Yamana Gold Inc (YRI.CA) Stock Fundamental Analysis
TSX:YRI - Toronto Stock Exchange - CA98462Y1007 - Common Stock - Currency: CAD
We assign a fundamental rating of 4 out of 10 to YRI. YRI was compared to 806 industry peers in the Metals & Mining industry. YRI has a medium profitability rating, but doesn't score so well on its financial health evaluation. YRI has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
YRI had positive earnings in the past year.
YRI had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: YRI reported negative net income in multiple years.
YRI had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The profitability ratios for YRI are negative, so there is not much use analyzing them.
With an excellent Return On Invested Capital value of 3.91%, YRI belongs to the best of the industry, outperforming 91.94% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for YRI is significantly below the industry average of 12.05%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | N/A | ||
| ROE | N/A | ||
| ROIC | 3.91% |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)4.7%
ROIC(5y)N/A
1.3 Margins
Looking at the Operating Margin, with a value of 17.93%, YRI belongs to the top of the industry, outperforming 94.01% of the companies in the same industry.
YRI's Operating Margin has improved in the last couple of years.
YRI has a better Gross Margin (56.94%) than 98.04% of its industry peers.
YRI's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 17.93% | ||
| PM (TTM) | N/A | ||
| GM | 56.94% |
OM growth 3Y5.08%
OM growth 5Y11.32%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y3.44%
GM growth 5Y6.17%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so YRI is destroying value.
The number of shares outstanding for YRI remains at a similar level compared to 1 year ago.
YRI has a worse debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 0.61, we must say that YRI is in the distress zone and has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 0.61, YRI is in line with its industry, outperforming 42.74% of the companies in the same industry.
YRI has a debt to FCF ratio of 36.55. This is a negative value and a sign of low solvency as YRI would need 36.55 years to pay back of all of its debts.
YRI has a better Debt to FCF ratio (36.55) than 90.90% of its industry peers.
A Debt/Equity ratio of 0.25 indicates that YRI is not too dependend on debt financing.
YRI's Debt to Equity ratio of 0.25 is on the low side compared to the rest of the industry. YRI is outperformed by 75.81% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.25 | ||
| Debt/FCF | 36.55 | ||
| Altman-Z | 0.61 |
ROIC/WACC0.36
WACC10.93%
2.3 Liquidity
A Current Ratio of 1.44 indicates that YRI should not have too much problems paying its short term obligations.
With a Current ratio value of 1.44, YRI is not doing good in the industry: 60.25% of the companies in the same industry are doing better.
A Quick Ratio of 1.00 indicates that YRI should not have too much problems paying its short term obligations.
YRI has a Quick ratio of 1.00. This is in the lower half of the industry: YRI underperforms 64.75% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.44 | ||
| Quick Ratio | 1 |
3. Growth
3.1 Past
YRI shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -3.23%.
Measured over the past years, YRI shows a very strong growth in Earnings Per Share. The EPS has been growing by 37.97% on average per year.
YRI shows a decrease in Revenue. In the last year, the revenue decreased by -0.45%.
Measured over the past years, YRI shows a small growth in Revenue. The Revenue has been growing by 0.04% on average per year.
EPS 1Y (TTM)-3.23%
EPS 3Y44.23%
EPS 5Y37.97%
EPS Q2Q%-30%
Revenue 1Y (TTM)-0.45%
Revenue growth 3Y3.88%
Revenue growth 5Y0.04%
Sales Q2Q%-9.23%
3.2 Future
Based on estimates for the next years, YRI will show a very negative growth in Earnings Per Share. The EPS will decrease by -44.78% on average per year.
The Revenue is expected to decrease by -3.15% on average over the next years.
EPS Next Y-9.36%
EPS Next 2Y-5.84%
EPS Next 3Y-44.78%
EPS Next 5YN/A
Revenue Next Year-0.27%
Revenue Next 2Y-0.71%
Revenue Next 3Y-3.15%
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 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
YRI is valuated rather expensively with a Price/Earnings ratio of 19.72.
YRI's Price/Earnings ratio is rather cheap when compared to the industry. YRI is cheaper than 91.59% of the companies in the same industry.
YRI is valuated rather cheaply when we compare the Price/Earnings ratio to 26.52, which is the current average of the S&P500 Index.
YRI is valuated rather expensively with a Price/Forward Earnings ratio of 21.79.
Based on the Price/Forward Earnings ratio, YRI is valued cheaply inside the industry as 92.05% of the companies are valued more expensively.
The average S&P500 Price/Forward Earnings ratio is at 22.25. YRI is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.72 | ||
| Fwd PE | 21.79 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, YRI is valued cheaper than 92.28% of the companies in the same industry.
91.13% of the companies in the same industry are more expensive than YRI, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 244.66 | ||
| EV/EBITDA | 7.78 |
4.3 Compensation for Growth
YRI's earnings are expected to decrease with -44.78% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)0.52
EPS Next 2Y-5.84%
EPS Next 3Y-44.78%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.26%, YRI has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 2.66, YRI pays a better dividend. On top of this YRI pays more dividend than 94.24% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.38, YRI's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.26% |
5.2 History
YRI has been paying a dividend for over 5 years, so it has already some track record.
YRI has not decreased its dividend in the past 5 years, so it has a somewhat stable track record.
Dividend Growth(5Y)N/A
Div Incr Years4
Div Non Decr Years6
5.3 Sustainability
YRI has negative earnings and hence a negative payout ratio. The dividend may be in danger.
DP-11.67%
EPS Next 2Y-5.84%
EPS Next 3Y-44.78%
TSX:YRI (4/3/2023, 7:00:00 PM)
7.89
+0.01 (+0.13%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryMetals & Mining
Earnings (Last)
Earnings (Next)
Inst Owners49.02%
Inst Owner ChangeN/A
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap7.59B
Analysts73.33
Price Target8.77 (11.15%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.26% |
Yearly Dividend0.3
Dividend Growth(5Y)N/A
DP-11.67%
Div Incr Years4
Div Non Decr Years6
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)19.14%
Min EPS beat(2)16.48%
Max EPS beat(2)21.8%
EPS beat(4)4
Avg EPS beat(4)24.88%
Min EPS beat(4)16.48%
Max EPS beat(4)36.78%
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)0
Avg Revenue beat(2)-2.48%
Min Revenue beat(2)-2.82%
Max Revenue beat(2)-2.13%
Revenue beat(4)1
Avg Revenue beat(4)-1.46%
Min Revenue beat(4)-4.44%
Max Revenue beat(4)3.55%
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0%
PT rev (3m)41.29%
EPS NQ rev (1m)0%
EPS NQ rev (3m)15.63%
EPS NY rev (1m)0%
EPS NY rev (3m)18.6%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)3.12%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.72 | ||
| Fwd PE | 21.79 | ||
| P/S | 3.15 | ||
| P/FCF | 244.66 | ||
| P/OCF | 10.79 | ||
| P/B | 1.74 | ||
| P/tB | 1.97 | ||
| EV/EBITDA | 7.78 |
EPS(TTM)0.4
EY5.07%
EPS(NY)0.36
Fwd EY4.59%
FCF(TTM)0.03
FCFY0.41%
OCF(TTM)0.73
OCFY9.26%
SpS2.5
BVpS4.54
TBVpS4
PEG (NY)N/A
PEG (5Y)0.52
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | N/A | ||
| ROE | N/A | ||
| ROCE | N/A | ||
| ROIC | 3.91% | ||
| ROICexc | 4.18% | ||
| ROICexgc | 4.49% | ||
| OM | 17.93% | ||
| PM (TTM) | N/A | ||
| GM | 56.94% | ||
| FCFM | N/A |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)4.7%
ROIC(5y)N/A
ROICexc(3y)4.43%
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3Y15.46%
ROICexcg growth 5Y19.42%
ROICexc growth 3Y15.08%
ROICexc growth 5Y19.12%
OM growth 3Y5.08%
OM growth 5Y11.32%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y3.44%
GM growth 5Y6.17%
F-Score3
Asset Turnover0.28
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.25 | ||
| Debt/FCF | 36.55 | ||
| Debt/EBITDA | 1.08 | ||
| Cap/Depr | 108.14% | ||
| Cap/Sales | N/A | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.44 | ||
| Quick Ratio | 1 | ||
| Altman-Z | 0.61 |
F-Score3
WACC10.93%
ROIC/WACC0.36
Cap/Depr(3y)87.77%
Cap/Depr(5y)87.12%
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-3.23%
EPS 3Y44.23%
EPS 5Y37.97%
EPS Q2Q%-30%
EPS Next Y-9.36%
EPS Next 2Y-5.84%
EPS Next 3Y-44.78%
EPS Next 5YN/A
Revenue 1Y (TTM)-0.45%
Revenue growth 3Y3.88%
Revenue growth 5Y0.04%
Sales Q2Q%-9.23%
Revenue Next Year-0.27%
Revenue Next 2Y-0.71%
Revenue Next 3Y-3.15%
Revenue Next 5YN/A
EBIT growth 1Y-37.38%
EBIT growth 3Y9.16%
EBIT growth 5Y11.36%
EBIT Next Year131.94%
EBIT Next 3Y19.93%
EBIT Next 5YN/A
FCF growth 1Y-93.49%
FCF growth 3Y-50.33%
FCF growth 5YN/A
OCF growth 1Y-28.86%
OCF growth 3Y0.4%
OCF growth 5Y2.03%