SILVERCORP METALS INC (SVM) Stock Fundamental Analysis
NYSEARCA:SVM - NYSE Arca - CA82835P1036 - Common Stock - Currency: USD
Taking everything into account, SVM scores 6 out of 10 in our fundamental rating. SVM was compared to 154 industry peers in the Metals & Mining industry. Both the profitability and the financial health of SVM get a neutral evaluation. Nothing too spectacular is happening here. SVM may be a bit undervalued, certainly considering the very reasonable score on growth These ratings would make SVM suitable for value investing!
1. Profitability
1.1 Basic Checks
SVM had positive earnings in the past year.
In the past year SVM had a positive cash flow from operations.
Of the past 5 years SVM 4 years were profitable.
SVM had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
With a decent Return On Assets value of 6.38%, SVM is doing good in the industry, outperforming 79.87% of the companies in the same industry.
SVM has a better Return On Equity (10.05%) than 77.27% of its industry peers.
SVM has a better Return On Invested Capital (5.83%) than 67.53% of its industry peers.
SVM had an Average Return On Invested Capital over the past 3 years of 6.18%. This is below the industry average of 8.82%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.38% | ||
| ROE | 10.05% | ||
| ROIC | 5.83% |
ROA(3y)4.15%
ROA(5y)5.25%
ROE(3y)5.78%
ROE(5y)7.31%
ROIC(3y)6.18%
ROIC(5y)6.57%
1.3 Margins
SVM has a Profit Margin of 26.76%. This is amongst the best in the industry. SVM outperforms 94.81% of its industry peers.
SVM's Profit Margin has declined in the last couple of years.
SVM has a better Operating Margin (34.56%) than 90.26% of its industry peers.
SVM's Operating Margin has declined in the last couple of years.
SVM has a Gross Margin of 47.18%. This is amongst the best in the industry. SVM outperforms 86.36% of its industry peers.
In the last couple of years the Gross Margin of SVM has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 34.56% | ||
| PM (TTM) | 26.76% | ||
| GM | 47.18% |
OM growth 3Y-8.78%
OM growth 5Y-3.76%
PM growth 3Y-11.27%
PM growth 5Y-6.24%
GM growth 3Y-4.4%
GM growth 5Y-2.18%
2. Health
2.1 Basic Checks
SVM has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
There is no outstanding debt for SVM. 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
An Altman-Z score of 2.52 indicates that SVM is not a great score, but indicates only limited risk for bankruptcy at the moment.
With a Altman-Z score value of 2.52, SVM perfoms like the industry average, outperforming 53.90% of the companies in the same industry.
The Debt to FCF ratio of SVM is 3.34, which is a good value as it means it would take SVM, 3.34 years of fcf income to pay off all of its debts.
SVM's Debt to FCF ratio of 3.34 is fine compared to the rest of the industry. SVM outperforms 73.38% of its industry peers.
A Debt/Equity ratio of 0.15 indicates that SVM is not too dependend on debt financing.
SVM has a Debt to Equity ratio (0.15) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.15 | ||
| Debt/FCF | 3.34 | ||
| Altman-Z | 2.52 |
ROIC/WACC0.67
WACC8.77%
2.3 Liquidity
A Current Ratio of 4.61 indicates that SVM has no problem at all paying its short term obligations.
With an excellent Current ratio value of 4.61, SVM belongs to the best of the industry, outperforming 80.52% of the companies in the same industry.
SVM has a Quick Ratio of 4.35. This indicates that SVM is financially healthy and has no problem in meeting its short term obligations.
SVM has a better Quick ratio (4.35) than 79.87% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.61 | ||
| Quick Ratio | 4.35 |
3. Growth
3.1 Past
SVM shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 100.00%, which is quite impressive.
SVM shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 14.87% yearly.
EPS 1Y (TTM)100%
EPS 3Y11.32%
EPS 5Y14.87%
EPS Q2Q%133.33%
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%75.98%
3.2 Future
Based on estimates for the next years, SVM will show a very strong growth in Earnings Per Share. The EPS will grow by 33.29% on average per year.
The Revenue is expected to grow by 20.44% on average over the next years. This is a very strong growth
EPS Next Y3.52%
EPS Next 2Y13.48%
EPS Next 3Y48.23%
EPS Next 5Y33.29%
Revenue Next Year0.09%
Revenue Next 2Y12.51%
Revenue Next 3Y29.9%
Revenue Next 5Y20.44%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 9.27, the valuation of SVM can be described as reasonable.
Based on the Price/Earnings ratio, SVM is valued cheaper than 94.81% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 25.82. SVM is valued rather cheaply when compared to this.
A Price/Forward Earnings ratio of 8.96 indicates a reasonable valuation of SVM.
80.52% of the companies in the same industry are more expensive than SVM, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of SVM to the average of the S&P500 Index (21.76), we can say SVM is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.27 | ||
| Fwd PE | 8.96 |
4.2 Price Multiples
SVM's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. SVM is cheaper than 90.26% of the companies in the same industry.
SVM's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. SVM is cheaper than 72.73% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 24.84 | ||
| EV/EBITDA | 4.8 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The decent profitability rating of SVM may justify a higher PE ratio.
SVM's earnings are expected to grow with 48.23% in the coming years. This may justify a more expensive valuation.
PEG (NY)2.63
PEG (5Y)0.62
EPS Next 2Y13.48%
EPS Next 3Y48.23%
5. Dividend
5.1 Amount
With a yearly dividend of 0.63%, SVM is not a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 3.00, SVM pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.36, SVM's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.63% |
5.2 History
The dividend of SVM has a limited annual growth rate of 0.08%.
SVM has been paying a dividend for at least 10 years, so it has a reliable track record.
SVM has not decreased its dividend in the past 5 years, so it has a somewhat stable track record.
Dividend Growth(5Y)0.08%
Div Incr Years0
Div Non Decr Years9
5.3 Sustainability
6.94% of the earnings are spent on dividend by SVM. This is a low number and sustainable payout ratio.
SVM's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP6.94%
EPS Next 2Y13.48%
EPS Next 3Y48.23%
3.71
-0.16 (-4.13%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryMetals & Mining
Earnings (Last)
Earnings (Next)
Inst Owners39.34%
Inst Owner Change15.63%
Ins Owners3.8%
Ins Owner ChangeN/A
Market Cap808.41M
Analysts80
Price Target5.42 (46.09%)
Short Float %6.54%
Short Ratio2.22
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.63% |
Yearly Dividend0.03
Dividend Growth(5Y)0.08%
DP6.94%
Div Incr Years0
Div Non Decr Years9
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)14.75%
Min EPS beat(2)6.59%
Max EPS beat(2)22.9%
EPS beat(4)4
Avg EPS beat(4)17.38%
Min EPS beat(4)6.59%
Max EPS beat(4)32.01%
EPS beat(8)6
Avg EPS beat(8)5.76%
EPS beat(12)8
Avg EPS beat(12)4.13%
EPS beat(16)10
Avg EPS beat(16)3.39%
Revenue beat(2)1
Avg Revenue beat(2)1.15%
Min Revenue beat(2)-1.21%
Max Revenue beat(2)3.52%
Revenue beat(4)2
Avg Revenue beat(4)2.3%
Min Revenue beat(4)-1.21%
Max Revenue beat(4)7.66%
Revenue beat(8)4
Avg Revenue beat(8)1.76%
Revenue beat(12)7
Avg Revenue beat(12)1.84%
Revenue beat(16)8
Avg Revenue beat(16)1.18%
PT rev (1m)1.57%
PT rev (3m)1.62%
EPS NQ rev (1m)0%
EPS NQ rev (3m)30.27%
EPS NY rev (1m)0%
EPS NY rev (3m)9.72%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)30.09%
Revenue NY rev (1m)3.39%
Revenue NY rev (3m)6.4%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.27 | ||
| Fwd PE | 8.96 | ||
| P/S | 3.03 | ||
| P/FCF | 24.84 | ||
| P/OCF | 6.84 | ||
| P/B | 1.14 | ||
| P/tB | 1.14 | ||
| EV/EBITDA | 4.8 |
EPS(TTM)0.4
EY10.78%
EPS(NY)0.41
Fwd EY11.16%
FCF(TTM)0.15
FCFY4.03%
OCF(TTM)0.54
OCFY14.62%
SpS1.22
BVpS3.25
TBVpS3.25
PEG (NY)2.63
PEG (5Y)0.62
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.38% | ||
| ROE | 10.05% | ||
| ROCE | 8.9% | ||
| ROIC | 5.83% | ||
| ROICexc | 8.87% | ||
| ROICexgc | 8.87% | ||
| OM | 34.56% | ||
| PM (TTM) | 26.76% | ||
| GM | 47.18% | ||
| FCFM | 12.21% |
ROA(3y)4.15%
ROA(5y)5.25%
ROE(3y)5.78%
ROE(5y)7.31%
ROIC(3y)6.18%
ROIC(5y)6.57%
ROICexc(3y)8.9%
ROICexc(5y)9.49%
ROICexgc(3y)8.9%
ROICexgc(5y)9.49%
ROCE(3y)9.43%
ROCE(5y)10.03%
ROICexcg growth 3Y-9.07%
ROICexcg growth 5Y-4.95%
ROICexc growth 3Y-9.07%
ROICexc growth 5Y-4.95%
OM growth 3Y-8.78%
OM growth 5Y-3.76%
PM growth 3Y-11.27%
PM growth 5Y-6.24%
GM growth 3Y-4.4%
GM growth 5Y-2.18%
F-Score6
Asset Turnover0.24
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.15 | ||
| Debt/FCF | 3.34 | ||
| Debt/EBITDA | 0.88 | ||
| Cap/Depr | 282.93% | ||
| Cap/Sales | 32.14% | ||
| Interest Coverage | 969.28 | ||
| Cash Conversion | 96.58% | ||
| Profit Quality | 45.63% | ||
| Current Ratio | 4.61 | ||
| Quick Ratio | 4.35 | ||
| Altman-Z | 2.52 |
F-Score6
WACC8.77%
ROIC/WACC0.67
Cap/Depr(3y)218.35%
Cap/Depr(5y)207.11%
Cap/Sales(3y)28.92%
Cap/Sales(5y)27.23%
Profit Quality(3y)119.11%
Profit Quality(5y)110.42%
High Growth Momentum
Growth
EPS 1Y (TTM)100%
EPS 3Y11.32%
EPS 5Y14.87%
EPS Q2Q%133.33%
EPS Next Y3.52%
EPS Next 2Y13.48%
EPS Next 3Y48.23%
EPS Next 5Y33.29%
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%75.98%
Revenue Next Year0.09%
Revenue Next 2Y12.51%
Revenue Next 3Y29.9%
Revenue Next 5Y20.44%
EBIT growth 1Y51.88%
EBIT growth 3Y-5.26%
EBIT growth 5Y0.83%
EBIT Next Year177.61%
EBIT Next 3Y54.1%
EBIT Next 5Y49.6%
FCF growth 1Y-6.23%
FCF growth 3Y-5.88%
FCF growth 5Y-4.89%
OCF growth 1Y29.43%
OCF growth 3Y2.15%
OCF growth 5Y5.4%