64.52% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.23 | ||
| Quick Ratio | 1.09 |
3. Growth
3.1 Past
The earnings per share for PAAS have decreased strongly by -50.00% in the last year.
Measured over the past years, PAAS shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -22.36% on average per year.
The Revenue has grown by 54.95% in the past year. This is a very strong growth!
PAAS shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 24.17% yearly.
EPS 1Y (TTM)-50%
EPS 3Y-54.27%
EPS 5Y-22.36%
EPS growth Q2Q-90%
Revenue 1Y (TTM)54.95%
Revenue growth 3Y20.05%
Revenue growth 5Y24.17%
Revenue growth Q2Q54.09%
3.2 Future
The Earnings Per Share is expected to grow by 46.15% 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 1.39% on average per year.
EPS Next Y332.11%
EPS Next 2Y173.04%
EPS Next 3Y46.15%
EPS Next 5YN/A
Revenue Next Year10.52%
Revenue Next 2Y8.87%
Revenue Next 3Y1.39%
Revenue Next 5YN/A
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
PAAS is valuated quite expensively with a Price/Earnings ratio of 1087.00.
Compared to the rest of the industry, the Price/Earnings ratio of PAAS is on the same level as its industry peers.
Compared to an average S&P500 Price/Earnings ratio of 28.15, PAAS is valued quite expensively.
PAAS is valuated quite expensively with a Price/Forward Earnings ratio of 26.51.
The rest of the industry has a similar Price/Forward Earnings ratio as PAAS.
The average S&P500 Price/Forward Earnings ratio is at 20.20. PAAS is valued slightly more expensive when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 1087 | ||
| Fwd PE | 26.51 |
4.2 Price Multiples
PAAS's Enterprise Value to EBITDA ratio is in line with the industry average.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of PAAS indicates a somewhat cheap valuation: PAAS is cheaper than 64.52% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 111.34 | ||
| EV/EBITDA | 13.02 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
PAAS's earnings are expected to grow with 46.15% in the coming years. This may justify a more expensive valuation.
PEG (NY)3.27
PEG (5Y)N/A
EPS Next 2Y173.04%
EPS Next 3Y46.15%
5. Dividend
5.1 Amount
PAAS has a Yearly Dividend Yield of 1.91%.
Compared to an average industry Dividend Yield of 2.79, PAAS pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.34, PAAS has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.91% |
5.2 History
The dividend of PAAS is nicely growing with an annual growth rate of 26.69%!
PAAS has been paying a dividend for at least 10 years, so it has a reliable track record.
Dividend Growth(5Y)26.69%
Div Incr Years0
Div Non Decr Years0
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-125.75%
EPS Next 2Y173.04%
EPS Next 3Y46.15%
PAN AMERICAN SILVER CORP
NYSE:PAAS (5/17/2024, 7:18:25 PM)
After market: 21.82 +0.08 (+0.37%)21.74
+1.14 (+5.53%)
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 Cap7.93B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.91% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
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Min EPS beat(4)
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EPS beat(8)
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EPS beat(12)
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EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
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Revenue beat(4)
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Revenue beat(8)
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Revenue beat(12)
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Revenue beat(16)
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PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 1087 | ||
| Fwd PE | 26.51 | ||
| 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)3.27
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.44% | ||
| ROE | -2.18% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 5.06% | ||
| PM (TTM) | N/A | ||
| GM | 12.81% | ||
| 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 Turnover0.32
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 | 2.23 | ||
| Quick Ratio | 1.09 | ||
| 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)
Growth
EPS 1Y (TTM)-50%
EPS 3Y-54.27%
EPS 5Y
EPS growth Q2Q
EPS Next Y332.11%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)54.95%
Revenue growth 3Y20.05%
Revenue growth 5Y
Revenue growth 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